What is the 20 billion dollars of argentine currency worth today that was taken by the us treasury
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Executive summary
The U.S. Treasury arranged a $20 billion currency-swap framework with Argentina in October 2025 and directly purchased pesos in open markets to stabilize the peso [1] [2]. The operation used the Exchange Stabilization Fund and Treasury officials say the U.S. “made money” on the intervention; details remain limited and some private lenders pulled back from an initially envisioned matching package [3] [4] [5].
1. What the $20 billion actually was — a swap line, not a grant
The transaction the Treasury announced was a currency swap framework: the U.S. exchanged dollars for Argentine pesos to give Argentina immediate dollar liquidity, with the understanding Argentina must return dollars later [6] [1] [2]. Multiple outlets describe it as a $20 billion swap line and note the U.S. also bought pesos outright in the market to calm a run on the currency [1] [2]. Several analysts and administration spokespeople stress this was structured as temporary liquidity support rather than a one‑way transfer of funds [7] [3].
2. Where the money came from — the Exchange Stabilization Fund
The operation was executed using the Treasury’s Exchange Stabilization Fund (ESF), an executive‑branch pool of funds historically used for foreign‑exchange operations; because of that legal structure the move did not require congressional authorization, which has become a point of contention [3] [2]. Reporting explains the ESF has been used in large currency operations only rarely and that the Treasury’s use of it for Argentina is politically sensitive [3] [8].
3. What the U.S. bought — pesos and a framework, but numbers in market purchases unclear
Press accounts confirm U.S. officials bought Argentine pesos in local markets and finalized the $20 billion swap framework, but they also note the Treasury declined to disclose exactly how many pesos it purchased or the full mechanics of the swaps [1] [2] [9]. Local analysts estimate the initial open‑market purchases were “well over” $2 billion, but that figure is an analyst calculation rather than an official tally [10].
4. Claims of profit and political motives
Treasury Secretary Scott Bessent publicly said the U.S. “made money” on the operation, framing it as both profitable and strategic — intended to stabilize markets, shore up an ally, and limit other powers’ influence in the region [4] [6]. Critics in Congress called the move a bailout and introduced measures to restrict ESF uses for Argentina; supporters argue the swap is temporary, market‑oriented support that can earn returns for the U.S. [2] [11].
5. The broader package and private lenders’ retreat
The Biden/Trump‑era description of a broader $40 billion effort combined a $20 billion U.S. swap with an expected $20 billion of private and sovereign‑fund financing; reporting shows banks later backed away from the full $20 billion private piece and explored a smaller, short‑term loan instead [6] [5]. Thus the originally publicized $40 billion “package” did not consist solely of U.S. cash but of a mix of instruments and contingent private commitments [5].
6. Macroeconomic context: why the U.S. intervened
News outlets and think tanks place the swap against extreme peso weakness, high inflation, negative net reserves and election‑period market stress; Argentina’s peso had traded at much higher official and parallel rates and the country had been burning reserves to defend the currency [6] [8] [12]. Analysts argued Treasury intervention aimed to stop a disorderly collapse and limit contagion, while others warned it risks delaying needed adjustments like a currency float [8] [13].
7. What is NOT confirmed in available reporting
Available sources do not mention a precise, single figure for how many pesos the Treasury holds at this moment; they do not show an official public accounting of market purchases beyond analyst estimates and Treasury’s refusal to disclose full details [1] [2] [9]. Available reporting does not say the swap was an unconditional gift; instead, sources characterize it as temporary liquidity support through ESF operations [7] [3].
8. Bottom line for someone asking “what is that money worth today?”
The $20 billion figure describes the size of the swap facility and potential dollar equivalent of the line; it does not mean $20 billion of U.S. taxpayer cash was permanently handed over to Argentina [1] [2]. How much the U.S. currently holds in pesos, what profit or loss the Treasury has realized, and the full structure of repayments are not publicly documented in the reporting available [4] [9].