By Susan Heavey WASHINGTON (Reuters) -U.S. Treasury Secretary Scott Bessent said on Monday that “all options for stabilization are on the table” to support Argentina, with more details available after Argentine President Javier Milei and U.S. President Donald Trump meet on Tuesday in New York. “These options may include, but are not limited to, swap […]
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Treasury chief: US ready to support Argentina, leaders to meet Tuesday
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By Susan Heavey
WASHINGTON (Reuters) -U.S. Treasury Secretary Scott Bessent said on Monday that “all options for stabilization are on the table” to support Argentina, with more details available after Argentine President Javier Milei and U.S. President Donald Trump meet on Tuesday in New York.
“These options may include, but are not limited to, swap lines, direct currency purchases, and purchases of U.S. dollar-denominated government debt from Treasury’s Exchange Stabilization Fund,” Bessent wrote on X.
Bessent said he will attend the meeting between Milei and Trump on the sidelines of the United Nations General Assembly in New York.
Argentina signed a new $20 billion four-year loan deal with the International Monetary Fund in April that required the country to dismantle years-long currency controls and loosen its grip on the peso. Milei is seeking support for his economic policies at a time when financial markets have been roiled by his ruling party’s loss in legislative elections in the province of Buenos Aires, signaling growing discontent with austerity.
Argentina’s central bank made its largest daily dollar sale in nearly six years on Friday as it continued to use reserves to support the local currency, meeting strong dollar demand from institutional investors wary of political instability.
The bank’s latest intervention totaled $678 million, bringing the total amount of dollars sold in the last three sessions to $1.1 billion.
“We remain confident that President @JMilei’s support for fiscal discipline and pro-growth reforms are necessary to break Argentina’s long history of decline,” Bessent wrote on X.
Plans for Milei to meet with IMF Managing Director Kristalina Georgieva, who also is due to attend the U.N. meetings in New York, were not immediately clear. A spokesperson for the IMF could not immediately be reached for comment on Argentina’s situation.
(Reporting by Susan Heavey, David Lawder, Andrea Shalal and Maiya Keidan)