Milei's reforms hit major snag, reform bill returned by lawmakers

A major economic reform package championed by Argentina's President Javier Milei will be sent back to a legislative committee for consideration, the president's party said, marking a major setback for the bill after lawmakers rejected many of its provisions.

The rejections played out during the article-by-article approval process after legislators voted to approve the so-called "omnibus" proposal.

The bill, which had already been significantly reworked by lawmakers, still included provisions to allow for the privatisation of state entities, changes to hundreds of regulations, as well as measures to enable reductions in state subsidies.

"They love to keep losing"

Milei's ruling Libertad Avanza party, which controls only a small number of seats in Congress, lashed out at what it labelled treasonous behaviour by lawmakers opposed to the bill in a post on X, acknowledging it must now return to the committee.

Some opposition legislators called on those backing the reform package to compromise. "We ask the ruling party to have some flexibility. They love to keep losing," said opposition lawmaker Miguel Pichetto during the legislative session.

Milei's La Libertad Avanza party was able to garner enough support from like-minded allies, including the main centre-right Juntos por el Cambio coalition of parties, to advance his agenda.

Earlier on Tuesday, the libertarian leader arrived in Israel as part of an overseas tour. He is scheduled to hold talks on Wednesday with Prime Minister Benjamin Netanyahu.