US Treasury Secretary Scott Bessent has left open the possibility of renewed financial intervention to support Argentina's government under President Javier Milei, citing the US response during the country's 2025 market turmoil and arguing that economic stability can serve Washington's broader strategic interests.
Bessent made the remarks in an interview with Axios' co-founder Mike Allen after Argentina's country risk reached 655 basis points last week, its highest level of 2026. The increase came amid higher global interest rates, weaker domestic economic indicators and investor concerns about the future of Milei's radical economic programme beyond 2027.
Asked whether the United States could intervene in financial markets again, Bessent pointed to Washington's support for Argentina ahead of its October 2025 legislative elections, when the Treasury extended a $20bn currency swap line that he described at the time as a "lifeline."
“Let’s think about what we did in Argentina,” Bessent said. He described Milei as “a great ally of the United States who had done a great series of reforms” and said the president's opponents had been trying to turn markets against him and create “financial panic” ahead of the October 2025 mid-term vote, which Milei's party went on to win by a large margin.
Bessent said the previous intervention had been carried out “with the blessing of President Trump” and under the principle that “economic security is national security, and national security is economic security”.
He said the United States had used its balance sheet through a fully collateralised currency swap and had generated a return for US taxpayers while helping Argentina's government navigate the political and financial pressure surrounding the election.
The Treasury secretary linked the operation to Washington's wider efforts to strengthen relationships in Latin America, as part of the Trump administration's renewed focus on the Western Hemisphere. “I would say that the stabilisation of Argentina has led to a sea change in Latin America, something generational or maybe first time in history that we’ve never had this many Latin American countries allied with the US. So could we do that again? Sure." he said.
The comments come as Argentina prepares for a year in which access to external financing and foreign-currency liquidity are expected to remain important issues. Economy Minister Luis Caputo has presented investors with what he described as a financial “shield” of about $72bn to navigate the electoral period.
The figure includes a $20bn currency swap with China, a $20bn facility with the US Treasury, a $17bn target for reserve accumulation and about $15bn in potential intervention through futures markets. The components differ in their practical availability, with only part of the Chinese swap described as potentially flexible and the futures position providing exchange-rate protection rather than liquid dollars.
The availability of the US facility during 2027 has been a specific concern among investors. Caputo has said the line remains available, while Bessent's latest comments provided an additional political signal without specifying the conditions under which any future operation could take place.
The 2025 intervention remains the principal precedent. Ahead of Argentina's legislative elections that year, the US Treasury intervened in the foreign-exchange market and agreed to a currency swap of up to $20bn. Argentina's central bank drew $2.5bn from the arrangement and repaid the amount before the end of that year, later reporting $17.7mn in interest payments.
The US government and Argentina have since expanded cooperation beyond financial support. In September, the two countries advanced the Andes-Atlantic Corridor, a framework intended to facilitate up to $7bn in financing in 2027 for energy, mining and infrastructure projects through institutions including the US Export-Import Bank and the Development Finance Corporation.
Argentina LNG, developed by YPF with Eni and XRG, has emerged as a central project under that framework. The Exim Bank has presented a non-binding indicative proposal for up to $6bn in financing, although any funds would depend on project approvals and conditions and would not represent an immediate increase in Argentina's central bank reserves.
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