Argentine anger at spending cuts

Protesters demand the government cancel its economic measures

By Tom Gibb in Buenos Aires

In Argentina, there has been strong public criticism of government spending cuts announced on Wednesday, designed to stave off bankruptcy.

The cuts are expected to reduce public sector salaries and pensions by up to 13%, although exact details still have to be announced.

Why don't they make the rich pay? Everyone here avoids paying taxes, that's why the government is broke

Jose Troido, pensioner

President Fernando de la Rua is holding meetings through the weekend to try to muster political support for his measures, but the public mood is making that harder.

On the streets there is widespread criticism of the latest plan to save Argentina from bankruptcy and balance the government's books.

Corrupt politicians

The most common criticism is that the poorest section of society - particularly pensioners - will pay for the errors of politicians, who many Argentines regard as universally corrupt.

"Why don't they make the rich pay?" 66-year-old pensioner Jose Troido complained.

"Everyone here avoids paying taxes, that's why the government is broke," he said.

Another criticism is that the measures will cut people's ability to spend, making it even harder to pull the economy out of a three-year recession.

Unions to strike

The public mood is making it difficult for President de la Rua to build political support within his own government alliance.

Many of his political allies want the plan changed to protect those on low incomes and the government still has to get support from opposition provincial governors.

The president is finding it hard to build support

However, it remains to be seen whether the unions, who have called a 24-hour strike next week, will be able to mobilise enough support to stop the plan.

Many people also appear fatalistic and fearful that the future could get worse if the government is forced to devalue the currency.

That would put many Argentinians hopelessly into debt.