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U.S. Confirms Argentina Drew on $20 Billion Swap as Treasury Reports a Profit

Scott Bessent said a small portion was tapped to bolster exchange‑market stability during the election period.

Overview

  • The U.S. Treasury said Argentina’s central bank activated a first tranche of the mid‑October swap line, with Bessent confirming the U.S. made money on the transaction.
  • Officials did not disclose the exact draw, while market estimates put usage at about $2.7 billion.
  • Analysts report the funds largely reimbursed prior U.S. dollar interventions and helped meet IMF maturities, including roughly $800 million paid on November 8.
  • IMF data showed Argentina’s SDR holdings rose by 640.8 million in October as U.S. holdings fell by the same amount, a pattern consistent with a swap activation.
  • Argentine authorities have not provided a detailed public accounting of the tranche, and confirmation of the activation came from the U.S. on November 11.