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Argentina · Corruption · Market Impact · Milei
Argentina's financial markets, including dollar-denominated bonds, currency, and stocks, plummeted following corruption allegations from leaked audio recordings involving former National Disability Agency head Diego Spagnuolo and suggesting illicit payments to President Javier Milei's sister, Karina Milei, causing the Government Confidence Index to fall 13.6 percent.
The recordings, from 2024 and early 2025, also implicate Human Capital Minister Sandra Pettovello and former Foreign Minister Diana Mondino. A nationwide survey by Poliarquía Consultores confirmed confidence in Milei's administration reached its lowest point since he took office in 2023, dropping to 2.12 points.
Marcelo Garcia, director at Horizon Engage, attributes this decline to the Andis scandal, which challenges Milei's image regarding care for the vulnerable and directly hinders his plans to boost financial markets. Government authorities have not verified the audio's authenticity, with cabinet chief Guillermo Francos stating Milei denies Spagnuolo mentioned bribery.
Milei dismissed the allegations as opposition attacks ahead of October midterm elections, while opposition lawmakers demand congressional answers.
