Politics
WATCH: Scott Bessent Schools ‘Morning Joe’ Host For Accusing Admin Of ‘Bailout’
U.S. Treasury Secretary Scott Bessent embarrassed an MSNBC panel on Tuesday’s installment of “Morning Joe” after the panel misstated the terms of the federal government’s lending deal with Argentina.
MSNBC’s Jonathan Lemire described the agreement with the strategic Latin American ally as a “bailout,” a common talking point in left-wing media circles over the last several days.
The agreement, transcribed on October 20, allows Argentina to exchange depreciating pesos for stable U.S. dollars to bolster reserves and prevent economic turmoil. In return, the U.S. accrues interest on up to $20 billion it has agreed to lend at a fixed rate.
“How does a $20 billion bailout of Argentina help Americans?” Lemire asked, to which Bessent replied, “Well, do you know what a swap line is?”
Lemire shot back by stating that he was familiar with the deal, calling it a “currency swap” before following up with a smug jab. “You’re the treasury secretary, sir,” he said. Bessent then chastised the left-wing host for referring to the deal as a “bailout” before educating him on how it actually makes money for the United States.
“Why would you call it a bailout?’ the secretary 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.”
Bessent was speaking in reference to Argentinian President Javier Milei, a key U.S. ally in the region who recently cruised to re-election. Milei’s government has championed sweeping free market reforms and federal restructuring that have strengthened ties with the Trump Administration.
“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 added. “We have a generational opportunity in Latin America to create allies.”
