Argentina Treasury Deposits Shrink to US$1.18 Billion
MARKETS · ARGENTINA
Key Facts
- —The country Argentina, South America’s second-largest economy, run by President Javier Milei. It is the biggest borrower of the International Monetary Fund (IMF).
- —Why it matters The Treasury, not the central bank, pays Argentina’s foreign-currency debt. A thin dollar balance means more reliance on the IMF and on bond markets.
- —Why now Economy Minister Luis Caputo meets the IMF in Thailand from 12 October, seeking approval of the third programme review and its disbursement.
- —What happened Treasury dollar deposits at the central bank fell to US$1.177 billion on Monday 5 October, the consultancy 1816 reported on Friday 9 October.
- —The numbers The central bank has bought US$14.909 billion in 2026. Gross reserves closed at US$49.701 billion on Friday 9 October (C5N, citing central bank data).
- —What it means for you Holders of Argentine dollar bonds should watch the IMF board decision and any new bond sale. Yields near 12% show investors still demand a premium.
- —Still open When the IMF board votes, the exact disbursement, and how the Treasury will fund 2027 payments without shrinking reserves.
Argentina Treasury deposits in US dollars at the central bank have fallen to US$1.177 billion, according to the Buenos Aires consultancy 1816. The figure, dated Monday 5 October, leaves President Javier Milei’s government leaning on a pending IMF disbursement to meet its next payments. For US investors in Argentine bonds, it is a reminder that a stronger central bank does not automatically mean a cash-rich Treasury.
The report was published on Friday 9 October by La Política Online, a Buenos Aires political and economic news site. The Rio Times could not independently confirm the deposit figure, which comes from the consultancy’s own analysis of central bank balance-sheet data.
Two Pots of Dollars, Moving in Opposite Directions
Argentina keeps its dollars in two places. The Banco Central de la República Argentina (BCRA), led by Santiago Bausili, holds the country’s gross reserves. The Treasury, run by Economy Minister Luis Caputo, keeps its own dollar account at the central bank and uses it to pay foreign debt.
The central bank pot is growing. The BCRA bought US$69 million on Friday 9 October, its tenth straight session of net purchases, the Buenos Aires broadcaster C5N reported. Purchases in the first seven sessions of October reached US$340 million.
Gross reserves rose by US$380 million on Friday to US$49.701 billion, C5N said, helped by a higher gold price. The latest figure in the BCRA’s own published series is US$49.133 billion for Wednesday 7 October.
So far in 2026 the central bank has bought US$14.909 billion, according to C5N. That is well above the US$10 billion annual goal agreed with the IMF. The peso was calm too: the BCRA’s wholesale reference rate closed at 1,515.88 pesos per dollar on Friday.
The pace has not been steady, however. Monthly purchases peaked at about US$2.77 billion in April and fell to about US$474 million in September, according to the BCRA’s daily series.
The Treasury pot, by contrast, is shrinking. Dollars bought by the central bank do not move to the Treasury unless the Treasury buys them with pesos, and 1816 says Treasury deposits are now low.
An IMF Payment In, an IMF Payment Out
The government is waiting for the next IMF disbursement under the US$20 billion programme signed in April 2025. 1816 puts the amount at about US$865 million. Argentine media have reported figures between about US$800 million and US$900 million.
The catch, according to 1816, is that a payment of similar size to the IMF falls due on Sunday 1 November. The consultancy warns that the two flows could largely cancel each other out. The Treasury would meet the payment, but its free dollar balance would barely improve.
The disbursement depends on the third review of the programme. An IMF technical team led by Joyce Wong visited Buenos Aires from Monday 21 to Tuesday 29 September, El Cronista and Perfil reported. The Fund said talks would continue. The staff must report to the Executive Board, which votes on the money, and no board date has been set.
Caputo is expected to meet IMF Managing Director Kristalina Georgieva at the IMF and World Bank annual meetings in Thailand, which start on 12 October. We covered the trip in Caputo Takes Argentina’s IMF Case to Bangkok.
Markets Still Charge a Premium
Borrowing abroad is the other route, but it is costly. 1816 calculates that the AO29 dollar bond yields 11.8%. That is about 325 basis points above the cost of the government’s last placement, the consultancy says.
The bill ahead is large. Argentina owes about US$6 billion to the IMF and more than US$13 billion to private creditors in 2027, according to 1816’s figures as reported by La Política Online. Both sums dwarf the Treasury’s current dollar deposits.
The stabiliser is the central bank’s buying spree. If purchases keep running near October’s pace, the Treasury could buy dollars from the BCRA with its peso surplus. The government has also reduced its fiscal target for 2026 from 2.2% to 1.4% of GDP, El Cronista reported, and a smaller surplus means fewer pesos for such purchases.
For background on reserves and the peso band, see Argentina Peso Holds 21% Below Its Ceiling on 5 October.
What It Means for You
For holders of Argentine sovereign bonds, the key date is the IMF board vote. A quick approval would cover the 1 November payment without touching other funds. A delay would put more weight on the Treasury’s thin balance.
For US investors in Argentine shares and ADRs, rising central bank reserves are the positive side of the story. The United States is the IMF’s largest shareholder, so Washington’s stance at the board also matters.
For visitors, nothing changes for now. The official retail rate and the financial MEP rate ended Friday less than 1% apart, C5N data show.
What Is Not Known
The Treasury has not published its own figure for dollar deposits, and we found no Economy Ministry comment on the 1816 report by Saturday evening. The exact IMF disbursement and the board date are not public.
It is also unclear whether the government will issue new dollar bonds before year-end, or at what yield. How Argentina Treasury deposits will cover 2027 payments, through central bank purchases, new debt or both, remains open.
Frequently Asked Questions
How much do Argentina Treasury deposits hold in dollars?
The consultancy 1816 estimated US$1.177 billion on Monday 5 October. The figure has not been officially confirmed.
Why does the IMF disbursement matter so much?
It would arrive just before a payment of similar size to the IMF on 1 November, according to 1816. Without it, the Treasury would have to use its own thin dollar balance.
Are Argentina’s central bank reserves falling?
No. Gross reserves rose to US$49.701 billion on Friday 9 October, and the central bank has bought US$14.909 billion in 2026, C5N reported.
Sources: La Política Online (1816 report); C5N; BCRA statistics; El Cronista; Perfil.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
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