President Javier Milei removed Sonia Cavallo from her role as Argentine Ambassador to the Organization of American States (OAS). The decision came days after her father, Domingo Cavallo, a former economy minister formerly admired by Milei, criticized the government’s economic program.
“By the president’s decision, Sonia Cavallo is no longer the Argentine ambassador to the OAS,” announced Presidential spokesman Manuel Adorni on Monday on an X post.
A Foreign Ministry spokesperson declined to give further details on Cavallo’s replacement or the reasons for her layoff.
Sonia Cavallo was appointed OAS ambassador in May 2024, while Diana Mondino was still the country’s foreign minister. Cavallo was appointed as an “extraordinary and plenipotentiary ambassador,” meaning she was not formally part of the Argentine diplomatic body, and her tenure was tied to the Milei presidency.
Days earlier, the former economy minister said in a blog post that a disbursement from the International Monetary Fund (IMF) would be “relevant in the sense that it means the IMF backs the government’s economic policy,” but it “won’t translate into the increase of net reserves needed to eliminate currency controls.”
Cavallo’s comments were in response to new negotiations between the government and the lender of last resort to hash out a new deal. Currency controls have been a consistent sticking point. Last week, Milei told LN+ that he would lift the currency controls known as the cepo on January 1, 2026. However, he added that this could happen even “faster” with a new deal that would translate into disbursements in 2025.
On Monday, Milei called Cavallo “a mess” during an interview with news channel A24. He also criticized the exchange rate policy of pegging the peso to the U.S. dollar implemented when Cavallo was a minister. The system, known as convertibilidad, imploded in 2001, a key factor in the country’s deep socioeconomic crisis.
“Our program is much more successful than the convertibilidad because we didn’t need hyperinflation to carry it out. We stopped that from happening and affecting people and instead designed a successful program.”
Before becoming president, Milei had described Cavallo as “the best economy minister in history,” although he has since used that term for his own economy minister, Luis Caputo.
Cavallo’s exit was followed by the ouster of the country’s social security chief hours later.