‘Shock therapy’: Argentines 54pc poorer as president devalues peso

New York | Argentina devalued the peso by 54 per cent, overhauled its crawling peg and announced massive spending cuts to eliminate its primary fiscal deficit next year as the first steps in President Javier Milei’s shock-therapy program.

The newly inaugurated administration weakened the official exchange rate to 800 pesos per dollar, Economy Minister Luis Caputo said in a televised address after the close of local markets on Tuesday (Wednesday AEDT). It was 366.5 per dollar before the address. The central bank will henceforth target a monthly devaluation of 2 per cent.

Bloomberg