The far-right Javier Milei sent this Wednesday to Congress a bill that declares the country in a “public emergency” and transfers to the Executive broad powers in economic, financial, fiscal, social, pension, security, defense, tariff, and energy issues. , health and social for two years and with the possibility of extending this period for another two years. They are reforms that he could not include in the megadecree that he signed a few days ago and that comes into force this Friday. The law will begin to be discussed by Congress in extraordinary sessions. If approved, the president will concentrate powers that correspond to the Legislative Branch, where his party, La Libertad Avanza, is in the minority. The initiative has 664 articles that address varied topics ranging from the reform of the political system or the control of social protests to the authorization of the resale of tickets to sporting events.
Reform of the political system
The bill eliminates Simultaneous and Mandatory Open Primary elections (PASO), a voting instance in which voters define the candidates of each party. In addition, it seeks to restructure the Chamber of Deputies that makes it easier to add legislators to second and third electoral forces, which is currently the Government party, La Libertad Avanza. Among other modifications, it also removes free advertising spaces for candidates and eliminates the limit for contributors.
Punishment of social protests
The project includes a toughening of sanctions against social protest. The sentences range from one year to six years, depending on the case. Milei intends that any “intentional and temporary congregation of three or more people” be considered a punishable demonstration if it impedes free movement or the provision of public services. The text warns that any demonstration must be notified in advance – even “spontaneous” ones – and the Ministry of Security may oppose or propose changes. In addition, social organizers must declare who is responsible for the calls to facilitate their identification in case they deserve criminal sanctions. The bill gives form to law to the anti-protest protocol signed two weeks ago by the Minister of Security, Patricia Bullrich.
Expansion of the right of self-defense
In terms of security, the bill also introduces modifications to the Penal Code to expand the right of self-defense and provide greater support to security forces. At this point, the text also establishes that whoever commits a crime or his or her relatives (in the event of death) “lack the right to file a complaint or sue anyone who has repelled the action or prevented the escape.” The text also legislates on “resistance to authority” and establishes penalties of up to six years for anyone who “uses intimidation or force against a public official or against the person who provides assistance at his request.”
Public companies “subject to privatization”
The initiative defines that 41 public companies are “subject to privatization.” The oil company YPF appears on the list; the flag airline company, Aerolíneas Argentinas; railways or the mail; the Mint or public media, such as the Télam news agency. The text justifies the measure by “the need to concentrate the activity of the State on its essential functions.”
President Javier Milei sent the Law of Bases and Starting Points for the Freedom of Argentines to the National Congress.
With the spirit of restoring the economic and social order based on the liberal doctrine embodied in the National Constitution of 1853, we present… pic.twitter.com/5yYSBYA751
— Office of President Javier Milei (@OPEArg) December 27, 2023
Money laundering
The text promotes money laundering of large fortunes. According to the initiative, up to $100,000 in cash, real estate or cryptocurrencies will be allowed to be regularized without paying taxes in Argentina or abroad until November 30 of next year. In addition, a “special regularization tax” is created for money laundering exceeding $100,000. Whoever adheres to the regularization regime must not “provide additional documentation or information regarding adherence to the regime.”
Modification of the hydrocarbon law
The project modifies the hydrocarbon law and establishes that the “main objectives” of the activity are “to maximize the income obtained from the exploitation of resources and satisfy the country's hydrocarbon needs.” The text defines that the Government will not be able to intervene or set prices “in any of the stages of production” of fuels, gas or oil and clarifies that “international trade in hydrocarbons will be free.”
Fees for foreigners in public universities
State-run higher education institutions will be free for Argentines or foreigners with permanent residence, according to the bill. The text establishes that it is “prohibited to establish any type of tax, rate, tax, tariff or rate on them,” although public universities may charge a fee to foreigners without permanent residence. In terms of education, the initiative also proposes that students have to take an exam to accredit their level of performance upon finishing secondary school and defines that “continuous training and evaluation” will be one of the basic dimensions for career advancement. teachers professional.
Ratification of the DNU
In the final provisions, the project seeks to ratify the decree of necessity and urgency (DNU) that Milei imposed a week ago with more than 300 reforms that dismantle the Argentine State. The text imposes hundreds of reforms in one go that, among other things, repeal laws, eliminate dozens of state regulations, enable the privatization of public companies, open the door to operations in dollars and give the kickoff to making the labor market more flexible and the health system. The decision is being questioned by Congress, the Justice Department and in the streets by those who consider it “unconstitutional.”
Other articles
Among the more than 600 articles, the bill also repeals the obligation to provide a maximum percentage for the issuance of external debt; sets a minimum withholding tax on exports of 15%, with exceptions; closes cultural organizations; repeals the uniform price law for the sale of books to the public; modifies regulations regarding native forests, glaciers and the burning of grasslands; authorizes the resale of “unlimited” tickets to sporting events; proposes to protect “children from the moment of their conception” (which contradicts the concepts of the law of voluntary interruption of pregnancy); simplifies divorce and also modifies the mental health law.
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