Argentina's Milei rejects $270 million loan guarantee, province challenges river navigation concession

Argentina's national government under President Javier Milei said it will not provide the guarantee for a $270 million international loan sought by Buenos Aires Province to fund a river‑basin sanitation project on the Río de la Plata. In a filing to Federal Court No. 4 in La Plata, the administration argued that it is not obligated to prioritize provincial financing and must allocate resources according to national priorities and multilateral funding limits. The province, however, maintains it has other financing sources and noted that ten other provinces have received similar guarantees.

Buenos Aires provincial authorities, led by Minister Carlos Bianco, criticized a newly awarded 25‑year concession for the Paraná‑Plata navigation infrastructure (the so‑called Hydrovía). They claim the tender process was irregular, the tolls were inflated, and the deal will add roughly $200 million in costs for Argentine exporters. Bianco warned that a future Peronist administration might need to review the contract, highlighting concerns over both economic impact and environmental standards.