How families in Milei's Argentina sank deep into debt

President Javier Milei's radical free-market policies have plunged many Argentine families into crippling debt, with delinquency rates tripling in the past year. Andrea, a 32-year-old mother, took out a loan last year to start a catering business but now struggles to repay a debt that ballooned from one million pesos to five million.

Utility tariffs have skyrocketed faster than inflation, straining household finances. About 21 million out of Argentina's 46 million population have some form of debt, and the proportion in arrears has risen from 4.5% to 12.8% in the last year. Milei dismisses responsibility, claiming individuals made poor decisions. However, experts argue that declining incomes, employment, and economic activity have worsened the situation.

Personal loans and credit cards now account for over 70% of unpaid loans. Young people, gig economy workers, and those on low wages are particularly vulnerable, facing interest rates up to 1,375% and risking account blocks if they default.