Argentina Repays China Swap Debt Amid US Pressure
Argentina has repaid nearly 90% of its currency swap debt to China's central bank, reducing the balance from a peak of US$5 billion to roughly US$675 million by mid-January. The repayment follows pressure from the Trump administration to wind down financial ties. Government officials confirmed to Argentine outlet Todo Noticias that the remaining activated portion will be settled by mid-2026. Central bank records published last week show the outstanding balance fell from US$3.1 billion at end of 2024 to US$1 billion by end of December, and further to US$675 million by January 14. The People's Bank of China had agreed in April 2024 to renew the full activated tranche for 12 months, with gradual reduction starting June 2024. The swap was a lifeline during Argentina's financial turmoil and is now at the center of geopolitical tensions between Washington and Beijing.
Key facts
- Argentina repaid nearly 90% of its currency swap debt to China's central bank.
- Outstanding balance fell from US$5 billion peak to US$675 million by mid-January.
- Repayment follows Trump administration ultimatum on financial ties.
- Remaining activated portion to be settled by mid-2026.
- Central bank records show balance dropped from US$3.1 billion at end of 2024 to US$675 million.
- People's Bank of China agreed in April 2024 to renew the swap for 12 months.
- Gradual reduction of the swap began in June 2024.
- The swap was a lifeline during Argentina's financial turmoil.
Entities
Institutions
- People's Bank of China
- Todo Noticias
- Infobae
- Central Bank of Argentina
Locations
- Argentina
- Buenos Aires
- Washington
- Beijing
- China