Central Bank of Argentina will be scrapped as confirmed

After winning the Argentina Presidential election based on his radical campaign promises, Javier Milei has finally confirmed plans to abolish the country’s Central Bank, Banco Central de la República Argentina (BCRA).

Argentina Central Bank: End of an Era

According to a communique issued by Javier Milei’s office, the “closure of the central bank is not a negotiable matter” and the process to wind down the apex bank’s operations will be set in motion.

The Central Bank was established on May 20, 1935, and per its establishment mandate, it controls the country’s monetary supply. However, the country has recorded massive inflation and currency devaluation in recent times, occurrences that Milei believes were born out of corruption and needless resource allocation.

As the country gears up for the Javier Milei era which will officially start on December 10, new realities remain on the horizon. Milei has plans to dollarize the economy seeing the massive imbalance between the Argentinian Peso and the United States Dollar amongst others. While his plans to replace the Central Bank look arduous enough, more radical changes are to be expected as stated in the press release.

In keeping with his commitment to control state expenditure, Javier Milei announced that the country’s Social Security Administration ANSES will be headed by economist Osvaldo Giordano. Other changes to be expected in the near term include the privatization of key government bodies to boost their overall efficiency.

While these reforms are being applauded by many, experts worry about the likelihood of achieving some of these plans considering his libertarian coalition has a minority hold in Congress.

Bitcoin to the Rescue?

One of the endearing qualities that helped Javier Milei garner enough support from the public is his advocacy for Bitcoin (BTC). While he has not expressed whether or not he has plans to embrace Bitcoin in any capacity in his administration, his positive disposition spells a good omen.

As reported earlier, pro-Bitcoin El Salvador President, Nayib Bukele has cleared his Bitcoin Advisory Team spearheaded by Max Keiser to pay an official diplomatic visit to Argentina’s incoming President. Just as MicroStrategy founder Michael Saylor conversed with Elon Musk about Bitcoin prior to the Tesla boss leading his company to buy the coin, speculations are growing that a related push might be seen after this visit.

Notably, Argentina is already setting up the pace for blockchain integration after the capital City Buenos Aires introduced its blockchain Digital Identity (ID) solution with QuarkID and zkSync with the goal of enhancing government operations.

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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter, Linkedin

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