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The President of the Argentine Republic, Javier Milei, announced moments ago through a national broadcast the main content of the decree of necessity and urgency (DNU) that includes more than 300 measures aimed at deregulating many sectors of the economy.
“As our economic model, unlike everything that has been done in the last hundred years, attacks the deficit, which is the cause of our problems, and not the consequences of it, we can start today to unblock all these regulations that pretend to provide solutions but only generate problems,” said Milei before announcing the measures.
“The DNU that we are presenting today aims to start the process of economic deregulation that Argentina so much needs to begin to grow,” he added.
Among the mentioned measures, there are six with direct impact on air transport:
- The repeal of the regulations that prevent the privatization of public companies.
- The repeal of the state-owned companies regime;
- The transformation of all state-owned companies into joint-stock companies for their subsequent privatization;
- The authorization for the transfer of the total or partial share package of Aerolíneas Argentinas, by replacing article 4° of the Law No. 26.412 with a text that says “Authorization is granted for the partial or total transfer of the share package of Aerolíneas Argentinas S.A. and Austral Líneas Aéreas – Cielos del Sur S.A. and their controlled companies, to the employees of the respective companies in accordance with the Participated Ownership Program” and the elimination of article 9° that prohibited the “transfer of the majority shareholding of the company, the capacity for strategic decision and the right of veto in the decisions of the same”. This point also proposes the replacement of article 5° of Law No. 26.466 with a text that reads “Authorization is granted for the total or partial transfer of the shares representing the capital stock to the workers of the companies Aerolíneas Argentinas Sociedad Anónima and Austral Líneas Aéreas – Cielos del Sur Sociedad Anónima and their controlled companies (Optar S.A., Jet Paq S.A., Aerohandling S.A.) in accordance with the Participated Ownership Program. The transfer of the new rights will be prorated among the employees who decide to participate in said expansion program. Employees who participate in more than one of these
companies must choose their participation in one of them”. - The implementation of the open skies policy. The Decree – Law No. 12.507/56, the Law No. 19.030 on air commercial transport; and the Decree No. 1654/02 that declared the air commercial emergency are repealed. There are also changes in the Law No. 17.285 (Aeronautical Code).
- The deregulation of the tourism sector “to eliminate the monopoly of travel agencies”.
“These reforms, of which I have only mentioned 30 of the more than 300 included, are some of the ones contemplated in the DNU we signed today. The objective is to begin the path of reconstruction of our country, to return freedom and autonomy to individuals, and to begin to dismantle the enormous amount of regulations that have impeded, hindered, and stopped economic growth,” continued President Milei.
See also: The Future of Argentine Commercial Aviation under President Milei
“But this is just the first step, in the coming days we will call extraordinary sessions of the National Congress and send a package of laws asking for collaboration to advance in this process of change that society chose in a context of crisis that requires immediate action,” he added.
He then called on the national deputies and senators, saying that “they will face the historical responsibility of choosing between being part of this change or obstructing the most ambitious reform project of the last 40 years in order to finally set in motion the productive forces of the Argentine people and begin to walk the path to become a world power again”.
“I trust that our representatives will defend the interests of the Argentine people and not those of the caste that has benefited for decades with this impoverishing system. I want to thank you, may God bless the Argentine people, and may the forces of heaven accompany us,” he concluded.
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Document: Complete DNU
DNU 70-2023
