Argentina is urgently working to lock in a $20 billion currency swap line with China ahead of the pivotal midterm elections, seeking to strengthen financial stability amid persistent economic challenges, Reuters reports
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Bessent emphasizes currency swaps as the smarter choice over direct cash aid, as Argentina works to stabilize the peso amid persistent economic challenges. This strategy aims to bolster reserves without increasing debt, signaling a savvy new approach to managing the crisis
The U.S. is calling on Argentine President Javier Milei to reconsider the currency swap deal with China, raising alarms about Beijing’s growing footprint in Latin America. Experts caution that this move could further complicate Argentina’s already fragile economy, which is grappling with significant financial hurdles.