Oct. 10 (UPI) — The United States has finalized a $20 billion financial support framework with Argentina, making good on President Donald Trump‘s pledge to help the struggling country, led by ally President Javier Milei, despite growing opposition to the move from both Democrats and Republicans.
Treasury Secretary Scott Bessent announced the deal Thursday on X, saying it followed four days of “intensive meetings” in Washington, D.C., with Argentina’s Minister of Economy Luis Caputo.
The deal, which includes a $20 billion currency swap and the direct purchase of Argentine pesos, was completed with Argentina’s central bank, said Bessent, adding that his department is prepared to “immediately” take all measures needed to stabilize the South American country’s markets.
“Argentina faces a moment of acute illiquidity,” he said in the statement.
“The Trump administration is resolute in our support for allies of the United States, and to that end, we also discussed Argentina’s investment incentives, and U.S. tools to powerfully support investment in our strategic partners.”
Milei, Argentina’s libertarian leader, is a staunch supporter of Trump and attended his inauguration in January.
Last month on the sidelines of the United Nations General Assembly, the American president in a press conference alongside Milei endorsed him for a second term.
Trump also told reporters that the United States was “going to help them” but that it wouldn’t be a bailout.
Caputo expressed his “deepest gratitude” to Bessent online following the announcement.
“I eagerly anticipate our meeting next week, where I am confident our teams will continue to collaborate with the same spirit of determination and partnership to advance our mutual objectives,” Caputo said on X.
Trump and Milei are scheduled to meet Tuesday.
The announcement has been met with criticism from both sides of the political aisle as well as farmers.
Eight senators on Thursday introduced the No Argentina Bailout Act to prohibit Treasury funds from bailing out Argentina’s financial markets.
“It’s inexplicable that President Trump is propping up a foreign government, while he shuts down our own,” Sen. Elizabeth Warren, D-Mass., ranking member of the Senate Banking, Housing and Urban Affairs Committee, said in a statement.
“Trump promised ‘America First,’ but he’s putting himself and his billionaire buddies first and sticking american with the bill.”
Republican Sen. Chuck Grassley of Iowa similarly complained about the deal on X.
“Why would USA help bail out Argentina while they take American soybean producers’ biggest market??? We shld use leverage at every turn to help hurting farm economy Family farmers shld be top of mind in negotiations by representatives of USA,” he said.
The American Soybean Association has voiced opposition to the bailout since Bessent first announced negotiations with Argentina mid-last month.
The ASA was upset that Trump’s tariffs had seen U.S. soybean farmers secure zero sales to China this crop cycle, while Argentine ships soybeans to the Asian nation.
“The frustration is overwhelming,” ASA President Caleb Ragland said in a statement.
“U.S. soybean prices are falling, harvest is underway and farmers read headlines not about securing a trade agreement with China, but that the U.S. government is extending $20 billion in economic support to Argentina while that country drops its soybean export taxes to sell 20 shiploads of Argentine soybeans to China in just two days.”