Argentina’s political landscape took a dramatic turn on Sunday, October 26, 2025, when President Javier Milei’s La Libertad Avanza party clinched a decisive victory in the country’s midterm legislative elections. The results, based on more than 90 percent of ballots counted by Monday morning, showed Milei’s party capturing 40.84 percent of the congressional vote, outpacing the long-dominant Peronist coalition, which garnered 31.64 percent. For a nation accustomed to political volatility and economic turbulence, the outcome was nothing short of a watershed moment.
The stakes for President Milei could hardly have been higher. This midterm contest was the first national test of his support since he swept into office two years ago, promising to upend Argentina’s economic status quo with radical free-market reforms and deep austerity. The outcome not only solidifies his grip on power but also dramatically boosts his ability to push through sweeping changes—changes that have drawn both praise and ire at home and abroad.
“The Argentinian people left decadence behind and opted for progress,” Milei declared to a jubilant crowd at his party’s headquarters late Sunday, according to Al Jazeera. “All those who supported the ideas of freedom to make Argentina great again” were thanked in a speech that framed the election as a historic turning point. Milei pledged that the new Congress would be “the most reformist in its history,” a promise that resonated with supporters eager for a break from decades of Peronist rule and chronic economic crises.
The numbers behind the headlines tell a story of political transformation. La Libertad Avanza tripled its seat count in the lower Chamber of Deputies, leaping from 37 to 101 out of 127 seats up for grabs. In the Senate, the party surged from six to 20 seats. Perhaps most striking was the party’s performance in Buenos Aires province, a traditional Peronist stronghold where Milei’s candidates ran neck-and-neck with the opposition—an outcome that would have seemed unthinkable just a month ago, when the Peronists trounced Milei’s party in local polls.
This newfound parliamentary muscle gives Milei the clout to uphold presidential vetoes, block impeachment attempts, and push forward with ambitious plans for tax and labor reforms. For many Argentinians, the results signal a willingness to give Milei’s tough medicine more time to work, even as the pain of austerity bites hard. As Gustavo Cordoba, director of the Zuban Cordoba polling firm, told Reuters, “Many people were willing to give the government another chance. We’ll see how much time Argentine society gives the Argentine government. But the triumph is unobjectionable, unquestionable.”
Yet, the victory is as much about international dynamics as it is about domestic politics. The United States, under President Donald Trump, has thrown its weight behind Milei’s economic experiment. In the weeks leading up to the election, the Trump administration orchestrated a financial support package for Argentina that could reach $40 billion—comprising a $20 billion currency swap agreement, already finalized, and a proposed $20 billion debt investment facility. According to Reuters, the U.S. Treasury even intervened in currency markets, buying Argentine pesos to help stabilize the currency against the dollar.
U.S. Treasury Secretary Scott Bessent was emphatic in his remarks on NBC’s “Meet the Press,” insisting the measures are “not a bailout” and assuring Americans, “There will be no taxpayer losses. This is a swap line. It is not going to register a loss.” The support, Bessent explained, comes from the Treasury’s $211 billion Exchange Stabilization Fund, a financial backstop previously used during crises like the COVID-19 pandemic and the 2023 bank stability scare. The goal, Bessent said, is clear: “We are supporting a U.S. ally in Latin America and we want to set the tone in Latin America.”
For the Trump administration, the stakes are regional as well as economic. “We do not want Argentina to suffer the same fate as Venezuela, which is a failed narco-state,” Bessent warned, underscoring the administration’s desire to prevent further instability in the hemisphere. The U.S. hopes its show of support for Milei will set an example for other Latin American countries, including Bolivia, Ecuador, and Paraguay, which are watching Argentina’s experiment closely.
Back in Buenos Aires, the international backing may have played a role in the election’s outcome. Al Jazeera correspondent Teresa Bo noted, “Certainly, the United States played a crucial role in the last stage leading to this election. People here listened, and in a way, it may have convinced many to vote for Javier Milei’s party.” The message from Washington was unmistakable: continued support hinged on Milei’s political fortunes. President Trump himself made it clear that failure at the polls could mean the end of U.S. assistance, warning, “If he doesn’t win, we’re not going to waste our time, because you have somebody whose philosophy has no chance of making Argentina great again.”
Despite the electoral triumph and international backing, Milei’s reforms have come at a steep cost for ordinary Argentinians. Since taking office, the libertarian president has slashed state spending, cut subsidies for electricity and public transport, and scrapped cost-of-living adjustments for salaries and pensions. While these measures have achieved a dramatic reduction in inflation—from an eye-watering 289 percent annual rate in April 2024 to just 32 percent last month—they have also left many struggling to make ends meet. Unemployment is higher than when Milei took office, and the gap between wages and prices continues to widen.
The pain of austerity has been compounded by a series of scandals, including bribery allegations against Milei’s influential sister, Karina Milei, which have dented the president’s image as an anticorruption crusader. Still, for now, voters appear willing to endure the hardship in exchange for the promise of long-term stability and growth.
Analysts say the election results may reflect a broad-based fear of returning to the economic chaos of the past, when repeated defaults and runaway inflation plagued the country. The Peronists, who have dominated Argentine politics for much of the past century, now find themselves on the defensive, their traditional strongholds breached and their narrative of state-led development challenged by Milei’s radical libertarian vision.
Looking ahead, Milei faces the daunting task of translating his electoral mandate into real change. With a strengthened hand in Congress, he is poised to push forward with tax and labor reforms that could reshape Argentina’s economy for decades to come. But the road ahead is fraught with challenges—economic, political, and social. The coming months will test both the resilience of Milei’s agenda and the patience of a nation weary of crisis yet hungry for hope.
For now, Argentina stands at a crossroads, its future uncertain but its appetite for change unmistakable. The world will be watching closely as Milei and his allies set about remaking Latin America’s third-largest economy—one bold, and controversial, step at a time.
