On September 23, 2025, Argentine President Javier Milei found himself in the global spotlight as he met with former U.S. President Donald Trump at the United Nations General Assembly in New York. It was Milei’s twelfth trip to the United States since taking office, but this visit carried a weight unlike any before. Facing an economic storm back home, Milei was searching for a lifeline—a sign of support that could steady Argentina’s jittery markets and give his embattled administration a much-needed boost ahead of October’s pivotal midterm legislative elections.
The meeting between the two leaders, which lasted fifteen minutes, was preceded by a flurry of anticipation and market anxiety. Just a day earlier, U.S. Treasury Secretary Scott Bessent took to social media to declare that the Trump administration was ready to do “whatever it takes” to bolster the Argentine economy. “All stabilization options are on the table,” Bessent tweeted, hinting at a possible “large and forceful” financial intervention, according to the Financial Times. His message landed just as Argentine markets opened, instantly calming nerves and giving Milei some breathing room before his face-to-face with Trump.
Argentina’s economic woes have been mounting. After Milei’s party suffered a stinging defeat in the Buenos Aires provincial elections on September 7—a loss widely seen as a bellwether for the upcoming national vote—investors panicked. The peso tumbled 4.48% against the dollar in the week before Trump’s support, despite the Central Bank’s desperate move to sell $432 million in reserves to prop up the currency. Sovereign risk soared above 1,400 basis points, and fears of recession and renewed inflation loomed large, as reported by AP and Fox41 Yakima.
Amid this turmoil, Milei’s government faced not just economic but political adversity. He remains in the minority in both chambers of Argentina’s Congress, often relying on decrees to push through his free-market overhaul. That approach has proven unsustainable, especially as austerity measures bite and a corruption scandal involving his sister further erodes public trust. As ARA noted, “the macroeconomic values that, until now, had supported the ultra-liberal’s management… have been falling.”
So when Trump emerged from their meeting and promised, “We’re going to help them, but I don’t think they need a bailout. He’s doing a fantastic job,” it was more than just a diplomatic pleasantry—it was a calculated signal to global markets and Argentine voters alike. Trump doubled down on his endorsement, calling Milei a “fantastic and powerful leader” who had “restored stability to the Argentine economy” after inheriting a “mess” from former president Alberto Fernández, whom he described as a “far-leftist.” On his Truth Social account, Trump went further, labeling Milei a “WINNER” and voicing support for his “Re-Election as President.” While Argentina’s next presidential election isn’t until 2027, Trump’s message was interpreted as a nudge for the October 26 midterms, which are crucial for Milei’s ability to govern.
Milei, for his part, responded on X (formerly Twitter) with gratitude, thanking Trump for his “great friendship and this extraordinary gesture.” The two leaders even posed for a photograph, with Milei holding a printout of Trump’s supportive tweet. The symbolism wasn’t lost on observers—here was the embattled Argentine president, clutching a lifeline from one of the world’s most polarizing political figures.
Markets responded with relief. According to Fox41 Yakima, Argentina’s sovereign risk dropped to 960 basis points, and the peso rebounded by 3.15% after Trump’s show of support. The World Bank, which had already pledged a $12 billion support package for Argentina in April, announced it would “accelerate” its assistance, with up to $4 billion set to be disbursed in the coming months to unlock key sectors like mining, energy access, and financing.
Behind the scenes, high-level discussions were underway. Treasury Secretary Bessent and Argentina’s Economy Minister Luis Caputo both attended the Trump-Milei meeting. Caputo later told reporters that a “specific figure” for U.S. assistance was discussed, but he declined to reveal details, saying the United States “did not ask for anything in return.” The White House hinted that further announcements about Argentina’s financial situation would follow. As AP detailed, Bessent confirmed that options included currency swap lines, direct currency purchases, or government debt acquisitions through the U.S. Treasury’s Exchange Stabilization Fund.
Still, not everyone was convinced this intervention was in America’s best interest. Senator Elizabeth Warren, a prominent critic, argued, “At a time when Americans are struggling to afford groceries, rent, credit card bills, and other debt payments, it is deeply troubling that the President intends to use significant emergency funds to inflate the value of a foreign government’s currency and bolster its financial markets.” She called any planned U.S. action a bailout and questioned whether it would truly benefit the Argentine people, or merely hedge fund investors. Critics, as reported by AP, saw the move as a way to reward a personal friend of Trump’s who faces a critical election.
For Milei, the stakes couldn’t be higher. After nearly two years in office, his administration is under siege from multiple directions: a battered economy, legislative gridlock, and waning public support. Yet, the strategy emerging from his camp is clear—“don’t let up now” and “make every effort worthwhile”—slogans heard across social media, in the press, and at campaign rallies. The message is aimed at rallying his base and convincing the broader electorate that his reforms, though painful, are necessary to pull Argentina back from the brink.
Argentina’s relationship with the International Monetary Fund looms large over all these developments. The country is the IMF’s biggest debtor, with a total outstanding credit of approximately $75 billion stretching through 2045, according to Fox41 Yakima and AP. The prospect of additional U.S. support—whether direct or via the IMF and World Bank—offers Milei a chance to stabilize the economy long enough to see his legislative agenda through October and beyond.
As the dust settles from this high-stakes diplomatic encounter, one thing is clear: the future of Argentina’s economic recovery, and perhaps Milei’s own political fate, now rests in part on the strength of his alliance with Donald Trump. The coming weeks will reveal whether this show of transcontinental solidarity can translate into real relief for Argentine households, or whether it’s merely a temporary pause in a much deeper crisis.