What a currency swap, like the one Argentina is negotiating with the Trump administration, means (and the uncertainties it raises)

A swap is an available line of credit that can be used or not, depending on future needs. In that sense, it is not a direct or instant loan. Swaps are generally used in crisis situations or to simplify trade between two nations using their respective currencies, thus avoiding the need to resort to the dollar each time. Argentina has experience with these types of agreements. Swaps, being an agreement between two entities, tend to cost less than requesting a conventional loan. "America Alone," referring to the coalitions the Trump administration established with other administrations that shared its vision. "Argentina is a beacon in Latin America. In that region, numerous governments leaned to the left. President Milei is facing history and doing an exceptional job. "Argentina has had 100 years of decline. Regarding the upcoming legislative elections in Argentina, he stated: "I am convinced that when we see the elections this month, the ruling party will be successful." Trump's support for Milei contrasts with his trade policy toward other nations, such as Brazil, on which he imposed 50% tariffs due to political differences with President Luiz Inácio Lula da Silva.