Argentina - Elections, kinda
No wine with those empanadas today Mister!; unless you are creative. More on that later. There is an antiquated law that prohibits alcohol sales on election days. In the way, way past I have been told that the gauchos would get too drunk to vote; and in Argentina, they vote on Sundays. Luckily, I have been coming here for some time and was provided a glass of Malbec, sorry two, ensconced in a teapot and cup.
President Macri, a reform minded president, was elected almost two years ago, which drew the visits of Obama, and today, Pence (with great live translation). The country used to be blacklisted on the world capital markets. Not anymore. And after yesterday’s better than expected results for the kinda elections, expat investors are mapping out where to plant their investments. By kinda, I mean Sunday was one big non binding poll for the real midterm elections in October; but they mean a lot here and provide more clarity and momentum, and sadly more ads. Like all elections, digital marketing and search engine optimization played an even bigger role in some cases replacing past campaign strategies of big rallies. Less spoken words and more online photos were the orders of some campaign advisors. We are still unpacking its effectiveness, since the Senate race in Buenos Aires is still to close to call.
Some of the major areas that the President is trying to reform and facing resistance is in competition. For example, in the area of technology strategies, there is only one main company in the nation that provides a network for credit card transactions. Hmm. So while many want to protect the workers of native industries, such as textiles, as another example, the other side wants consumers to have more choices and as a result lower prices and, wait for it, less inflation.
In this context, bitcoin is playing a bigger role than in many other places, with a lot of startups located in Buenos Aires (where the Governor lives on a military base, for her protection, but more on that next time) are focused on digital currency. I wish them better luck than Uber. More to come..