United States Treasury Secretary Scott Bessent said on Monday that he is considering “all options for stabilization” from the Argentine economy and is “ready to do what is necessary within his term to support” the country and the government of President Javier Milei, with whom he will meet this week in New York, along with President Donald Trump.
“Argentina is an ally of systemic importance for the US in Latin America and the Treasury Department is ready to do what is necessary within its mandate to support Argentina. All options for stabilization are open,” Bessent wrote on social network X.
Bessenta has advanced some of the options being considered to help the country, although they insisted that they have not limited to these, opening the door to any alternative.
The first was the swap lines, which consist of currency exchange agreements between central banks. In this case, it would be the Federal Reserve (Fed, Central Bank of the US) that would exchange US dollars with the Argentine Central Bank.
Bessent was willing to buy Argentine pesos directly with US dollars, with the aim of preventing weight from losing so much value from the dollar, in part maintaining the purchasing power of Argentines.
In addition, it proposed the purchase of dollar -designated Argentine debt through the Treasury Stabilization Fund (FHS), a US tool to intervene in international markets.
The Trump government thus seeks to launch a kind of salvation for the economy of one of the greatest international allies, especially on the American continent. The country is going through a complicated financial moment, the Argentine weight accelerated its fall and the Central Bank had to sell reserves.
The Malei government is under political and economic pressure just over a month from legislative elections, in which half of the Chamber of Deputies Argentina will be renewed.
A few weeks ago, Peronism won Milei’s party for more than 13 points, freedom advances in the legislative elections of the province of Buenos Aires.
“Opportunities for private investment will remain broad and Argentina will be great again,” he said, alluding to the slogan Maga. Bessent, Trump and Milei will meet tomorrow in New York, where international leaders around the world will meet for the UN General Assembly.
Milei thanks USA for commitment to support Argentina
Argentina President Javier Milei expressed his thanks to the US Treasury Department for his “unconditional support” to his country.
Milei thanked her after US Treasury Secretary Scott Bessent has confirmed that she will maintain financial support to Argentina through the FEE Stabilization Fund (FHS).
“Huge thanks to US Treasury Secretary Scott Bessent and President Donald Trump for his unconditional support to the Argentine people, who two years ago chose to reverse a century of decay with a lot of effort,” Milei wrote in a message published on social network X.
“We who defend the ideas of freedom should work together for the welfare of our peoples. We see each other on Tuesday in New York,” added the Argentine President, in reference to the bilateral gathering scheduled with Trump under the United Nations General Assembly.
“Opportunities for private investment are still broad and Argentina will be great again,” said Bessent, who will be responsible for delivering Milei the Global Citizen Award Award, awarded by the Atlantic Council Study Center, during a gala event on Wednesday (24) in New York.
Milei confirmed last week that her government is negotiating a new loan with the US Treasury to make debt payments in 2026, which will be $ 4 billion in January and another $ 4.5 billion in July.
Argentina is going through a moment of strong financial tension, after the high price of the dollar in the currency market over the Argentine weight, so the Central Bank decided last week to sell up to $ 1.11 billion to try to curb the rise in US currency.
