Trump offers Milei pre-election boost with White House visit

US President Donald Trump will host President Javier Milei for talks at the White House on October 14, further boosting his ally after the announcement of a multi-billion-dollar US rescue package.

The meeting will take place two weeks before highly-anticipated midterm elections in Argentina, which could hobble the right-wing Milei's reform agenda.

Argentina's Foreign Ministry said Tuesday that the meeting, which will be the second in a month between Trump and Milei, will strengthen the "strategic alliance" between Washington and Buenos Aires.

The two leaders held talks last week on the sidelines of the UN General Assembly in New York, after which US Treasury Secretary Scott Bessent announced a US$20-programme of support in an attempt to end a run on the Argentine peso.

The announcement of a US$20-billion swap line – usually a currency swap between two central banks – helped the peso regain ground against the dollar, the currency in which Argentines save.

The rescue package outlined by Bessent also included the possible purchase of Argentine public debt and a direct credit line from the US Treasury, the amount and details of which remain unknown.

In an interview with A24 television channel on Tuesday, Milei – who was weakened by a stinging defeat in Buenos Aires provincial elections in early September – hailed an "unprecedented" show of support from Trump.

"If Argentina needs the funds, the United States will give us the money to service the debt," he said, explaining the swap mechanism. 

Argentina faces US$4 billion in debt repayments in January and US$4.5 billion in July 2026.

The nation, a serial debt defaulter, negotiated a US$20-billion loan with the International Monetary Fund in April, on top of the US$44-billion it received in 2018 but later renegotiated.

– TIMES/AFP