I don't see this as very smart. I think Argentina should follow the path of India. Stay neutral in everything, do business with everyone. They are becoming a super power. Instead, Milei is a falling in love with the IMF, and U.S, both of which will not benefit Argentina. I am starting to see him as very narrow minded....
There is plenty of investment capital sloshing around the globe.
He's making a play for private money from North America. Given how many times investors in Argentina have been burned by the cyclical nature of Argentine politics (liberalization and nationalization), its a hard sell. Argentina's irresponsible history/bad reputation (from an investment perspective) limits its appeal to future investors.
All investment money has strings attached, if it didn't it would just be called 'charity.' The worse the reputation, the higher the assumed future risk and therefore the more strings attached for any future investment. Chinese money is no exception. Just because Chinese investors haven't yet gotten burned, themselves, by Argentina, doesn't mean they'll overlook Argentina's past behavior regarding the treatment of other investors. In fact the Chinese are extremely risk averse when lending money overseas and almost always cover their risk of loss with severe collateral stipulations.
I think given the hard sell facing Argentina, a focused, narrow approach is a legitimate strategy. Argentina lacks trust. Playing both geopolitical sides may be a good way to maximize your diplomatic influence, but it doesn't garner private investor's trust.
Milei is getting a lot of attention in private investment circles right now. People are giving Argentina a fresh look.
I can't disagree with your assessment of neutrality for diplomatic purposes, but as for investment capital...a focused approach may work.
cnnespanol.cnn.com
