BUENOS AIRES (Reuters) -Argentine lawmakers overturned on Thursday two vetoes by President Javier Milei, marking a setback for the libertarian leader ahead of key legislative elections that could shape the future of his economic reform agenda.
The opposition-controlled Senate voted overwhelmingly to override Milei's vetoes of bills boosting funding for public universities and pediatric health care, with margins of 59-7 and 58-7, respectively.
Milei, who has implemented deep austerity policies to reduce the size of government, said the new spending would jeopardize Argentina's fiscal balance.
In September, Argentina's congress for the first time overturned a veto issued by Milei, reinstating a bill that increased spending for people with disabilities.
It is a precarious time for Milei as the country prepares for midterm elections on October 26 and his popularity drops in the face of a corruption scandal and public weariness with his austerity measures.
"There's a sensation of disenchantment and anger with the impact of the cutbacks," said Sebastian Halperin, a political consultant in Buenos Aires, adding that Milei had failed to build alliances with governors who influence how their province's legislators vote in Congress.
Milei recently received a show of support from U.S. President Donald Trump, who said he would help stabilize Argentina's financial markets.
The two are expected to meet in October as Milei seeks to secure a credit swap line from the United States.
Analysts say, however, the president still needs a strong result in the midterms to avoid jeopardizing the progress he has made in steadying Argentina's economy.
(Reporting by Lucila Sigal, Nicolas Masculin and Natalia Siniawski; Writing by Leila Miller; Editing by Kylie Madry and Nia Williams)
