Argentine President Javier Milei delivered his seventh nationwide address on August 8, defending controversial vetoes published earlier in the week that block pension increases, disability emergency declarations, and pension moratorium extensions, local media reported.

The broadcast, delivered from Casa Rosada's Salón Blanco alongside Economy Minister Luis Caputo, Deputy Minister José Luis Daza, Central Bank Governor Santiago Bausili, and Vice-President Vladimir Werning, underscored the economic significance of Milei's message ahead of crucial midterm elections.

The vetoes, formalised under Decree 534/25, prevent a 7.2% pension increase and other social measures, potentially damaging Milei's electoral prospects with Buenos Aires Province elections set for September 7 and national legislative votes on October 26.

Seeking to regain political momentum, Milei announced two largely symbolic measures: prohibiting Central Bank transfers to the Treasury and introducing criminal penalties for officials who draft deficit budgets.

These proposals aim to challenge the opposition, which currently controls the legislative agenda in both congressional chambers.

The President escalated his rhetoric dramatically, accusing opposition lawmakers of committing "genocide" by passing fiscally costly bills, language aligned with La Libertad Avanza's campaign strategy alongside PRO allies using the slogan "Kirchnerismo nunca más," as quoted by local media.

Milei's confrontational approach and harsh austerity measures risk alienating voters as Argentina approaches critical elections.

While his administration touts economic achievements, including claimed reductions in poverty and progress toward eliminating inflation by mid-2026, the political costs of blocking social benefits could undermine his legislative support and complicate the implementation of his broader reform agenda.