The United States has stepped up its financial backing for Argentina, with Treasury Secretary Scott Bessent announcing fresh purchases of Argentine pesos and plans to establish a $20 billion investment facility for the country’s sovereign debt.

Speaking at a press conference on Wednesday, Bessent said the new investment vehicle would operate alongside a recently launched $20 billion US currency swap line with Argentina, bringing total support for Latin America’s third-largest economy to $40 billion.

Bessent declined to provide details of the peso purchase, which follows an initial operation on October 9, but said the US Treasury is working with banks and investment funds to finalize the structure of the debt facility. “It is policy-specific. So as long as Argentina continues enacting good policy, they will have US support,” he said.

The move helped stabilize Argentine financial markets, which had been rattled a day earlier by US President Donald Trump’s comments suggesting waning confidence in Buenos Aires. On Tuesday, Trump said Washington would not “waste our time” with Argentina if President Javier Milei’s party loses parliamentary elections on October 26.

Bessent sought to reassure investors, clarifying that the Trump administration’s support “is not election-specific” but tied to the Milei government’s commitment to fiscal discipline and free-market reforms. “A win for Milei’s La Libertad Avanza party would help ensure that the president has the majority needed to sustain his reform agenda,” he added.

Following the announcement, Argentine stocks rose 1.7 percent after earlier climbing more than 4 percent, while international dollar bonds recovered slightly. The peso, however, weakened by 1.7 percent to 1,378 per dollar.

Bessent also hinted that US purchases of Argentine debt could follow, saying only, “We could,” without offering further details or a timeline for such investments.