The arrival of the United States Treasury Secretary, Scott Bessent, in Buenos Aires this Monday could include the announcement of a special credit line aimed at strengthening financing for Argentina.
This possibility is being evaluated within the framework of conversations between officials from both countries, according to sources with direct access to the negotiations confirmed to Infobae.
If realized, this additional assistance from the U.S. Treasury would be part of a broader package aimed at strengthening the Central Bank's reserves. It would be added to the first disbursement expected from the International Monetary Fund (IMF), once its board approves the new agreement with the country, something expected for this Friday. It would also be complemented by funds from other multilateral organizations, such as the World Bank, the IDB, and the CAF.
The goal of Javier Milei's government is to reach USD 50 billion in gross reserves, currently below USD 25 billion. The financing proposal from the U.S. Treasury will be one of the main topics in the meeting that Bessent will have this Monday with President Javier Milei and the Minister of Economy, Luis "Toto" Caputo.
Javier Milei y Donald Trump.
Between this Friday and next week, the Executive Power could secure key support to strengthen the Central Bank's reserves, in a scenario marked by a sharp drop in international assets. After more than four months of conversations, the International Monetary Fund's board is preparing to discuss the new agreement with Argentina.
The understanding scheme, which has already been generally outlined, is framed in an Extended Fund Facility (EFF) program, totaling USD 20 billion. This agreement includes an initial disbursement higher than usual for this type of program.
Additionally, the funds received by the Treasury will be aimed at the repurchase of Non-Transferable Letters, which will allow the Central Bank to increase its foreign currency reserves and, at the same time, get rid of a low-liquidity financial instrument.
Furthermore, it is known that the program will have a four-year duration, with quarterly evaluations of fiscal, monetary, and reserve accumulation objectives. A grace period of four and a half years was also established, during which no payments will be required for this new EFF. The total repayment period for the loan will extend up to ten years, considering the complete reimbursement structure.
Javier Milei y Donald Trump.
In addition to the financial support from the International Monetary Fund, an additional contribution from multilateral organizations such as the World Bank, the IDB, and the CAF is expected, which would further expand the volume of resources. The total estimated through this route could reach USD 6 billion.
Scott Bessent's statements
From the U.S. Treasury Department, they indicated that the visit seeks to express the "full support" of the United States for the economic reform plan promoted by Javier Milei's government.
In an official statement, Secretary Scott Bessent stated: "Thanks to President Javier Milei's determined leadership, the relationship between the United States and Argentina is stronger than ever. I eagerly anticipate our positive discussions about the Argentine economy and the ways in which our nations can further deepen their vital economic relationship".
The official also alluded to the public support that President Donald Trump expressed toward the Argentine leader, highlighting his role in attempting to reverse the country's macroeconomic situation. In the text released by the Treasury, the attitude of Milei's government was praised, emphasizing that it has chosen "action over words", in line with the strategy that Milei has been applying since his inauguration last December.
During his stay in Buenos Aires, Bessent plans to reaffirm the support of the U.S. administration for the ongoing economic plan and will encourage other international actors to decisively accompany the proposed reforms. Among the central topics to be discussed with authorities and private sector representatives are the consolidation of fiscal balance, the promotion of foreign investments, and the strengthening of bilateral financial ties.
