Argentina\u2019s President Javier Milei said that the country is in \u201cvery advanced\u201d negotiations with the United States over a loan as the country faces down large debt payments in 2026.<\/p>\n
Asked by C\u00f3rdoba-based newspaper La Voz del Interior whether his government was in talks with the U.S. about a financing deal, Milei said:<\/p>\n
\u201cWe understood that this year was going to be very complicated and we had already started developing strategies to cover the payments Argentina has next year, which are US$4 billion in January and US$4.5 billion in July. So we\u2019ve been working, those negotiations take time, but, well, until it\u2019s confirmed we\u2019re not making any announcements. But we are working really hard, we\u2019re very advanced, and it\u2019s a matter of time, too.\u201d<\/p>\n
His comments, which had not been confirmed by U.S. officials at the time of writing, come in a week when Argentina\u2019s Central Bank has sold off more than US$1 billion to support the value of the peso as political uncertainty grows ahead of the mid-term elections.\u00a0<\/p>\n
Argentina\u2019s peso is subject to a banded exchange rate scheme under which the monetary authority can only intervene if the peso strengthens or weakens beyond set thresholds. The system was agreed in the context of Argentina\u2019s US$20 billion deal with the International Monetary Fund (IMF), announced in April.<\/p>\n
Economy Minister Luis Caputo said on Thursday night that he was willing to sell \u201cdown to the last dollar\u201d to defend the currency. Given Argentina\u2019s feeble international reserves, his comments prompted speculation that the government were expecting an injection of cash.<\/p>\n
Milei\u2019s comments were not the first hint that the Donald Trump administration would be willing to support Argentina. In April, U.S. Treasury Secretary Scott Bessent visited Argentina and met Milei. After initially telling Bloomberg news agency that a special credit line<\/a> from the U.S. to Argentina was \u201cnot under consideration,\u201d he said a week later<\/a> that the U.S. would offer the country a credit line if a global shock were to put the country\u2019s economic recovery at risk.<\/p>\n Such a loan would go through the Exchange Stabilization Fund, which the United States formed in the 1930s. It is a U.S. emergency reserve fund which is often used to help foreign governments and central banks to stabilize their currencies.<\/p>\n","protected":false},"excerpt":{"rendered":"Argentina\u2019s President Javier Milei said that the country is in \u201cvery advanced\u201d negotiations with the United States over…\n","protected":false},"author":2,"featured_media":76069,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[79,179,18,19,13484,51542,17,51543],"class_list":{"0":"post-76068","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-eire","11":"tag-ie","12":"tag-imf","13":"tag-international-reserves","14":"tag-ireland","15":"tag-us-loan-to-argentina"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/76068","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=76068"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/76068\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/76069"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=76068"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=76068"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=76068"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}