Treasury Secretary Scott Bessent said Thursday that Washington had bought Argentine pesos and finalized a $20 billion economic support program to help prop up the South American nation's faltering finances.

Argentine President Javier Milei, a close ally of Donald Trump, swiftly thanked the American leader for his "vision and powerful leadership" following the announcement.

Milei had been struggling with market turbulence after a defeat in Buenos Aires provincial elections seen as a bellwether for crucial midterms later this month.

"Argentina faces a moment of acute illiquidity," Bessent wrote on social media Thursday, adding that Washington was well-positioned to act quickly.

"To that end, today we directly purchased Argentine pesos," he said.

"Additionally, we have finalized a $20 billion currency swap framework with Argentina's central bank."

Bessent said the Treasury is "prepared, immediately, to take whatever exceptional measures are warranted to provide stability to markets."

His comments on X came after four days of meetings with Argentine Economy Minister Luis Caputo in Washington.

Bessent added that Trump and Milei are expected to meet next week, just weeks before the Oct. 26 midterm votes in Argentina.

The treasury secretary said he plans to see Caputo again next week on the sidelines of the annual meetings of the International Monetary Fund and World Bank in Washington.

IMF chief Kristalina Georgieva praised the U.S. move in a post on X, saying her agency — which agreed in April to a $20 billion loan to Buenos Aires — was "fully aligned in support" of Argentina's "strong economic program."

'Systemic Importance'

The Trump administration's pledge to support Argentina has faced criticism, with Democrat lawmakers calling on Trump last month to halt his plan.

In a letter, they pointed to Argentina's recent decision to temporarily suspend soybean export taxes, a move that they said undercut U.S. farmers — who are already facing multiple challenges — in the global market.

Bessent has previously defended the plans.

He told CNBC in early October, "[A]s far as what the U.S. is doing, just to be clear, we are giving them a swap line. We are not putting money into Argentina."

Bessent added Thursday, "The success of Argentina’s reform agenda is of systemic importance, and a strong, stable Argentina which helps anchor a prosperous Western Hemisphere is in the strategic interest of the United States.

"Their success should be a bipartisan priority."

At the start of the month, Bessent told CNBC that many governments in South America "moved from far-left to center-right."

"We did not support them, and then they took a hard lurch to the left," he said.

At the time, he called Argentina a "beacon," adding that other countries could follow its lead.

In his statement to Trump and Bessent on X, Milei wrote Thursday, "Together, as the closest of allies, we will make a hemisphere of economic freedom and prosperity."