Austral plan

Raúl Alfonsín became president of Argentina in 1983 through democratic elections, receiving high inflation rates and a significant external debt taken on by the outgoing Military government.

It froze prices and wages, stopped the printing of money to mitigate inflation and enacted spending cuts, even higher than those required by the IMF to enable its funding.

This caused a boost in Alfonsín's public image, leading to a victory of the Radical Civic Union in the 1985 midterm elections.

Export prices dropped, international debt increased, and the government was consistently opposed by both Peronism and the labor unions.

Alfonsín resigned that year, amid riots, and was succeeded by elected president Carlos Menem six months before his due date.