Argentina's Bail Out Benefits One Billionaire

Trump’s Argentina bailout enriches one well-connected billionaire A $20 billion taxpayer-funded rescue package for Argentina is a gift for a hedge fund manager with personal and professional ties to the Treasury Secretary Judd Legum Sep 29, 2025 Hedge fund manager Rob Citrone attends a charity dinner in New York City on November 15, 2022. (Jared Siskin/Patrick McMullan via Getty Images) Last week, Treasury Secretary Scott Bessent announced a $20 billion package to rescue the Argentinian economy. The risky taxpayer-financed deal, which involves trading U.S. dollars for Argentine pesos, has little upside for ordinary Americans. Argentina is not a significant U.S. trading partner, and its economy, long in turmoil, has little impact on the United States. However, Bessent’s announcement had massive economic benefits for one American: billionaire hedge fund manager Rob Citrone, who has placed large bets on the future of the Argentine economy. Citrone, the co-founder of Discovery Capital Management, is also a friend and former colleague of Bessent—a fact that has not been previously reported in American media outlets. Citrone, by his own account, helped make Bessent very wealthy. Since Javier Milei, a right-wing populist, became president of Argentina in December 2023, Citrone has invested heavily in Argentina. Citrone has bought Argentine debt and purchased equity in numerous Argentine companies that are closely tied to the performance of the overall economy. Due to Argentina’s massive debt load and chaotic economic history — in 2023, Argentina’s inflation rate was over 200% — Citrone purchased Argentine bonds with an interest rate of nearly 20%. (Citrone has declined to detail exactly “how much of the $2.8 billion he manages is invested“ in Argentina.) Citrone, who is also a minority owner of the Pittsburgh Steelers, is effectively betting on Milei’s right-wing economic program, which emphasizes deregulation and sharply reduced government spending. Citrone viewed “the probability of default as minuscule,” even though Argentina has defaulted on its debts many times in the past. In the short term, this appeared to be a savvy investment. After taking office, Milei fired tens of thousands of government workers, cut spending on welfare and research, and achieved fiscal balance. Inflation was reduced to around 40%, which spurred economic growth and foreign investment. Argentina’s economic rebound contributed to Discovery Capital’s 52% return in 2024. Then it all came crashing down. The austerity measures slowed economic growth, and unemployment spiked to nearly 8%. Millions had a harder time making ends meet after Milei reduced or eliminated subsidies for transportation, medicine, and other necessities. Milei’s popularity slumped, leading to speculation that his party could be routed in the 2025 midterm elections, which would hamstring Milei’s ability to implement his agenda. This created an economic panic, with investors dumping the peso and liquidating other Argentine assets. Milei has desperately attempted to keep inflation in check. Last week Argentina’s “central bank spent more than $1 billion to shore up the peso.” But Argentina was running out of foreign currency. That spelled trouble for Citrone. Then Bessent and the Trump administration came to the rescue, floating a $20 billion economic package that helped stabilize the Argentine peso and functioned as a political lifeline for Milei. In early September, days before Bessent’s announcement, Citrone purchased more Argentine bonds. Bessent’s personal and professional relationship with Citrone has spanned decades. In a May 14 appearance on the “Goldman Sachs Exchanges” podcast, Citrone revealed how he delivered a financial windfall for Bessent. They were both working for investor George Soros in 2013 when Citrone convinced Bessent and Soros to bet on the U.S. dollar against the Japanese yen. I think there’s special times every five or ten years where there’s a really spectacular trade in investment that we then will concentrate in a meaningful way. 2013, the dollar-yen, where we made over a billion dollars long dollar-yen. And, in fact, you know, we discussed it quite a bit with George, and I kind of convinced George and Scott Bessent at the time to go big in that. And, you know, Scott says I’m responsible for 75% of his bonus at Soros, kind of jokingly, over that time. CE Noticias Financieras, a leading Latin American economic publication, describes Citrone as “a friend of the Secretary of the Treasury.” El Cronista, citing government sources, reported that Citrone “has a personal relationship as well as a past working relationship” with Bessent. Citrone has also reportedly leveraged his relationship with Bessent to gain access to Trump. According to CE Noticias Financieras, in November, “Citrone gave a case of four red wines to Javier Milei during his visit to Mar-A-Lago, in Palm Beach, in his first meeting with Trump.” When Argentina’s economy began to falter in April, it was Citrone who “intervened before Scott Bessent…to advocate for an IMF agreement with Argentina,” CE Noticias Financieras reported. Bessent subsequently played a key role in convincing the IMF to extend a separate $20 billion currency stabilization package. (That package ultimately proved insufficient to stabilize the Argentine peso.) Shortly after the IMF deal was secured, Bessent traveled to Argentina to meet with Milei and other top Argentine officials. It was an unusual choice for the Treasury Secretary’s first foreign trip. Citrone arrived in Argentina at the same time as Bessent, meeting with Milei just before Bessent. During those meetings, Bessent emphasized U.S. support for Argentina’s economic agenda. Bessent’s September 24 announcement, thus far, has had the desired impact, increasing the value of Argentine assets, including bonds, stocks, and the peso. “It has helped tremendously that the US has come in to support Milei, and it will pay dividends for the US strategically,” Citrone said in an interview with Bloomberg. Whether the U.S. improves the prospects over the long term is a separate question. Propping up the value of the Argentine currency beyond what the market will support with yet another influx of foreign currency gives wealthy Argentines an opportunity to cash out. The Argentine elite now have the ability to convert their peso assets into dollars and move them abroad. This phenomenon, known as “capital flight,” is why the previous IMF bailout package proved insufficient. Discovery Capital did not immediately return a request for comment about Citrone’s role in securing the U.S. assistance package for Argentina. Popular Information has produced original accountability journalism since 2018. If you value this reporting and want to see more of it, you can support our work by upgrading to a paid subscription. ohomen171@gmail.com password ohomen171@gmail.com Subscribe Argentina’s MAGA lobbyists Another overlooked aspect of the U.S. rescue package for Argentina is the role of the organizers of the Conservative Political Action Conference (CPAC), an influential right-wing political group. In November 2024, shortly after Trump’s election, key CPAC officials, including Matt Schlapp and Mercedes Schlapp, founded a new lobbying firm called Tactic Global. This is the same group that organized CPAC Argentina in December 2024, an event that featured Milei, Lara Trump, and other right-wing luminaries. CPAC has long played a key role in Trump’s political operation. In February 2025, Tactic Global began representing the Argentine government as a foreign agent. According to the filing, “Tactic will serve as a liason [sic] between Presidencia de la Nacion de la Republica Argentina and its counterparts in the U.S. Tactic will coordinate meetings between officials of the two countries and offer strategic counsel to the Secretaria de Inteligencia de Estado.” The contract specifies that Argentina pays Tactic $10,000 per month. Tactic Global’s official name is Tactic COC because its parent company is COC Global Enterprise. Leonardo Scaturice, an Argentinian businessman and lobbyist who lives in the United States, is the chairman and CEO of COC Global Enterprise and a principal at Tactic Global. In April 2025, Matt Schlapp traveled with Citrone to meet with Milei and other top Argentine officials, according to news reports. They arrived together in Scaturice’s private jet, a striking black Bombardier Global 5000. Also participating in the meetings was Soledad Cedro, the Managing Director of Tactic Global and the CEO of CPAC Latin America. Scaturice once worked for Argentine intelligence, which may explain why Tactic Global’s contract was routed through the Argentine Secretariat of Intelligence. More recently, CE Noticias Financieras reported that Barry Bennett, a former Trump advisor and current Tactic Global principal, “became directly involved” in securing the U.S. rescue package. Although CPAC promotes itself as an “America First” organization, Tactic Global represents not only the government of Argentina but also Kyrgyzstan and Vietnam. After Bessent announced his rescue package for Argentina last week, CPAC promoted the deal on its social media accounts.

Prarguay: Generation Z Protestes against Corruption,

Gen Z Protests Against Corruption Erupt in Paraguay Paraguay Protesters gathered on Monday in front of police and court buildings in the Paraguayan capital of Asunción to demand the release of young people arrested the day before in the Generación Z Paraguay march against corruption, Paraguayan newspaper El Nacional reported. Holding signs reading “Freedom for those imprisoned for fighting,” they demanded the immediate release of those arrested, most of whom had no criminal record, saying the crackdown on the protest by police was a violation of their assembly rights. On Sunday, authorities arrested more than 30 people in Asunción after anti-corruption demonstrations turned violent, MercoPress reported. The march was organized by the youth group Generación Z Paraguay to protest government corruption and demand greater transparency, as well as more funding for education and healthcare. The protests began peacefully, but quickly escalated after a violent police crackdown that continued into the night, according to local media. Dozens of protesters were wounded during the clashes, while eight police officers were injured as protesters smashed store windows and threw objects at law enforcement. Video footage posted on social media showed police, including cavalry and specialized units like the Grupo Lince motorcycle unit, aggressively chasing and detaining civilians, even those walking on sidewalks. The protest is part of a broader wave of public discontent and protests in the country of Paraguay over the past year, with demonstrators demanding transparency, justice, and institutional accountability. Analysts say that Paraguay is now dealing with its most severe institutional crisis since the democratic transition of 1989, following revelations of deep-rooted corruption and collusion between public officials and organized crime networks, implicating top officials, including President Horacio Cartes. Share this story

LATAM Looks For Quick Enbraer Deliveries To Add Up to 30 New Brasil Destinations

LATAM looks for quick Embraer deliveries to add up to 30 new Brazil destinations By Luciana Novaes Magalhaes and Gabriel Araujo September 26, 202512:40 PM PDTUpdated September 26, 2025 LATAM airlines logo, is seen inside of the Commodore Arturo Merino Benitez International Airport in Santiago LATAM Airlines logo, is seen inside of the Commodore Arturo Merino Benitez International Airport in Santiago, Chile April 25, 2019. REUTERS/Rodrigo Garrido/File Photo Purchase Licensing Rights, opens new tab Summary Companies LATAM to receive Embraer jets quickly, expand Brazil routes Order marks milestone for both companies Carrier expands workforce, invests in new hangar SAO CARLOS, Brazil, Sept 26 (Reuters) - LATAM Airlines (LTM.SN), opens new tab will receive the E195-E2 jets it ordered from Embraer (EMBR3.SA), opens new tab "relatively quickly" and expects them to allow the carrier to add 25 to 30 new destinations in Brazil, an executive said on Friday. "An important portion of them will be delivered next year, by the end of the year, and then another portion in 2027," LATAM Brasil CEO Jerome Cadier told Reuters, adding the airline would decide within six months which routes the jets should serve. Make sense of the latest ESG trends affecting companies and governments with the Reuters Sustainable Switch newsletter. Sign up here. Advertisement · Scroll to continue Report This Ad The Brazilian unit of Chile-based LATAM is the country's No. 1 airline by market share. The carrier announced on Monday a firm order for 24 E195-E2 aircraft, with purchase options for another 50. The deal was a milestone for both firms, with Embraer notching a long-awaited order for its second-generation jets in Brazil, and LATAM adding the regional planes to complement a fleet of Airbus (AIR.PA), opens new tab narrowbodies and Boeing (BA.N), opens new tab widebodies. AIRBUS COMPETITION Cadier first revealed last year that LATAM was considering purchasing smaller jets and cited Embraer's E2 and Airbus' A220, direct competitors in the up-to-150-seat segment. Advertisement · Scroll to continue Report This Ad The A220 would have offered more seats and longer range, placing it closer to the narrowbodies LATAM already flies, while the smaller, 136-seat E2 better fits the carrier's needs for the Brazilian market, Cadier noted. "When you look at the destinations, the distance between the cities we operate in, the potential markets and demand from those cities, the E2 fits very well," he said. "If there were many large cities, maybe the A220 would be more suitable." Cadier did not provide further detail on the destinations LATAM could add to its domestic roster. EXPANSION PLANS Following the new orders, LATAM will keep expanding its workforce and expects to match its 2024 hiring levels of about 1,000 employees this year, including pilots and cabin crew members. The firm invested 40 million reais ($7.49 million) in a new hangar designed for heavy maintenance at its Sao Carlos base. 00:09 How banana waste is being turned into sustainable clothing The video player is currently playing an ad. You can skip the ad in 5 sec with a mouse or keyboard The facility was inaugurated on Friday, a day after rivals Azul and Gol (GOLL54.SA), opens new tab ended talks on a merger that would have created Brazil's largest airline by market share, surpassing LATAM. Cadier said the tie-up would not have been worrisome, as antitrust watchdog CADE would likely have imposed restrictions on the deal. "We never considered a scenario in which such a merger would be approved without mitigation measures," he said. ($1 = 5.3392 reais)

The Unique Language Of The Inca Empire

Knots of the Empire The Inca Empire of South America left behind some of the most striking monuments of the ancient world, from the soaring stone terraces of Machu Picchu to a vast road network crisscrossing the Andes. But perhaps its most enigmatic legacy is the “khipu,” a system of knotted cords that encoded information without a written alphabet. Long assumed to be the exclusive domain of the elite, new evidence suggests these records may have been created by ordinary people as well. The findings center on a recently analyzed khipu with a primary cord made entirely of human hair. Radiocarbon dating places it as being made around 1498, decades before the Spanish conquest. Lead author Sabine Hyland wrote in the Conversation that she initially thought the strands came from alpacas or llamas, until her colleagues corrected her. The cord in this case measured around three feet in length and took more than eight years to complete. That length provided scientists with a unique archive of the individual’s life: Analysis of the sample showed that the individual lived in the highlands of southern Peru or northern Chile and mainly subsisted on a modest diet of tubers, legumes, and grains. These foods were not the typical diet of an elite Incan, which included meat and especially maize beer. “It’s not really possible to escape drinking (maize beer),” Hyland told NPR. “Even today, in the Andes, when you participate in rituals, you have to drink what you are given.” She explained that in Inca cosmology, hair carried a person’s essence. Incorporating it into a khipu could act as a signature, embedding the maker’s identity into the record. Museums hold hundreds of khipus that remain unstudied. If others are found with similar signatures, they could challenge many of the records of Spanish colonizers to reveal a more complex history of Inca recordkeeping. “This hair analysis adds another piece of evidence to the growing belief that khipu production and literacy might have been more widespread in the Inca Empire than the Spanish colonizers assumed,” co-author Kit Lee told NPR. Harvard researcher Manny Medrano, who was not involved in the work, said the findings will help broaden the narrative around the Inca civilization. “Ultimately, this gets us closer to being able to tell Inca histories using Inca sources,” he added. “We need to tell a story of literacy and of writing and of recordkeeping in the Inca Empire that is way more plural, that includes folks who have not been included in the standard narrative.”

Lula Tells UN That Attacks On Brasil's Institutions Are Unacceptable

Lula tells UN that attacks on Brazil's institutions are unacceptable By Reuters, 1 days ago (Reuters) -Brazilian President Luiz Inacio Lula da Silva told the U.N. General Assembly on Tuesday that recent "unilateral attacks" against his country's institutions and economy were unacceptable, in a stern rebuke of U.S. foreign policy. Lula's comments echoed his running criticism of U.S. President Donald Trump for imposing tariffs, visa restrictions and financial sanctions in response to the trial and conviction of Brazil's former President Jair Bolsonaro for plotting a coup after he lost the 2022 election. "Attacks on sovereignty, arbitrary sanctions and unilateral interventions are becoming the rule," Lula said, without naming Trump. "There is no justification for the unilateral and arbitrary measures against our institutions and our economy." On Monday, Washington imposed sanctions on the wife of the judge who presided over the Supreme Court trial of Bolsonaro, which Trump called a "witch hunt," and revoked the visas of six high-ranking Brazilian officials. The Trump administration had previously sanctioned Supreme Court Justice Alexandre de Moraes under the Magnitsky Act and slapped a 50% tariff on U.S. imports of many Brazilian goods. Lula also defended the investigation and due process resulting in the conviction of Bolsonaro, who was sentenced to 27 years in prison for attempting the coup to stay in power. "He had full rights to defense," Lula said. "Before the eyes of the world, Brazil sent a message to all aspiring autocrats and their supporters: our democracy and our sovereignty are non-negotiable." (Reporting by Gabriel Araujo in Sao PauloEditing by Brad Haynes and Deepa Babington)

Avelo Airline's Large Embrear Order Is Good News

https://simpleflying.com/right-sizing-avelo-airlines-huge-embraer-e2-order/

LATAM Orders 24 Embraer E195-E2 Jets Growing Its Brasil Presence

LATAM orders 24 Embraer E195-E2 jets, growing Brazil presence By Gabriel Araujo September 22, 20257:28 AM PDTUpdated 12 hours ago 55th Paris Air Show at Le Bourget Airport near Paris An Embraer E195-E2 Profit Hunter jet is displayed at the 55th International Paris Airshow at Le Bourget Airport near Paris, France, June 17, 2025. REUTERS/Benoit Tessier/File Photo Purchase Licensing Rights, opens new tab Summary Companies LATAM to deploy new jets for Brazilian operations Embraer's shares rise nearly 4% after order announcement Brazil's government supports deal to boost regional aviation SAO PAULO, Sept 22 (Reuters) - Brazil's Embraer (EMBR3.SA), opens new tab secured a landmark deal in its home market on Monday as LATAM Airlines (LTM.SN), opens new tab announced a firm order for 24 E195-E2 aircraft, with purchase options for another 50, lifting the planemaker's shares. The deal marks a long-awaited new order for Embraer's second-generation jets in Brazil, whose government had been lobbying for the sale. Chile-based LATAM will initially deploy the new planes for its Brazilian operations. Make sense of the latest ESG trends affecting companies and governments with the Reuters Sustainable Switch newsletter. Sign up here. Advertisement · Scroll to continue U.S. Bank Sponsored by U.S. Bank Smart money management. Real rewards With checking, savings & credit card in one place the U.S. Bank Smartly® suite gets you rates & rewards on any dollar amount. Member FDIC. Learn more Report This Ad Deliveries of the 24 firm orders, worth about $2.1 billion at list prices, will begin in the second half of 2026, the companies said in a joint statement. LATAM will join rival airline Azul in flying Embraer's E195-E2 in Latin America's largest economy. Azul last placed a firm order for the jets in 2018. Embraer Chief Executive Francisco Gomes Neto first revealed in an interview with Reuters last year that the company had been in talks with LATAM for a potential order. The carrier later confirmed it was considering new, smaller jets in its fleet. It cited Embraer's E2 and Airbus' A220, which directly compete in the regional segment with up to 150 seats per aircraft. Advertisement · Scroll to continue Report This Ad Embraer's shares rose almost 4% in Sao Paulo morning trading. JPMorgan analysts said the announcement reinforces their bullish views on the planemaker, as its commercial backlog continues to grow at a strong pace. "We are extremely proud that the LATAM group has made the best choice to advance the region's connectivity," Gomes Neto said on Monday. The Brazilian unit of LATAM, the country's No. 1 airline by market share, has been looking for ways to expand its fleet in light of lengthy delivery times for narrow-body planes from larger manufacturers Airbus (AIR.PA), opens new tab and Boeing (BA.N), opens new tab. The E195-E2s will join the carrier's fleet of 362 aircraft, which includes Airbus narrow-bodies and Boeing wide-bodies. The airline's decision was based on the "excellent economics and versatility" of the E195-E2, which allow for the opening of new destinations, LATAM CEO Roberto Alvo said. 00:08 Inside ETFs: 'Effectively creating an income machine' The video player is currently playing an ad. You can skip the ad in 5 sec with a mouse or keyboard Brazil's government, which had been urging local carriers to buy Embraer aircraft to boost regional aviation and strengthen the manufacturer, cheered the deal. "It's a historic purchase. ... A milestone for regional aviation," Ports and Airports Minister Silvio Costa Filho said. The LATAM order follows another landmark deal for Embraer earlier this month, as a firm order for 50 E195-E2s from budget carrier Avelo Airlines marked the first U.S. deal for the plane. Reporting by Gabriel Araujo; Additional reporting by Fernando Cardoso; Editing by Brad Haynes and Mark Porter Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics: Gabriel Araujo Gabriel Araujo Thomson Reuters Gabriel is a Sao Paulo, Brazil-based reporter covering Latin America's financial and breaking news from the region's largest economy. A graduate of the University of Sao Paulo, joined Reuters while in college as a Commodities & Energy intern and has been with the firm ever since. Previously covered sports - including soccer and Formula One - for Brazilian radios and websites. Read Next