Financial Times warns that Milei’s reforms are under pressure

The Financial Times has published an analysis noting that Milei’s economic reforms are facing mounting political and social pressure. A decline in economic activity, a contraction in formal employment, and the electoral risks looming for 2027 are creating uncertainty—a trend already reflected in a rise in the country’s sovereign risk premium.

A higher sovereign risk premium increases the cost of government financing and exerts downward pressure on Argentine bonds and stocks, particularly at a time when the market is closely scrutinizing the sustainability of the economic program.