Scott Bessent has sent the MAGA-verse wild after schooling a liberal news anchor on America’s lending deal with Argentina.
The Treasury Secretary was questioned about giving the Latin country a $20 billion ‘bailout’ by MSNBC’s Jonathan Lemire on Tuesday.
The deal finalized on October 20 allows Argentina to exchange depreciating pesos for stable US dollars to bolster reserves and prevent economic turmoil. In exchange, the US earns interest on up to $20 billion it has agreed to lend at a fixed rate.
Donald Trump sees the plan as not only economically sound but a strategic move to keep Argentina from slipping under China’s influence, as Beijing expands its swap lines across Latin America.
‘How does a $20 billion bailout of Argentina help Americans?’ Lemire asked.
Bessent shot back: ‘Well, do you know what a swap line is?’
Lemire confirmed that he understood, ‘It’s a currency swap’, throwing the question back at Trump’s money man, ‘You’re the Treasury Secretary, sir.’
Bessent then rebuked him for referring to the $20 billion deal as a bailout and explained how it actually made money for the US Treasury.
Scott Bessent has sent MAGA world wild after schooling a liberal news anchor on tariffs
‘Why would you call it a bailout?’ Bessent asked. ‘In most bailouts, you don’t make money. The US government made money. We used our financial balance sheet to stabilize the government, one of our great allies in Latin America, during an election. The president there won in a landslide.’
The Treasury Secretary was referring to Argentina’s Javier Milei whose radical free market reforms have helped turn the country into America’s closest ally in the region.
‘I would rather use peace through economic strength than have us be shooting at narco boats coming off the shore if the government collapses,’ Bessent continued.
‘We have a generational opportunity in Latin America to create allies.’
The Treasury Secretary won praise from MAGA fans online, including one who replied to the post on X: ‘Inject this into my veins.’
Another posted an image of a plane dropping bombs, carrying Trump’s favorite slogan: ‘Thank you for your attention to this matter.’
A bailout is a direct financial rescue – typically cash grants, loans at below-market rates, or debt forgiveness – given to a failing entity without expectation of full repayment or profit, often using taxpayer funds.
The Argentina deal, by contrast, lends dollars only if they are drawn and America earns interest, and gets repaid in full. Historically such deals are profitable for the Treasury. So far, no funds have been disbursed.
Jonathan Lemire on MSNBC got a rough ride from Bessent after he claimed the Argentina deal was a ‘bailout’
The line of questioning came during a broader discussion about the economic pressures on American families amid the government shutdown.
The Senate voted to end the record-setting government shutdown on Monday night after a deal made by a group of Democrats against leader Chuck Schumer.
The bill will now go to the House, which may return to Washington as soon as Wednesday to vote on the legislation and reopen the government.
The vote passed by a 60-40 tally, achieving the minimum number of votes to pass and avoid the filibuster.
Speaker Mike Johnson urged lawmakers to start returning to Washington ‘right now’ given shutdown-related travel delays, but he said he would issue an official notice for the House’s return once the Senate passes the legislation.
‘We have to do this as quickly as possible,’ Johnson said at a news conference.
The shutdown has left 42 million Americans with no access to their SNAP benefits, forced airlines to cancel thousands of flights and left more than a million federal workers without an income.
After weeks of negotiations, the moderate Senate Democrats agreed to reopen the government without a guaranteed extension of health care subsidies, angering many in their caucus who have demanded that Republicans negotiate with them on the Affordable Care Act tax credits that expire January 1.
