U.S. signals strong support for Argentina with $20 billion swap line and bond purchases

The U.S. is currently negotiating a $20 billion swap line with Argentina’s central bank, signaling readiness to support the country’s economy, Treasury Secretary Scott Bessent announced on Wednesday via X.

The big picture: Bessent confirmed the U.S. is prepared to purchase Argentina’s U.S. dollar-denominated bonds, both secondary and primary government debt, as conditions warrant. • The U.S. will also provide significant standby credit through the Exchange Stabilization Fund to stabilize Argentina’s financial markets. • “Argentina has the tools to defeat speculators, including those who seek to destabilize Argentina‘s markets for political objectives,” Bessent said. “I will be watching developments closely and the Treasury remains fully prepared to do what is necessary.” • Bessent,