Argentina erupts into chaotic riots as far-right president Javier Milei pushes controversial agenda

A far-right leader’s attempts to overhaul a major nation’s economy has resulted in chaos on the streets.

Wild scenes have emerged from South America’s second most populated city as the nation’s populist ultra-right leader attempts to push through controversial new economic reforms.

Press images show parts of Buenos Aires strewn with burned cars after hundreds of security force members fired tear gas and water cannons on rioting demonstrators protesting the proposed shake-up.

Riots in Buenos Aires have erupted over proposed economic reforms. Picture: Luis Robayo / AFP

Demonstrators clashed with security forces outside Congress. Picture: Luis Robayo / AFP

Two cars were set ablaze as the demonstration outside Congress turned violent while Argentine politicians debated a swath of liberalising reforms proposed by budget-slashing President Javier Milei.

Scuffles first broke out when protesters tried to bypass a system of fences set up between them and Congress, with demonstrators lobbing stones at officers who used pepper spray against them.

Seven people, including five politicians among the protesters, were treated at hospital after being pepper sprayed, according to the health ministry.

Dozens of others received medical attention at the scene.

Protesters opposed budget slashing reforms by President Javier Milei. Picture: Luis Robayo / AFP

Seven people, including politicians, were treated at the hospital. Picture: AFP

Later, as night fell, thick blocks of shield-bearing officers and others on motorbikes pushed back the protesters, who overturned two cars — one of which belonged to a local media organisation — and set them on fire.

At least 10 people were arrested, and nine police officers were injured, a spokesman for the Ministry of Security told AFP.

The office of the president on X denounced “the terrorist groups that, with sticks, stones and even grenades, tried to perpetrate a coup d’état.”

President Javier Milei called the riots a failed ‘coup d’état’. Picture: AFP

Inside Congress, meanwhile, senators debated what remains of Milei’s flagship reform bill — rejected in its original form and approved with major changes by the lower house Chamber of Deputies in April.

‘Back 100 years’

The whittled-down bill has 238 articles, which is slimmed from an initial 600-plus.

The measures include declaring a one-year state of economic emergency, allowing Milei to disband federal agencies, and privatising about a dozen public companies, including state-owned carrier Aerolineas Argentina.

Dozens of others received medical attention at the scene. Picture: AFP

Protesters overturned and set cars on fire with at least 10 people arrested, and nine police officers injured. Picture: AFP

Others deal with reducing access to minimum retirement allowances and weakening labour protections by allowing for longer probation periods, which the left-wing opposition has slammed as a license to fire workers.

The provisions also include tax, customs, and foreign exchange incentives to encourage investment in the country, which is currently experiencing an economic crisis.

On the Senate floor, opposition politicians claimed the bill would set progress back by decades.

Opposition senator Mariano Recalde said the labour reforms, in particular, “take us back to the last century when the employee had no labour rights.” 

Senate debated a whittled-down reform bill with 238 articles. Picture: AFP

Bill includes declaring a state of economic emergency and privatising public companies. Picture: AFP

The bill is opposed by social organisations, leftist political parties, retirees, teachers and labour unions.

“We cannot believe that in Argentina we are discussing a law that will put us back 100 years,” said Fabio Nunez, a 55-year-old lawyer among the protesters.

Despite the opposition, the controversial economic reform package won Senate approval on Thursday — after the violent scenes outside congress.

Late in the evening, the package won approval “in general” in the Senate, an important step for Milei’s effort to finally get his flagship reforms across the finish line.

“For those Argentines who suffer, who wait, who do not want to see their children leave the country... my vote is affirmative,” Argentine vice president and Senate leader Victoria Villaruel said after breaking the 36-36 tie in the chamber.

The bill’s separate articles were then addressed point by point and approved with modifications in a full vote in the early hours of Thursday. The measure now heads to the lower house for a final green light.

The Argentine presidency celebrated the “historic approval” of the economic deregulation law as the “most ambitious legislative reform of the last 40 years.”

Milei’s minority

Milei’s party is in a minority in both houses of Congress, which he has described as a “nest of rats,” and the president has not had any legislation passed since taking office last December.

The self-declared “anarcho-capitalist” won elections last November vowing to take a chainsaw to public spending and reduce the budget deficit to zero.

Argentina's President Javier Milei (L) gestures next to his sister and Secretary-general of the Presidency Karina Milei during his inauguration ceremony. Bill includes declaring a state of economic emergency and privatising public companies. Picture: AFP

President Milei’s party is in the minority in Congress. Picture: AFP

By decree, he has cut the cabinet in half, slashed 50,000 public jobs, suspended new public works contracts and ripped away fuel and transport subsidies even as wage-earners lost a fifth of their purchasing power and annual inflation approached 300 per cent.

On Tuesday, Economy Minister Luis Caputo insisted that the “omnibus” bill is “an accelerator, an enabler of economic recovery.”

The debate is taking place as the economy is mired in recession, amid a slump in construction, manufacturing, and consumption.

If the legislative package is rejected, Milei must wait another year to propose a new one.