Overview
- Late Thursday, July 30, President Javier Milei recorded and aired a cadena nacional and that night the government formally sent to Congress a bill to rewrite the BCRA Carta Orgánica.
- The proposal would narrow the Banco Central’s mission to preserving the currency, ban any financing of the Treasury by money creation and impose criminal penalties on officials who enable such financing.
- The package also establishes a permanent 'grillete fiscal' that would automatically freeze nonessential state spending, halt new contracts and stop discretionary transfers to provinces if the budget remains in deficit for a set period.
- On the same day the Executive issued a Decreto de Necesidad y Urgencia changing migration rules to bar or expel foreigners accused of ‘propagating messages of hate’, a move that has legal critics and has worsened tensions with Brazil.
- Opposition parties, economists, unions and think tanks warned the reforms raise constitutional and practical problems, lawyers expect judicial challenges, and analysts say the changes would sharply limit the central bank’s crisis tools compared with its 2012 multi‑objective mandate.