Mercado Libre headquarters targeted by protest over high loan interest rates

Protesters gathered outside the central offices of e-commerce giant Mercado Libre in Buenos Aires, denouncing the company's high-interest rates on loans. The political party Libres del Sur, associated with Peronism, organized the demonstration on Tuesday, which followed a 24-hour boycott call against the company made the previous day.

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The usurious interest rates that the company has been charging, up to 1300%.

Carrying signs targeting Mercado Libre CEO Marcos Galperin, President Javier Milei, and Economy Minister Luis Caputo, Libres del Sur demanded action against what they termed "usurious interest rates" of up to 1300%. The party stated in a release that this situation leads to "very high levels of default that affect workers, retirees, and citizens in general." Slogans like "Danger: zone of family fraud" and "Mercado usury" were displayed at the protest site, a 26,000-square-meter building inaugurated in 2019.

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This situation generates very high levels of default that affect workers, retirees, and citizens in general.

Libres del Sur initiated a boycott on Monday against Mercado Libre, Mercado Pago, and Mercado Crédito, labeling it the "First boycott against oppression and economic usury." The party clarified that their objection is not to the company itself or charging interest, but to the reasonableness of the rates, which they believe should align with the annual inflation rate. They are also demanding the refinancing and refund of exorbitant interest already charged, framing President Milei's economic adjustments as a "gun to the head of our people."

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We are not against the company itself, nor against it charging interest on loans granted, but we want reasonable rates, in line with this year's annual inflation. Likewise, we demand the refinancing and refund of the exorbitant interest charged to date. We ratify that Milei's adjustment is a gun to the head of our people.

Data from June shows that family loan defaults reached 17.5%, according to a report by the Austral University's Faculty of Business Sciences and the consulting firm EcoGo. Libres del Sur criticized Milei's economic policies for allowing credit cards and virtual wallets to have unlimited interest rate increases, enabling charges up to 40 times the annual inflation. The party asserted that Marcos Galperin, banks, and foreign investment funds are profiting from exploiting those with fewer resources through usurious interest.

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Milei subjects us to a terrible adjustment. He allowed credit cards and virtual wallets to have no limit on increasing their interest rates, allowing them to charge up to 40 times the annual inflation.