Democratic lawmakers on the U.S. Senate Committee on Banking, Housing and Urban Affairs, led by Ranking Member Elizabeth Warren, announced the introduction of the No Argentina Bailout Act, which would prohibit the U.S. Department of the Treasury from using the Exchange Stabilization Fund (ESF) to provide financial assistance to Argentina’s financial markets. The proposal would end the Trump Administration’s ability to provide unilateral ESF-backed support to Argentina during the term of President Javier Milei and would prohibit Treasury Secretary Scott Bessent from providing direct or indirect assistance, including through currency swap lines, currency or sovereign debt purchases, or direct loans. The release references the Administration’s statement that it “stands ready to do what is needed” to support Argentina, starting with a USD 20 billion swap line with Argentina’s central bank, and notes concerns about market turmoil ahead of Argentina’s October 26 midterm election. Separately, Warren sent a letter to Managed Funds Association President and CEO Bryan Corbett requesting information about the role of the association and its more than 180 fund manager members in the Administration’s decision to support Argentina, citing hedge fund investment in Argentina and the potential for official support to facilitate investor exits.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2025-10-09
U.S. Senate Committee on Banking, Housing and Urban Affairs lawmakers introduce bill to bar Treasury Exchange Stabilization Fund support for Argentina
Democratic lawmakers on the U.S. Senate Committee on Banking, Housing and Urban Affairs, led by Elizabeth Warren, introduced the No Argentina Bailout Act to prevent the U.S. Treasury from using the Exchange Stabilization Fund to aid Argentina. The proposal aims to restrict Treasury Secretary Scott Bessent from providing financial support during President Javier Milei's term. Additionally, Warren requested information from the Managed Funds Association regarding its involvement in the Administration's support for Argentina.