Santiago Caputo left empty-handed in Milei Cabinet reshuffle

In the days following La Libertad Avanza's legislative victory in Argentina’s midterm elections, a wave of speculation surrounding the figure of Santiago Caputo began to emerge. The advisor, part of President Javier Milei’s “Iron Triangle” also including Karina Milei, was the centre of intense rumours about his possible promotion to a key position in the Executive. Potential posts included Milei’s Cabinet chief and interior minister. 

Sources, quoted in the local press, maintained that following the departure of Guillermo Francos, there was a real debate in the Casa Rosada about whether the ‘Kremlin Wizard’ should take on a position of formal power in the La Libertad Avanza administration. The rumours circulated widely between journalists and were reported by national media outlets that detailed internal negotiations. In several cases, these were aired sotto voce by the consultant himself. 

The speculation included several factors, ranging from Caputo’s alleged growing influence in public decision-making, to the departure of Francos, the institutional ‘bridge.’. For example, La Nación reported that Milei t himself was discussing the powers that Caputo might have in a new-look Interior Ministry, or in a political coordination role, which fuelled rumours of a reshuffle that would involve moving more loyal collaborators into the president's inner circle. 

However, the negotiations were not a done deal. Local media reported that the appointment of officials was delayed due to internal resistance, the need to rebuild ties with provincial governors and the search for profiles that would reconcile political legitimacy. The reports also highlighted the role of Presidential Chief-of-Staff Karina Milei as someone who could veto the proposal and shape the final decision. In this context, the possibility of Caputo formalising his role in the national administration was diluted in favour of other alternative candidates.

The departure of Guillermo Francos was interpreted by analysts and by Francos himself as the end of ‘a cycle,’ a new political era following the election victory. This opened up the vacancy and unlocked a series of names to succeed him. Finally, the President opted for Manuel Adorni, his former presidential spokesperson, as the new Cabinet chief. Adorni – who has a good rapport with Karina – was presented as the ideal person to coordinate work between ministries and ensure internal loyalty. 

Meanwhile, the Interior Ministry is now headed by Diego Santilli, the big winner from last month's national legislative elections. His appointment is a move to rebuild ties with provincial governors and bring political experience into relations between the Executive, the provinces and Congress. The arrival of the former Macri leader is presented as a signal to sectors seeking greater institutionality and dialogue after the turbulence of recent months. 

The concrete result is a hybrid solution that can be summarised as the departure of figures with a negotiating profile and the arrival of two names that fulfil different but complementary functions for the President’s future political management. 

Santiago Caputo, a powerful figure behind the scenes and the driving force behind several media reports, has not ended up  formally assuming either of the two senior positions mentioned. The Casa Rosada's ‘monotributista’ advisor was left without the bread and without the cake. ​