U.S. Treasury Secretary Bessent Backs Argentina’s Economic Reforms Ahead of IMF Deal

U.S. Treasury Secretary Scott Bessent will visit Buenos Aires next week for his first official foreign trip, underscoring U.S. support for Argentina’s sweeping economic reforms under President Javier Milei. The Treasury Department confirmed the visit, which includes meetings with Milei and other top officials and business leaders.

The visit comes as the International Monetary Fund (IMF) is expected to approve a $20 billion loan for Argentina on Friday. Milei’s administration is pushing for an upfront disbursement of 40% to help stabilize the nation’s battered economy. Argentina faces its worst financial crisis in decades, marked by triple-digit inflation, recession, and critically low foreign reserves.

Bessent, who oversees the U.S. role in the IMF and World Bank, will use the visit to highlight the Biden administration’s commitment to Argentina’s reform path. “I look forward to positive discussions and deepening our vital economic relationship,” he said.

The Treasury praised Milei’s economic policies, stating they have “brought Argentina back from economic oblivion.” Milei, a Trump ally, previously visited Trump at Mar-a-Lago and has embraced aggressive spending cuts, earning praise from U.S. conservatives.

Claw Lowery of the Institute of International Finance noted that Milei’s reforms show economic recovery is possible through fiscal discipline. Milei recently gifted his symbolic chainsaw to Elon Musk, now overseeing U.S. budget cuts, during a Washington event.

Argentina, which ran a $2.1 billion trade deficit with the U.S. in 2021, avoided steep penalties in Trump’s latest tariff round, receiving only the 10% baseline import duty. The country is also unaffected by Trump’s 90-day pause on higher duties.

Bessent’s trip aims to reinforce international backing for Argentina’s economic overhaul ahead of the IMF and World Bank spring meetings in Washington later this month.