ع
Pope Leo XIV used his arrival in Buenos Aires to underscore that economic policy must prioritize human welfare over other considerations, according to multiple reports including those from The Guardian and Politico. The pontiff, who had undergone lung cancer surgery only three weeks earlier, addressed officials, diplomats and civic leaders while standing alongside President Javier Milei. His comments formed part of the second leg in a 12-day Latin America tour that began in Uruguay and marked the first visit by a pope to Argentina in nearly four decades. Observers noted the address carried particular weight given Milei’s self-described anarcho-capitalist approach and past criticisms of the Catholic Church.
The Pope stated, “The economy must be at the service of the people, rather than people being at the service of the economy.” He drew attention to families burdened by uncertainty, elderly citizens and workers who despite employment still struggle to meet basic household needs. Leo called for particular concern toward those affected by illness, dependency and disability, language widely interpreted as a reference to cuts in social assistance programs under the current administration. The remarks drew sustained applause from opposition attendees even as Milei maintained a reserved demeanor throughout the event.
According to The Guardian, the Pope also advised that strengthening democracy demands a willingness to listen and careful use of language, an implicit nudge toward Milei whose public statements have often featured strong rhetoric. Milei responded by saying his government seeks to avoid “punishing the Argentines of tomorrow in order to benefit the Argentines of today,” as reported by the BBC and Financial Times. The exchange highlighted contrasting visions at a time when the president’s policies have produced both measurable macroeconomic gains and tangible social costs.
World Bank data show Argentina’s economy contracted 1.3 percent in 2024 before rebounding with 4.4 percent growth in 2025, yet projections for 2026 have been revised downward to around 2.1 to 3.6 percent amid signs of renewed slowdown. The International Monetary Fund has praised the fiscal consolidation that delivered primary budget surpluses in both 2024 and 2025 for the first time in nearly two decades, with annual inflation falling from more than 200 percent at the end of 2023 to approximately 33 percent by late 2025. These achievements, however, have coincided with the loss of roughly 300,000 formal jobs and stagnant real wages, according to assessments from both the IMF and local statistics agency INDEC.
INDEC figures placed the national poverty rate at 32.3 percent in the first half of 2026, up from an eight-year low of 28.2 percent in the second half of 2025, with extreme poverty rising to 7.5 percent. More than 9.7 million people in surveyed urban areas fell below the poverty line, including 2.25 million in indigence, while nearly 45 percent of children under 15 were affected. Think-tank analyses cited by Reuters indicate that around 32,300 businesses, or about 6 percent of the total, closed between December 2023 and July 2026 as consumer spending declined 2.7 percent in the first nine months of the year compared with the prior period.
The Pope’s emphasis on inclusive growth aligns with longstanding Church positions in Argentina that have repeatedly questioned the human impact of rapid fiscal tightening. Leo, the first U.S.-born pontiff, urged leaders to exercise authority as a form of service directed at the entire community while acknowledging its inherent limits. Coverage from outlets such as DW and USA Today noted that the visit occurs as Milei, an ally of U.S. President Donald Trump, prepares for potential reelection next year amid mixed public approval ratings that place the Pope significantly higher in Argentine polls.
