According to the Universidad Torcuato Di Tella’s monthly survey, confidence in the government fell by 4.6% MoM to 46.7% in June. Considering the June figure, confidence in the government is 18.3% below the peak when the government took office in December 2023.
All components fell in June. The "concern for the general interest" decreased by 10.0% MoM, the "general evaluation of the government" fell by 5.0% MoM, and the "ability to solve the country's problems" decreased by 4.3% MoM. Additionally, the "efficiency in the management of public expenditure" also fell by 4.3% MoM, and "honesty of public officials" was essentially unchanged at the margin (-0.7% MoM). Consequently, even fewer respondents expect an improvement in the economic outlook, which fell by 1.2% MoM.
Our take: Despite the drop in June, the government approval remains high. Maintaining high approval confidence is key for the administration, with the midterm elections looming at the end of October. The next government confidence report will be released on July 28.