The United States Treasury Secretary, Scott Bessent, officially announced the swap for up to USD 20 billion reached with Argentina, and emphasized that it is an "economic stabilization" instrument aimed at supporting President Javier Milei's structural reforms.
"This agreement is not a bailout, it's a bridge to a better economic future for Argentina", Bessent stated on his official X (formerly Twitter) account. He also assured that the United States doesn't want another failed state in Latin America, alluding to the regional impact that an Argentine crisis would have.
The understanding was reached in coordination with the Central Bank of the Argentine Republic (BCRA) and seeks to strengthen international reserves and provide the Government with instruments to contain exchange rate volatility. According to Bessent, Milei's policies represent "a break with decades of excessive spending and reckless borrowing inherited from Peronist populism."
Swap details and program objectives
The Central Bank explained that the agreement with the U.S. Treasury is part of a comprehensive macroeconomic stability strategy, with special emphasis on preserving purchasing power and ensuring sustainable growth.
"This way, the BCRA expands the set of available monetary and exchange rate policy tools, strengthening its capacity to respond to episodes of volatility", official sources indicated.
Scott Bessent oficializó el acuerdo con Milei y respaldó su plan económico
The activation of the swap tranches will depend on the Central Bank's liquidity needs. Currently, international reserves are around USD 41.168 billion, and authorities have ruled out immediate use of the agreement.
Bessent: support for Milei and Trump's regional leadership
The U.S. official highlighted that President Milei has the support of the Trump administration, which promotes a hemispheric policy based on stability and free enterprise.
"President Trump is leading the way in the Western Hemisphere", Bessent stated, adding that his government supports "Milei's prudent fiscal strategy to make Argentina great again."
This way, Washington strengthens its economic and political ties with Buenos Aires, at a time when the White House seeks to consolidate allies in Latin America in the face of China's influence.
Scott Bessent oficializó el acuerdo con Milei y respaldó su plan económico
Impact on Argentine economic policy
The agreement with the United States improves the country's financial profile and consolidates the position of the Central Bank, while sending a signal of confidence to the international market.
BCRA sources emphasized that, although the swap with China for USD 18 billion remains in effect, the agreement with the U.S. Treasury "differs in technical and accounting aspects, but both expand the set of monetary and exchange rate policy tools."
