US won't help Argentina if Milei loses

NEW YORK, Oct 15 (BBC): President Donald Trump has acknowledged that a $20bn (£15bn) US lifeline to help calm Argentina's currency crisis is an attempt to sway legislative elections this month in the South American nation.

Welcoming Argentina's libertarian leader Javier Milei to the White House, Trump warned that the US would not "waste our time" with helping Argentina if Milei's party did not prevail.

Milei praised Trump for his peacemaking efforts and said the US president's policies would lead to "prosperity".

Argentina's financial turmoil comes ahead of national midterm elections on 26 October, seen as a test of voters' desire to continue backing Milei's cost-cutting, free-market reform agenda.

As Trump sat across the table from his Argentine counterpart on Tuesday, he said the not-so-quiet bit out loud. "The election is coming up very soon," he said. "It's a very big election."

Trump added: "Victory [for Milei] is very important. Your poll numbers I hear are pretty good. I think they will be better after this. "And, you know, our approvals are somewhat subject to who wins the election."

A presidential election is not due in Argentina until 2027. But Trump said if "a socialist wins" then the US would feel "a lot differently" about supporting the South American nation.

"If he loses, we are not going to be generous with Argentina," Trump said.

For his part, Milei blamed Argentina's economic woes on his political adversaries. "This liquidity problem that Argentina has is a result of the political attacks we have suffered from our opponents," he told Trump.

Trump's backing for his libertarian ally, who took office in December 2023, is no secret.

He said the bailout was "just helping a great philosophy take over a great country", and the White House has framed it as supporting an important regional ally.

But Trump's explicit linking of a recently announced $20bn currency swap between the US and Argentina to Milei's electoral prospects is notable for an American president who has previously railed against foreign interference in elections.