Trending 
Argentina formalised a currency swap agreement with the United States worth up to $20 billion on Monday, intended “to contribute to Argentina’s economic stability,” according to the country’s Central Bank.
This agreement is part of huge financial assistance from Donald Trump’s administration, who strongly supports Argentine President Javier Milei, especially with the upcoming mid-term elections on October 26 creating pressure.
The Argentine peso has experienced significant fluctuations as the election approaches, creating uncertainty for the savings and spending habits of citizens who are concerned about its potential further devaluation in the weeks ahead.
In addition to the swap agreement, US Treasury Secretary Scott Bessent recently announced efforts to obtain a separate $20 billion fund from “private banks and sovereign wealth funds” to aid Argentina’s struggling economy.
Milei, previously seen as a global figurehead for budget-cutting libertarian ideologies, is facing the elections with weakened support due to his inability to stabilise the troubled peso, despite depleting nearly all of the Central Bank’s dollar reserves to support it.
Inflation, which initially decreased under Milei’s leadership starting in December 2023, has started to increase again on a monthly basis.
During a visit with Milei at the White House last week, Trump warned Argentine voters that aid would be revoked if his ally is not victorious in the elections.
