Santander Helps US Support Argentina’s Economy

Banco Santander reportedly will facilitate the $20 billion currency swap framework to support Argentina’s economy that was announced Thursday (Oct. 9) by U.S. Treasury Secretary Scott Bessent.

The bank was selected by the Treasury Department to help it buy Argentine pesos, Seeking Alpha reported Friday (Oct. 10).

Santander is a primary dealer in U.S. Treasury securities and has a strong presence in both New York and Buenos Aires, according to the report.

Bessent said in a Thursday post on social platform X that the United States purchased the pesos because Argentina faces “a moment of acute illiquidity” and because while the international community is behind the country, only the U.S. could act swiftly.

The @USTreasury has concluded 4 days of intensive meetings with Minister @LuisCaputoAR and his team in DC. We discussed Argentina’s strong economic fundamentals, including structural changes already underway that will generate significant dollar-denominated exports and foreign…

— Treasury Secretary Scott Bessent (@SecScottBessent) October 9, 2025

Argentina is a U.S. ally that welcomes free trade and investment and has “strong economic fundamentals,” Bessent said in the post.

“I continue to hear from American business leaders who, thanks to [Argentine President Javier Milei’s] leadership, are eager to tie the American and Argentine economies more closely together,” Bessent said in the post. “The [President Donald] Trump administration is resolute in our support for allies of the United States, and to that end, we also discussed Argentina’s investment incentives and U.S. tools to powerfully support investment in our strategic partners.”

In a Friday post on X, Bessent said that Milei is “trying to break 100 years of bad cycles in Argentina.”

President @JMilei is trying to break 100 years of bad cycles in Argentina. He is a great ally of the U.S. and we look forward to his Oval Office visit next week. We do not want another failed or China-led state in Latin America. Stabilizing Argentina is America First. pic.twitter.com/UZEotUlaA9

— Treasury Secretary Scott Bessent (@SecScottBessent) October 10, 2025

“He is a great ally of the U.S., and we look forward to his Oval Office visit next week,” Bessent said. “We do not want another failed or China-led state in Latin America. Stabilizing Argentina is America First.”

It was reported Sept. 22 that Argentina was struggling to overhaul its economy and faced greater financial turbulence since the ruling party lost an election in the province of Buenos Aires that could signal a challenge in an upcoming midterm congressional election.

When Milei took office in late 2023, he slashed Argentina’s spending and removed tariffs and import restrictions. During his time in office, the country’s monthly inflation dropped from nearly 26% in December 2023 to 1.9% in July.

Bessent said in a Sept. 22 post on X that Argentina is a “systemically important” U.S. ally in Latin America.

Argentina is a systemically important U.S. ally in Latin America, and the @USTreasury stands ready to do what is needed within its mandate to support Argentina.

All options for stabilization are on the table. 1/4

— Treasury Secretary Scott Bessent (@SecScottBessent) September 22, 2025