Argentina’s small and medium-sized businesses brace for total devastation

[Larry]

I have posted since President Milei got elected that he is doing bad. Getting rid of too many employees. The recession is getting worse not better. Are you all blind to what is going on? Look at all the businesses that are closing or will soon.

Argentina’s small and medium-sized businesses brace for total devastation - Buenos Aires Herald

A new report finds that the economy is rapidly contracting, with no signs of recovery on the horizon

buenosairesherald.com

 

[Uncle Wong]

It is very sad to hear all of these job losses. On the Federal and State level it sounds like many jobs needed to be eliminated but these private companies being forced to close is very sad. It is hard to get a sense if Argentina is really improving or not because on this forum there are a lot of positive spin PR media but then you read things like this too so while it sounds like inflation is going down it sounds like the recession is still very bad.

 

[Avocado]

@Larry this is terrible. People are too optimistic. Yes this government is doing some things right like finding corruption and ending it. But even this administration is involved in corruption already too. It would be nice to get foreign investments but that won't translate to jobs for most of the people losing jobs. The recession is getting worse. @Uncle Wong the truth maybe is in half way between what people say is good and what is bad. Still many problems here.

 

[oil rush]

Just looking in from the outside it seems like Milei is doing a lot of things right. Cutting the spending, reaching a surplus for the first time in 15 years and trying to do many needed reforms. Not sure about some other things in the news like supporting Israel and Ukraine. Also seems like the guy is a bit in love with himself. He is acting like Argentina is some world superpower when it is still a struggling country with the same problems as always. That isn't going to be easy to turn around.

 

[Larry]

Just looking in from the outside it seems like Milei is doing a lot of things right. Cutting the spending, reaching a surplus for the first time in 15 years and trying to do many needed reforms. Not sure about some other things in the news like supporting Israel and Ukraine. Also seems like the guy is a bit in love with himself. He is acting like Argentina is some world superpower when it is still a struggling country with the same problems as always. That isn't going to be easy to turn around.

No this not only won't be easy to turn around but virtually impossible. I have many friends that own small or medium-sized businesses in Argentina. ALL of them are struggling now. Read posts online and you will see many like this person. The government is trying to fix everything overnight and that is causing too many problems. Many companies are going to go under and the economy will get worse.

https://twitter.com/x/status/1799798854511927428

 

[Betsy Ross]

No this not only won't be easy to turn around but virtually impossible. I have many friends that own small or medium-sized businesses in Argentina. ALL of them are struggling now. Read posts online and you will see many like this person. The government is trying to fix everything overnight and that is causing too many problems. Many companies are going to go under and the economy will get worse.

https://twitter.com/x/status/1799798854511927428

To be fair @Larry this person on X wasn't paying any taxes and now being forced to. I agree with you that many businesses will probably go under. This administration is already getting AFIP more stringent and want to improve tax collection. Many small and medium businesses don't pay all their taxes and pass on that savings to clients. If they have to pay and increase prices probably they will go out of businesses. Truth is that many busineses are not used to doing everything above board and having to do that probably will force them out of business because they have never worked like that.

The government needs to eliminate import taxes and some taxes to get things working. Lots of work to do. Many problems.

 

[oil rush]

No, he is not acting like Argentina is a superpower, he is acting the way people who voted for him needs to see him. Argentina should not be a struggling country, it should've never been brought to its knees by a bunch of thugs over several decades, that's what Milei is saying.

I don't know if he is in love with himself, but the way he behaves is exactly what the thugs he is getting rid of need to see.

Let's not judge his personality; what matters is his achievements, and so far, he has not disappointed.

Hey I like many of the things that he is doing. But he does come across as a narcissist. I agree achievements is what matters. @Sunny what do you make of his stance on the Ukraine and Israel?

 

[LongIslander]

@Larry do you plan to leave Argentina as things are so dire? A lot of doom and gloomers post how horrible Argentina is and how all businesses are going to fail. As far as I know EZE is open and you can leave if things at that bleak.

 

[Vince]

No, he is not acting like Argentina is a superpower, he is acting the way people who voted for him needs to see him. Argentina should not be a struggling country, it should've never been brought to its knees by a bunch of thugs over several decades, that's what Milei is saying.

I don't know if he is in love with himself, but the way he behaves is exactly what the thugs he is getting rid of need to see.

Let's not judge his personality; what matters is his achievements, and so far, he has not disappointed.

It is probably impossible for ANY other President to have accomplished so much so quickly in Argentina. You have to keep in mind everything here is 100X more difficult than in normal functional democracy.

 

[Digital Nomad]

Hey I like many of the things that he is doing. But he does come across as a narcissist. I agree achievements is what matters. @Sunny what do you make of his stance on the Ukraine and Israel?

Well President Milei seems to be doing the smart thing and backing off on meeting with Zelensky. Better to stay out of the Ukraine.

Milei skipping Ukraine's peace conference and meeting with Macron

After contradicting rumors circulating in Buenos Aires over the past few days, it was reported that President Javier Milei would attend the G7 Summit in Italy, in addition to a trip to Spain.

en.mercopress.com

 

[Spend Thrift]

I think that he is saying what he needs to say about that now. Remember, Argentina needs to attract investors.

But from what I understand talking to people, it is not attractive for companies to locate here because of the bad laws here and all the corruption.

I talk to many people that say things are very bad with the recession. I don't understand how businesses will be able to raise their prices as they are struggling to get customers to buy as it is. I see some businesses now try not to accept credit or debit cards again and only want cash. I thought this was against the law but companies probably have to try to find some way to cope.

With electricity and gas rates going up I am guessing these stores will struggle to pay these higher prices.

 

[Billy Goat]

No, he is not acting like Argentina is a superpower, he is acting the way people who voted for him needs to see him. Argentina should not be a struggling country, it should've never been brought to its knees by a bunch of thugs over several decades, that's what Milei is saying.

I don't know if he is in love with himself, but the way he behaves is exactly what the thugs he is getting rid of need to see.

Let's not judge his personality; what matters is his achievements, and so far, he has not disappointed.

I think Milei is doing well in some areas and has a lot to work on in other areas. He is forcing Argentina to only spend money that it has and live within it's means. He is desperate to get international investments here in Argentina because there aren't any companies willing to invest under the current environment. Things will need to drastically improve before the situation gets better. I see the recession getting worse as more people are going to get laid off. It's a vicious circle.

No one knows how long people will continue to agree with these austerity measures.

 

[Jenn]

It sounds like his popularity ratings are going down. It was higher a few months ago. I just read the other thread where majority of people think he cares more about his image internationally than his problems at home. Recipe for disaster if this keeps up.

 

[MikeYoung]

Well President Milei seems to be doing the smart thing and backing off on meeting with Zelensky. Better to stay out of the Ukraine.

Milei skipping Ukraine's peace conference and meeting with Macron

After contradicting rumors circulating in Buenos Aires over the past few days, it was reported that President Javier Milei would attend the G7 Summit in Italy, in addition to a trip to Spain.

en.mercopress.com

But it makes no sense at all for Milei to even have been speaking to him. I mean what can Argentina really offer to Ukraine??? Argentina is piss poor. What the heck can it offer them? The entire things seems ridiculous. I think if Milei spent time with him people would just laugh.

 

[Larry]

Look at all the reports and you will see that small and medium sized businesses are suffering. The numbers don't lie.

Gloomy future for SMEs in Argentina, studies find

According to a survey published by the Argentine Confederation of Medium-Sized Companies (CAME) report released Monday in Buenos Aires, retail sales in Argentina fell 7.3% year-on-year in May as President Javier Milei's chainsaw economic policies took a deeper toll on the purchasing power of the...

en.mercopress.com

 

[Larry]

More and more small businesses are closing down. Also, through the repeal of the Book Law through the DNU we are seeing bad effects of it. Yet another neighborhood bookstore that had to close down.

 

[Avocado]

Very bad the recession. Many losing jobs. Look at the production of electronics and how much they falling.

Crisis en la industria electrónica: el 80% de las empresas bajaron su producción en los últimos tres meses

Lo informó la Cámara Argentina de Industrias Electrónicas, Electromecánicas y Luminotécnicas, que detalla que la caída promedió es el 39%. Además, alerta por la baja en la capacidad instalada, los despidos y la falta de exportaciones.

www.c5n.com

 

[James Bond]

No doubt lots of issues still going on in Argentina. The question is how long before we come out of the recession.

Did Javier Milei Just Lift Argentina Out of Recession?

"After decades of economic pain from Peronism and mass money-printing...Milei is showing no signs of relenting in his campaign to crush inflation and government spending to return Argentina to prosperity. " ~Jon Miltimore

www.aier.org

 

[Larry]

More and more companies are exiting out of Argentina. This is the reality of the situation. More will also close down because the recession is so bad.

Giant wholesale chain planning Argentine exodus?

Makro, a leading wholesale supermarket chain where anyone can shop at more convenient prices, has announced its decision to leave crisis-ridden Argentina after some 30 years in the South American country where sales keep plunging despite President Javier Milei's administration successful...

en.mercopress.com

 

[Avocado]

More and more companies are exiting out of Argentina. This is the reality of the situation. More will also close down because the recession is so bad.

Giant wholesale chain planning Argentine exodus?

Makro, a leading wholesale supermarket chain where anyone can shop at more convenient prices, has announced its decision to leave crisis-ridden Argentina after some 30 years in the South American country where sales keep plunging despite President Javier Milei's administration successful...

en.mercopress.com

Wow I did not know they were leaving. You know things are bad when after 30 years they finally are giving up.