Democratic Senator Elizabeth Warren presented a bill to block the US$20 billion swap announced by the US Treasury to the government of Javier Milei. “We have a law to stop this bailout and put America first,” he said.
The US financial aid plan for the government of Javier Milei is adding resistance within the US. The Democratic senator Elizabeth Warren announced the presentation of a bill to stop the US$20 billion swap and remove President Donald Trump’s power to “provide support unilaterally.”
“Donald Trump closed our government. But he is open to disbursing $20 billion for his political ally in Argentina. We have a new bill to stop this bailout and put ‘America first,'” the legislator wrote in her publication. He shared a video on his X account where he announced
Warren posted a video on her X account in which she said: “Trump wants to send $20 billion of your taxes to rescue his political friend in Argentina before the elections”. He also questioned the ties between the US Treasury and investors, whom Scott Bessent is trying to bail out: “Oh, and the rich hedge fund that recently invested in Argentina, which reportedly includes the Treasury secretary’s close friend, will make a windfall.”
What is the project presented by the Democratic senator about?
The project, called No Argentina Bailout Act (Law against the financial bailout of Argentina), was formally presented on Thursday night. It bears Warren’s signature along with that of the senators Tim Kaine (Virginia), Chris Van Hollen (Maryland), Cory Booker (New Jersey), Tina Smith (Minnesota), Ruben Gallego (Arizona), Bernie Sanders (Vermont) and Peter Welch (Vermont).
The initiative seeks to prohibit the use of Exchange Stabilization Fund (FSE), a Treasury Department tool used to rescue financial markets and global investors, which in this case was applied by Bessent to assist the Milei government.
According to the text, if the standard is approved “the power of the Trump administration to provide unilateral financial support to Argentina during the mandate of Argentine President Javier Milei would be eliminated,” and “would prohibit Treasury Secretary Scott Bessent from using the ESF to provide direct or indirect financial assistance to Argentina, including the use of currency swap lines, purchases of foreign currency or sovereign debt, or direct loans.”
After the announcement of the swap, Bessent had noted: “We do not want another failed or Chinese-led state in Latin America.” For his part, the Argentine Minister of Economy, Luis Caputo, thanked “the unwavering support” of the United States.
Source: Ambito
