Diego Santilli meeting with governors at Casa Rosada to discuss Argentine reforms amid alliance doubts.
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Executive accelerates contacts with allies for reforms

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The Argentine government, with Diego Santilli as the new Interior Minister, is intensifying dialogues with provincial governors to advance the 2026 Budget and labor and tax reforms. Santilli has already resigned as a deputy and started meetings at the Casa Rosada. However, doubts arise over congressional alliances following the departure of legislators aligned with Patricia Bullrich.

Diego Santilli submitted his resignation as a national deputy on November 7, 2025, enabling his immediate entry into the cabinet as Interior Minister. The Executive urged him to speed up this process to facilitate dialogue with the provinces and push forward key reforms. Alongside Chief of Staff Manuel Adorni, Santilli has already met at the Casa Rosada with Ignacio Torres, governor of Chubut, and Jaldo Jalil from Catamarca.

Next week, meetings are scheduled with Marcelo Orrego from San Juan, Martín Llaryora from Córdoba, and Gustavo Sáenz from Salta. These gatherings are part of a broader strategy to secure congressional support, with priorities including approval of the 2026 Budget alongside changes to labor and tax laws.

Meanwhile, doubts are growing over a potential interbloc between PRO and La Libertad Avanza. The departure of legislators aligned with Patricia Bullrich has shifted the negotiation landscape, challenging the officialism's alliances. The government is seeking key parliamentary backing to advance its legislative agenda amid internal political tensions.

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Diego Santilli shakes hands with President Javier Milei during his appointment as Argentina's new interior minister in a celebratory government ceremony.
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Diego Santilli appointed as new interior minister

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President Javier Milei appointed Diego Santilli as the new interior minister on November 2, 2025, replacing Lisandro Catalán. Santilli, a PRO leader and elected deputy from Buenos Aires who will not take his seat, will negotiate with governors and legislators to advance structural reforms. The announcement drew celebrations from the government and allies, praising his experience in dialogue and management.

Chief of Staff Manuel Adorni led the year's first officialist political table meeting to devise a strategy ensuring the labor reform's approval in Congress. Interior Minister Diego Santilli will start a tour of key provinces like Salta, Neuquén, and Entre Ríos to negotiate compensations amid unrest over Income Tax changes. This effort aims to address governors' concerns who are conditioning support on fiscal adjustments.

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Interior Minister Diego Santilli met Thursday in San Juan with Governor Marcelo Orrego to advance labor reform. Both agreed on the need for regulatory changes to boost private employment and economic growth. Orrego expressed willingness to seek consensuses for the project.

Guillermo Francos resigned as chief of cabinet in Javier Milei's government after the October 26 elections, with presidential spokesperson Manuel Adorni set to assume the role starting Monday. The move drew criticism from Mauricio Macri, who questioned Adorni's experience, and Axel Kicillof, who criticized his exclusion from a governors' meeting. Adorni pledged to deepen structural reforms as a priority.

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The Argentine government estimates it has secured the support of five governors to pass the labor reform, while businesses negotiate changes with Senator Patricia Bullrich to avoid judicial challenges. The bill, aimed at modernizing labor legislation, will be debated in the Senate in February. Business chambers back the overall spirit but seek amendments to specific articles impacting collective bargaining and entity funding.

President Javier Milei confirmed in an 80-minute interview on 'La Cornisa' that he will not veto the 2026 national budget following its half-sanction in the Chamber of Deputies, stating his government will adjust items via expense reallocation to achieve zero fiscal deficit. Recorded at the Casa Rosada with journalist Luis Majul on December 21, 2025, Milei praised congressional productivity, noted Senate allies' support for the bill without changes, and addressed economic progress, alleged scandals, reforms, and political figures.

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The Council of the Justicialist Party of Buenos Aires, led by Máximo Kirchner, decided to call internal elections to renew authorities on March 15, 2026, during a meeting in Malvinas Argentinas. While the date was set, internal sectors aim for a unity list to avoid a real contest at the polls. Tensions continue, particularly with Governor Axel Kicillof's sector, which demands greater representation in party bodies.

 

 

 

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