BUENOS AIRES, Argentina (AP) — At 18, Martín Taborda began studying law at Argentina's prestigious University of Buenos Aires, hoping to become the first in his family to graduate. Just two years later, that dream has slipped out of reach. This was reported by Qazaqyia.kz citing Associated Press.
Unemployed and $1,300 in debt, he can no longer afford the bus fare from his suburb or the books he needs to keep studying — even at a tuition-free university that has helped generations of Argentines climb into the middle class.
He's not alone. Nearly half of Argentina's 45 million people owe money, and more than 5 million are behind on payments, according to the Center for City Studies, an Argentine nonprofit that tracks debt using central bank data. Borrowers under 25 have the highest delinquency rate of any age group, at 37.6%.
"There's hardly any work for anyone in this country right now," said Taborda, who borrowed the equivalent of just over $100 through a mobile payment app in 2024 for education expenses. His debt has now grown to $1,300.
This situation is testing support for President Javier Milei's economic reforms. Since taking office, Milei has implemented strict measures to reduce inflation and cut government spending. However, the debt crisis among young Argentines highlights the social consequences of his policies and has sparked protests.
In August, demonstrations took place outside the Economy Ministry in Buenos Aires. Protesters with their hands tied held a banner reading in Spanish: "Galperin loan shark, Milei an accomplice." They demanded government action over a household debt crisis.
University students have also been meeting to discuss the issue. On Aug. 26, university students in Buenos Aires gathered in a classroom to talk about debt.
Economists say the debt burden on young Argentines is linked to high unemployment and low wages in the country. While Milei's reforms have helped curb inflation, a large portion of the population still faces economic hardship.
For young people like Taborda, this situation is leading to a loss of hope for the future. "I want to continue studying, but right now it seems impossible," he said.
The Milei administration has not yet officially responded to the issue. However, experts warn that the debt crisis could undermine confidence in the president's economic direction.
The situation in Argentina reflects a trend seen in other Latin American countries, where young residents are suffering from economic instability. The debt problem among youth in the region could heighten social tensions.
Associated Press continues to monitor the situation and plans to publish further updates.