At 18, Martín Taborda entered the University of Buenos Aires with a clear goal. He wanted to study law and become the first university graduate in his family.
Two years later, that dream looks increasingly difficult.
Taborda is unemployed and carries about $1,300 in debt. He can no longer afford regular bus trips from his suburb to university. He also struggles to pay for the books he needs.
His situation reflects a wider problem among young Argentines. Rising household debt is putting pressure on families and creating new political challenges for President Javier Milei.
Young Argentines struggle with debt
Argentina has about 45 million people. Nearly half of them owe money, according to the Center for City Studies, an Argentine nonprofit.
More than 5 million borrowers have fallen behind on payments. Young people face an especially difficult situation.
Borrowers under 25 have a delinquency rate of 37.6%. That is the highest rate among all age groups.
For Taborda, the problem began with a relatively small loan. In 2024, he borrowed just over $100 through a mobile payment app to cover education costs.
However, missed payments caused the balance to grow rapidly. Interest pushed his debt to roughly $1,300.
“There’s hardly any work for anyone in this country right now,” Taborda said.
He now depends on other people to cover basic needs. That dependence has also affected his confidence.
“You start to feel like a parasite,” he said.
Debt becomes a political problem
The growing debt burden could also affect Milei’s support among young voters.
Many young Argentines backed the president because they wanted major economic change. Milei has made controlling inflation a central part of his economic program.
However, voters now face another concern: finding work and keeping enough income to cover everyday expenses.
As a result, household debt has become an increasingly important political issue. The opposition could use that frustration to attract voters who have become disappointed with the government’s economic policies.
The timing also matters. Argentina is heading toward its next presidential election, giving political parties a reason to focus on household finances.
Congress considers debt relief
Meanwhile, lawmakers have begun discussing possible relief for struggling borrowers.
Debtors and labor unions gathered outside Congress on Wednesday. Inside, lawmakers agreed to consider 50 proposals aimed at easing household debt.
The proposals include interest-rate limits and refinancing options.
Interestingly, members of Milei’s libertarian party also voted to debate the measures. However, that vote did not mean they supported the proposals themselves.
Opposition lawmaker Pablo Juliano said many families borrow simply to survive.
“Many are falling into a spiral of borrowing to repay other loans,” he said.
Families want to repay what they owe, Juliano added. Yet many cannot find affordable ways to restructure their debts.
Argentines borrow to cover basic needs
Milei has rejected calls for broad government intervention. He argues that unpaid loans represent private agreements between borrowers and lenders.
Economy Minister Luis Caputo has offered a different message. He recently said banks were making repayment terms easier for some borrowers.
At the same time, Caputo warned that compassion should not automatically become government policy.
For young Argentines, however, the pressure remains immediate.
Recently, Taborda joined several dozen students at his university’s economics school. They gathered to discuss how debt has affected their lives.
The meeting followed strict confidentiality rules. The format resembled support-group meetings.
A moderator asked students about their experiences. Who had bought groceries through installment payments? Who had borrowed through payment apps? Who had taken another loan to repay an older one?
Many young Argentines are now confronting those questions themselves.
For Taborda, the issue goes beyond money. Debt has interrupted his education, limited his independence and placed his future under pressure.
As a result, Argentina’s debt problem is becoming more than an economic statistic. It is also testing whether young voters still believe Milei can deliver the better future they expected.
