Argentina’s nuclear energy ambitions are coming under pressure from a tough austerity package and cost-cutting drive by president Javier Milei, the head of the National Atomic Energy Commission (CNEA) told Reuters.

The squeeze on the budget of CNEA, which oversees research and development of nuclear energy in Argentina, has stalled construction work on the cutting-edge Carem small modular reactor and other projects, Adriana Serquis said, according to Reuters.

The CNEA said in a statement its budget had been held at 2023 levels of around 100 billion pesos ($114m, €106m), despite annual inflation nearing 300%, meaning the amount was only enough to cover expenses until this month or next. Transfer of part of the expected budget had also been delayed, it added.