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Tactical voting considerations cloud outcome of Argentine presidential election

Sergio Massa (center) confers with former finance minister Roberto Lavagna and Córdoba governor José Manuel de la Sota. (Facebook)
Sergio Massa (center) confers with former finance minister Roberto Lavagna and Córdoba governor José Manuel de la Sota. (Facebook)

A surprisingly tighter race than expected for Argentina’s presidency is making it more likely that frontrunner Daniel Scioli will win outright in the first round on Sunday, October 25.argentina

Back in August, Scioli, the outgoing governor of Buenos Aires province and the presidential nominee of outgoing president Cristina Fernández de Kirchner and the governing  Frente para la Victoria (FpV, the Front for Victory), demonstrated his strength by winning around 38.5% of the vote in Argentina’s somewhat unique ‘open primary’ contest.

His nearest contender was Mauricio Macri, the more conservative and economically liberal outgoing mayor of Buenos Aires, who is leading a broad center-right coalition called Cambiemos (which loosely translates as “Let’s change”), which won about 30% of the vote (including the other challengers who competed with Macri for the coalition’s presidential nomination).

Far back in third place was Sergio Massa, one of Kircher’s first cabinet chiefs, now the mayor of Tigre and the leader of an alternative peronista group, the Frente Renovador (FR, Renewal Front), which won just 20.5% of the vote.

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RELATED: Kirchner 2019 comeback could
complicate Scioli presidential bid

RELATED: Scioli leads in Argentine presidential race after primaries

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A one-time frontrunner after leading his new group to the top result in Buenos Aires province during the 2013 midterm elections, Massa’s appeal seems to have stalled through 2014 and earlier in 2015. His electoral alliance choices turned out to be weaker than expected, and he lacks the voter base that both Scioli (as leader of Argentina’s most populous province) and Macri (as leader of Argentina’s capital city) can boast. Moreover, as Kirchner’s approval ratings improved over the course of 2015, so did Scioli’s standing, as he won back disaffected peronistas who might otherwise be tempted to join Massa’s alternative group.

argentina primary bloc

Since August, Scioli continues to lead the pack, while the movement in the race has come in the battle for second place — most polls are now showing that Macri is losing votes and that Massa is gaining. There are many potential reasons.

Explaining the Massa popularity surge

It could be that Argentines feel that Macri is still too close, ideologically speaking, to the economic neoliberalism of the 1990s that many voters feel was responsible for destroying the economy in 1999-2001.

It could be that Macri has been tarred by association with Fernando Niembro, a businessman who had been one of the coalition’s leading congressional candidates from Buenos Aires until suspending his campaign in September following an indictment on money laundering charges. That connection has made it hard to argue that Macri will make doing business in Argentina more efficient, transparent or graft-free.

It could be that Macri has done so much to signal that he will not introduce radical change that voters are doubting his authenticity, ability or resolve. He’s already pledged not to re-privatize the Argentine state oil company, YPF, or the airline company Aerolíneas Argentinas. If there’s one thing that Macri is not, it’s a peronista. But he has spent much of the post-primary period embracing peronismo. Earlier this month, Macri even unveiled a new statue of Juan Perón in the capital, awkwardly arguing that he shared the values of peronismo:

“I am not a Peronist but I have social justice in my heart,” Macri said as he unveiled the statue of Peron last week. “I want to invite all Peronists to work with us to create the Argentina we all dream about.”

But Massa’s improvements could also come from a belief that Massa represents a better chance for gradual ‘change,’ with a better shot of defeating Scioli if the race continues to a runoff on November 22. There are still real doubts about Scioli’s ability to run an independent administration with so many Kirchner loyalists in key positions, including the vice presidency. Continue reading Tactical voting considerations cloud outcome of Argentine presidential election

Scioli leads in Argentine presidential race after primaries

sciolileads

There’s some bit of good news for each of the three contenders battling to win the Argentine presidency on October 25 after Sunday’s primary contest.argentina

Since 2011, Argentine elections have features an all-in primary contest in which every candidate competes both in absolute terms against all the other candidates and both for his or her party (or coalition) nomination. No one doubted that each of the three major contenders would win his inter-coalition primary:

  • Daniel Scioli, the governor of Buenos Aires province, ran unchallenged for the nomination of the governing ‘Justicialist’ Frente para la Victoria (FpV, the Front for Victory) of Cristina Fernández de Kirchner, and the bloc won nearly 38.5% of the vote.
  • Mauricio Macri, the more center-right chief of government of the city of Buenos Aires, easily won the nomination of the three-party Cambiemos coalition, with over 24% of the vote nationally.
  • Sergio Massa, the one-time frontrunner, former Kirchner cabinet chief, Tigre mayor and leader of the peronista, if not kirchneristaFrente Renovador (FR, Renewal Front), easily won the nomination of his own coalition, with over 14% of the vote.

Argentina primary

Those results, though, overstate Scioli’s strength. While the Kirchner-backed candidate has plenty of reason to be thrilled with the primary vote, Macri was facing two opponents for the Cambiemos nomination and Massa faced an own opponent for his own coalition, ‘United for a New Alternative.’

When you add together the votes for the coalitions, Macri can expect to enter the final campaign sprint with something more like 30% to Scioli’s 38% — with Massa’s coalition winning around 20.5%.

argentina primary bloc

There’s no doubt that Scioli’s success demonstrates a perhaps surprisingly united Argentine left, with reform-minded voters pulling away from Massa and towards Scioli (pictured above). Despite a scandal-plagued year, Fernández de Kirchner’s approval ratings are on the rise and, although inflation and other economic woes still plague Argentina, the economy is generally doing much better than neighboring Brazil or Chile and, in any case, better than in 2013 and 2014. Unlike his opponents, Scioli benefits from a truly national political network, which was clear on Sunday — the FpV won more votes in all but three provinces. As the governor of the country’s most populous province, he currently serves 16.3 million of Argentina’s 41.5 million-strong population. Moreover, Fernández de Kirchner and the current government will be doing everything in its power to bolster Scioli’s chances in the next two months.

Though she cannot herself run for reelection, Fernández de Kirchner’s close ally Aníbal Fernández (currently chief of cabinet) narrowly defeated Julián Domínguez in the hard-fought primary to win the FpV gubernatorial nomination for Buenos Aires province (and to success Scioli). Furthermore, Fernández de Kirchner is believed to have influenced Scioli to appoint as his running mate Carlos Zannini, a Kirchner loyalist and the presidential legal secretary since 2003. The fortunes of Zannini and Fernández mean that Fernández de Kirchner will wield strong influence in any Scioli administration.

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RELATED: What to expect from
Sunday’s Argentine presidential primaries

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Nevertheless, Scioli’s allies worry that he will be forced into a November 22 runoff against Macri. Scioli’s 38.41% support is a bit short of the 45% he will need on October 25 to win the presidency outright (alternatively, he could win with 40% of the vote so long as he defeats his opponent by at least a 10% margin). The primary results suggest that, barring a massive turn among Massa’s supporters to the ruling party, Macri will get a chance to take on Scioli directly.

Since 1983, the end of a brutal seven-year military junta, no presidential election has advanced to a runoff.

Continue reading Scioli leads in Argentine presidential race after primaries

Despite lame-duck challenges, CPK and kirchneristas win Argentine midterms

(163) Plaza del Congreso

The big story from the Argentine midterm elections is the rise of Sergio Massa as the frontrunner for the 2015 presidential election and the likelihood that the era of kirchnerismo is coming to an end.  The fact that Argentine president Cristina Fernández de Kirchner has been absent from the campaign trail following emergency brain surgery earlier this month, which followed her party’s weak showing in August’s open primaries, only seemed to amplify the narrative that her presidency is entering its lame-duck phase.argentina

But amid the hype over Massa’s rise and the curtail calls for kirchnerismo, it may have escaped attention that Fernández de Kirchner’s ruling Frente para la Victoria (FpV, the Front for Victory) actually won Sunday’s midterm congressional elections.

Voters elected one-half of the 257-member Cámara de Diputados (Chamber of Deputies), the lower house of the Argentine National Congress.  Before the elections, Fernández de Kirchner and her allies control 132 seats — and that’s exactly the number they will control after the elections:

chamber2013

It helped that the Front for Victory was defending just 38 seats in the midterms, which certainly limited exposure and potentially greater losses for the kirchneristas.  But make no mistake — Fernández de Kirchner and her allies will continue to control Argentina’s legislative branch for the final two years of her presidency, even if it will become trickier to pass bills into law.

In absolute votes, the Front for Victory and its kirchnerista allies far outpaced any other broad coalition of parties at the national level, winning 11 of the country’s 23 provinces:

argentina2013

Two other blocs each won about a quarter of the vote. Continue reading Despite lame-duck challenges, CPK and kirchneristas win Argentine midterms

Kirchner health problems complicate midterm elections campaign

cristina

Even before her latest health scare, Argentine president Cristina Fernández de Kirchner was appearing increasingly like a lame-duck president.argentina

Prevented from running for reelection under the two-term limit in the Argentine constitution, Kirchner’s ruling Frente para la Victoria (FpV, the Front for Victory) was already struggling in midterm elections that will determine nearly half of the Argentine legislature.

But Fernández de Kirchner was rushed to the hospital for emergency surgery to remove blood from the surface of her brain, which followed a previously undisclosed subdural hematoma suffered after the president fell in August.  She was instructed by doctors to rest for 30 days, all but guaranteeing that the leading figure in Argentine politics would be on the sidelines as the country votes.

That might actually be good for the FpV’s chances, given the unpopularity of kirchnerismo these days — a decade after her husband Néstor Kirchner first won election, Fernández de Kirchner leads a government that’s struggling to stop inflation, slow rising crime and turn around a weakening economy.  The Argentine government’s dysfunctional exchange rate policy has led to the emergence of a black market for US currency.  Moreover, Fernández de Kirchner is still battling some of the holdout creditors from Argentina’s 1999-2001 debt crisis even as Argentina remains shut out from capital global markets, which has left the Argentine treasury sometimes grasping for liquidity.

Meanwhile, her former ally Sergio Massa is leading the charge against her in the province of Buenos Aires, by far the largest province in Argentina (it’s home to 15.5 million of Argentina’s 41 million residents). Massa, also a center-left peronista, served as the chief of the cabinet of ministers from 2008 to 2009 before winning election as the mayor of Tigre.  But he’s broken with Fernández de Kirchner in the midterm elections, and he’s founded a rival entity, Frente Renovador (Renewal Front).  As Tigre mayor, he’s focused on crime prevention, and as he looks to the national stage, he’s also emphasized reducing crime and corruption.  As a peronista alternative to kirchnerismo, Massa has defined himself as a business-friendly, center-left candidate, who’s embraced the push for greater social and economic justice over the past decade, but who prefers a less unorthodox approach to economic policy.

Massa’s Renewal Front defeated the Front for Victory in August’s open primaries — a sort of dress rehearsal for the actual midterm elections — by a margin of 35.1% to 29.7%, a gap that could grow on Sunday as Massa’s popularity has grown.

Argentines will choose determine one-half of the composition of the 257-member Cámara de Diputados (Chamber of Deputies) of the lower house of the Argentine National Congress and one-third of the composition of the 72-member Senado (Senate), the upper house.  Due to the staggered nature of elections, and the fact that the Argentine opposition did much better in the 2009 midterm elections than in the 2011 general election (when Fernández de Kirchner easily won reelection), the FpV will only be defending 38 of its 116 seats in the Chamber of Deputies.  So there’s still a wide chance that the kirchneristas will still control the legislative branch of government — in any event, the FpV will almost certainly remain the largest party in the Congress, and because of the regional nature of Argentina’s many opposition parties, the FpV will still probably win the largest number of votes in the October 27 midterms, notwithstanding its unpopularity.

But the once-high hopes that the FpV would consolidate its 2011 gains and win a two-thirds majority — enough to amend the Argentine constitution to allow Fernández de Kirchner to run for a third consecutive term — were long ago shattered. Continue reading Kirchner health problems complicate midterm elections campaign

Peronist party, Fernández de Kirchner face insurrection even as opposition remains divided

cristina

After primary elections earlier this week, Argentina’s president Cristina Fernández de Kirchner is in even more trouble than you might have thought, even though her peronista ruling party seems likely to win elections later this year.bsasargentina

That Argentina’s political opposition has been divided for over a decade is clear, but at a time when kirchnerismo is as unpopular as ever, there are no signs that the disparate forces opposed to the increasingly isolated Fernández de Kirchner administration are in a position to capitalize on the government’s unpopularity.  So while Tigre mayor Sergio Massa, a former Kirchner ally turned opposition peronista, made the largest headlines by defeating Kirchner’s candidate in Sunday’s high-profile primary in the province of Buenos Aires, home to 40% of Argentina’s population, there’s really no movement to unite his opposition movement with the more traditional center-right and other regional opposition fronts in advance of the October 27 midterms.  That’s still probably good news for Massa, though, who will have managed to distance himself from the Kirchners without abandoning the resilient peronista label, and winning a test run for the 2015 presidential race in the country’s dominant province.

The country will go to the polls on October 27 to determine one-half of the composition of the 257-member Cámara de Diputados (Chamber of Deputies) of the lower house of the Argentine National Congress and one-third of the composition of the 72-member Senado (Senate), the upper house.  The open primaries earlier this week, in essence, functioned as a massive poll indicating where the country might head in those elections — they are not primaries in the traditional U.S. sense whereby candidates from the same political party duel for their party’s nomination, but a gating mechanism to weed out smaller parties from the October midterms.

The good news for Fernández de Kirchner is that her base of support of around 30% of the vote nationwide should be enough to win those elections, especially considering that her party, the ruling Frente para la Victoria (FpV, the Front for Victory), is the only truly national political party in that it is fielding competitive candidates nationwide.  Ironically, the Front for Victory did better in the 2011 elections (when it won 78 seats), largely on the strength of Fernández de Kirchner’s reelection, than in the previous October 2009 midterm elections (when it won 38 seats), when the opposition actually outpolled the kirchneristas.  That means that, despite the party’s current unpopularity, the opposition will be defending nearly twice as many seats as the Front for Victory due to the staggered nature of Argentine congressional elections — remember that only one-half of the Chamber of Deputies are up for reelection in a given election cycle.

The bad news for Fernández de Kirchner is that former allies are now peeling away from the Front for Victory to run through separate peronista movements as a result of Argentina’s increasingly bizarre economic management and in anticipation of the October 2015 presidential election.  If the primary result is an indication of what will happen in 10 weeks’ time, Fernández de Kirchner will not win the two-thirds congressional majority that she would need to change the country’s constitution and allow her to run for a third consecutive term in 2015.  Kirchner’s party would have to hold onto every seat they currently have and pick up 55 more seats to command that kind of majority, a feat that would outperform the Front for Victory’s 2011 congressional performance.  The bottom line is that the 2013 midterms are an opportunity for potential candidates to break through in what could be the first opportunity in over a decade for an Argentine president not named Kirchner, despite a fiery speech Wednesday to relaunch her party’s campaign for October.

The really bad news is that the Front for Victory placed either second (or worse) not only in Buenos Aires province, but the next three-most populous provinces in Argentina, the federal district and 11 more provinces (in total, 14 out of 23 provinces), including the southern Santa Cruz province that had been her late husband Néstor Kirchner’s base.  See below an electoral map from Clarínblue indicates victory for the Front for Victory; purple for opposition peronista fronts; and red for coalitions dominated by the Unión Cívica Radical (UCR, Radical Civil Union).

Screen Shot 2013-08-15 at 9.15.55 PM

That leaves Fernández de Kirchner as a lame-duck president who will preside over an economy that’s now stalled after years of growth — she risks  leaving office with few allies on the traditional left or the traditional right and the steward of a new potential Argentine economic crisis.  After her husband’s administration defaulted on Argentine debt from the previous decade’s peso crisis, thereby benefitting from nearly immediate economic growth, Fernández de Kirchner has struggled at times to find enough foreign exchange reserves with the country shut out of financial markets, and Argentina, according to at least financial adviser, has an 84.5% likelihood of defaulting in the next five years, and that doesn’t even count the legal embroligio between Argentina and U.S. hedge fund Elliott Associates, a holdout from the prior Argentine debt haircut, that may well go all the way to the U.S. Supreme Court (Felix Salmon at Reuters has made a hilarious video explaining this case here).

That has forced her government to seek out cash in creative ways.  Although Fernández de Kirchner backed down from a plan to raise taxes on agricultural products in summer 2008 after massive farmer protests, she instead nationalized around $30 billion worth of Argentina’s private pensions later that year.  More recently, she nationalized Yacimientos Petrolíferos Fiscales (YPF), Argentina’s largest energy company previously owned by a Spanish firm, in May 2012.  GDP growth slumped to just 2.6% in 2012 and Argentine economists still forecast 4% growth this year, but the country has long struggled with double-digit inflation that many argue is even higher than the government reports.  Continue reading Peronist party, Fernández de Kirchner face insurrection even as opposition remains divided