Leopoldo Galtieri - Rise To Power

Rise To Power

In 1975, after more than 25 years as a combat engineer, he became commander of the Argentine engineering corps. He was an enthusiastic supporter of the military coup that started the self-styled National Reorganisation Process in 1976 and rose further, becoming a major general in 1977, and commander-in-chief in 1980 with the rank of lieutenant general.

During the junta's rule, Congress was suspended, unions, political parties and provincial governments were banned, and in what became known as the "Dirty War" between 9,000 and 30,000 people deemed left-wing "subversives" disappeared from society. Torture and mass executions were both commonplace. The economy, which had been in dire condition prior to the coup, recovered for a short time, then deteriorated further.

In March 1981, Galtieri visited the United States and was warmly received, as the Reagan administration viewed the regime as a bulwark against communism. National Security Advisor Richard V. Allen described him as a "majestic general." An adherent to the Argentine military's Cold War-era doctrine of "ideological frontiers," Galtieri secured his country's support for the Contras in August, sending advisers to help organize the Nicaraguan Democratic Force (FDN, for a time the principal Contra group), as well as training FDN leaders in Argentine bases. His support for this initiative, in turn, allowed Galtieri to remove a number of rival generals and, in December 1981, he rose to the Presidency of Argentina by means of a coup that ousted General Roberto Viola. Argentine support became the principal source of funds and training for the Contras during Galtieri's tenure.

Galtieri retained direct control of the army and did not appoint a new commander-in-chief. He appointed conservative economist and publisher Roberto Alemann as Economy Minister. Alemann inherited an economy in deep recession in the aftermath of José Alfredo Martínez de Hoz's deregulatory and free trade policies of the late 1970s. Alemann slashed spending, began selling off government-owned industries (with only minor success), enacted a tight monetary policy, and ordered salaries frozen (amid 130% inflation). The Central Bank Circular 1050, which tied mortgage rates to the value of the US dollar locally, was maintained, however, leading to further deepening of the crisis; GDP fell by 5%, and business investment by 20% over the weakened levels of 1981.

One of his closest allies, the head of the First Army Corps, General Guillermo Suárez Mason, was named Chairman of YPF, at the time the state petroleum concern, and the largest company of any type in Argentina. Suárez Mason's turn at YPF would help result in a US$6 billion loss for the company – the largest recorded corporate loss in the world, up to that point.

Galtieri instituted limited political reforms which allowed the expression of dissent, and anti-junta demonstrations soon became common, as did agitation for a return to democracy.

Throughout his time in power Galtieri was rumoured to be an alcoholic.