Argentina's Fernandez to replace Cabinet chief as election looms

BUENOS AIRES (Reuters) -Argentina's center-left President Alberto Fernandez will elevate the country's current spy chief to lead the Cabinet, an important reshuffle as the embattled Peronist government looks to win back voters ahead of an October general election.

Fernandez on Wednesday will swear in Agustin Rossi, a former defense minister who now heads the country's intelligence agency, the presidency said in a statement on Monday, replacing current Cabinet chief Juan Manzur.

Manzur has said he would return to the northern province of Tucuman, where he is from, to lead the campaign for the ruling coalition's governor candidate in upcoming local elections.

The Peronists, Argentina's foremost political power, are reeling in opinion polls with inflation running at nearly 100% and fears over increasing debt, with infighting between factions over who should even be its main presidential candidate.

The Peronists were badly beaten in 2021 congressional elections, which showed the conservative opposition well ahead. The main opposition party, however, also has yet to unite behind a single candidate, leaving many questions open about the race.

"Rossi is a recognized activist and political leader," the government said in a statement, adding he had previously served in the governments of Néstor Kirchner and Cristina Fernandez Kirchner, the current powerful vice president.

Manzur will lead the campaign for the Tucuman governor race for Osvaldo Jaldo in what is expected to be a key regional election for the ruling center-left Peronist coalition.

President Fernández could seek re-election in October though he is facing splits with his coalition.

(Reporting by Nicolas Misculin and Kylie Madry; Editing by Sarah Morland, Caitlin Webber and Will Dunham)