American Treasury Secretary Scott Bessent announced this Thursday (9) that the United States directly purchased Argentine pesos and finalized a US$20 billion currency swap structure with the Central Bank of Argentina to help the country of President Javier Milei.
In a post on X, Bessent announced the measures after four days of meetings with Argentina’s Economy Minister, Luis Caputo, in Washington.
“Argentina is facing a moment of illiquidity [de dólares] acute. The international community – including the IMF [Fundo Monetário Internacional] – is united in support of Argentina and its prudent fiscal strategy, but only the United States can act quickly. And we will act”, wrote the secretary.
A currency swap is a financial agreement between two parties to exchange value and interest payments in different currencies over a specific period, often used to access foreign currency loans at a lower cost or to minimize currency and interest rate risks.
The partnership for the currency swap had been agreed between the two governments during Milei’s visit to the United States in September, when he spoke at the UN General Assembly and met with President Donald Trump in New York.
“The US Treasury is prepared, immediately, to take any exceptional measures that are necessary to provide stability to the markets,” Bessent added.
On the 14th, Milei will go to the USA to meet Trump again, this time at the White House.
