Senator Warren Urges Termination of US-Argentina Currency Swap

U.S. Senator Elizabeth Warren has called on Treasury Secretary Besant to end a $20 billion currency swap arrangement with Argentina. According to Jin10, this credit line was extended to Argentina before its 2025 midterm elections, during a period when Argentine President Milei's party faced political pressure after local election losses. Last September, Besant described the support as a 'bridge' to help Milei navigate the elections and continue economic reforms. The Treasury Department utilized the Exchange Stabilization Fund, allowing intervention in Argentina's financial market by purchasing an undisclosed amount of pesos. Warren, the highest-ranking Democrat on the Senate Banking Committee, is expected to address this swap arrangement during Besant's appearance at the committee hearing today. Warren stated, 'Although the Treasury claims the use of the Exchange Stabilization Fund is for 'urgent, short-term, and pressing purposes,' retaining the agreement seems to allow for its use in Argentina beyond the October 2025 elections.'