(MENAFN- The Rio Times) Between November 10 and 14, Argentina deepened its new alignment with Washington, turning political affinity into concrete trade, financing, and mining initiatives.

A historic framework for reciprocal trade and investment with the United States was paired with the activation of a large U.S. currency swap, giving President Javier Milei fresh external backing for his shock-therapy program.

At the same time, disinflation continued, with October's figures confirming the lowest annual inflation rate since 2018, even as the IMF mixed praise for stabilization with warnings that“real dollars” from exports and investment remain essential.

Agriculture and mining emerged as twin pillars of that strategy, from record wheat projections to a critical-minerals summit and plans to loosen glacier protections to unlock major copper and lithium projects.

Domestic tensions, however, sharpened. A 72-hour national university strike, widening criticism of austerity, and new reporting on rising homelessness underscored the social strain beneath the macro-story of falling inflation and returning capital.

Together, these ten developments describe a week in which Argentina's economic rebound, external alliances, and social contract were all tested at once.

1. Historic Trade and Investment Framework Seals U.S.–Argentina Alignment (Nov 13)

On November 13, the White House announced a Framework for an Agreement on Reciprocal Trade and Investment between the United States and Argentina, part of a package of“historic trade deals” with several Western Hemisphere partners.

The text commits both sides to deepen trade and investment, reduce non-tariff barriers, strengthen intellectual-property protection, and create a more transparent, rules-based environment for companies.

For Argentina, the framework formalizes its strategic bet on open markets and private initiative, explicitly framing the partnership around shared democratic and pro-market values.

Washington also signaled plans to reduce or remove tariffs on a limited set of Latin American products, including some Argentine natural resources and pharmaceuticals, while Argentina will further open its market to U.S. agricultural, industrial, and healthcare exports.

The framework is not yet a full free-trade agreement, but negotiators aim to anchor detailed commitments over the coming weeks. Buenos Aires is presenting the deal as“historic,” seeing it as a way to attract fresh investment into energy, mining, and agribusiness.

Summary: The new framework cements Argentina's strategic economic alignment with Washington and sketches the rules for deeper trade and investment flows.

Why it matters: It ties the success of Milei's reforms to a U.S.-backed integration path, increasing both opportunities and dependency risks.

2. Currency Swap Activation Confirms $20 Billion Lifeline – and U.S. Profit (Nov 11)

On November 11, U.S. Treasury officials confirmed that Argentina had activated part of a $20 billion currency-swap facility agreed ahead of October's midterm elections.

The support, channelled through the U.S. Exchange Stabilization Fund rather than the IMF, allowed Washington to supply dollars in exchange for pesos, easing pressure on Argentina's reserves during a politically sensitive period.

Officials underlined that the United States actually“made money” on the operation, a rare outcome for an emergency stabilization measure.

At the same time, Treasury reiterated that the broader package's detailed terms remain classified, fueling debate in Washington over transparency and precedent.

Only a fraction of the line has been drawn so far, leaving headroom if markets turn volatile again.

For Argentina, confirmation of the swap's activation validates Milei's strategy of using political affinity with the U.S. administration to secure hard-currency backstops that complement, but do not replace, IMF support.

Summary: The swap's activation transforms political goodwill from Washington into concrete dollar liquidity and signals continued U.S. backing.

Why it matters: It buys time for Argentina's reforms, while deepening financial reliance on a single geopolitical partner.

3. Inflation Falls to 31.3%, Extending an 18-Month Disinflation Streak (Oct data released Nov 12)

On November 12, Argentina's statistics agency reported that annual inflation fell to 31.3% in October, down from 31.8% in September and the lowest reading since mid-2018.

Monthly consumer prices rose 2.3%, slightly above September's 2.1% but roughly in line with market expectations.

Independent trackers noted that October marked the 18th consecutive month of declining year-on-year inflation, a dramatic turnaround from levels above 200% when Milei took office in December 2023.

Government officials credit tight fiscal policy, a firm monetary stance, and exchange-rate management for the improvement, arguing that disinflation is finally anchoring expectations.

Critics counter that headline progress masks methodological changes and a heavy social cost, pointing out that wages and pensions have not kept pace and that relative-price adjustments are still unfolding.

Even so, consensus forecasts now see inflation ending 2025 below 30%, which would give Argentina its most stable price environment in nearly a decade.

Summary: October's figures confirm that Argentina has moved out of hyperinflation territory into a still-high but steadily falling inflation path.

Why it matters: Sustained disinflation supports Milei's political capital and investor interest, but social pushback could challenge the policy mix.

4. IMF Applauds Growth Outlook but Warns Calm Needs“Real Dollars” (Nov 13)

In a November 13 briefing, IMF officials said Argentina is expected to grow about 4.5% in 2025 after a contraction in 2024, highlighting momentum in energy, mining, and agriculture.

The Fund credited fiscal and monetary tightening for stabilizing the macro picture and helping reduce poverty from its 2024 peaks.

At the same time, it warned that the current financial calm is fragile and depends on securing sustained access to hard currency.

Analysis around the briefing stressed that financial engineering and domestic peso instruments cannot permanently substitute for genuine dollar inflows from exports, foreign direct investment, and multilateral lenders.

Commentators framed the U.S. swap line and the new trade framework as helpful but insufficient without faster progress on energy projects and export logistics.

For Milei, the message is that fiscal discipline is necessary but not enough; success hinges on turning resource wealth into durable external surpluses.

Summary: The IMF now sees Argentina returning to growth in 2025 but urges a shift from financial stopgaps to durable dollar-earning capacity.

Why it matters: The Fund's endorsement reassures markets, yet its warnings underline the risks if export and investment pipelines underperform.

5. Milei Moves to Ease Glacier Protections to Unlock Copper and Lithium (Nov 14)

On November 14, reports indicated that the Milei administration is preparing changes to Argentina's 2010 Glacier Law to ease restrictions on projects in high-Andean areas.

Officials argue that updated rules are needed to unlock a new wave of copper and lithium investments, including large deposits in San Juan and other Andean provinces.

The initiative comes just as Argentina positions itself as a key supplier of critical minerals to North America and Europe, using the new U.S. framework to lure long-term capital.

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