08:08 AM EDT, 10/21/2025 (MT Newswires) -- (Update to add JPMorgan Chase's ( JPM ) comment in the sixth paragraph)

JPMorgan Chase ( JPM ) , Bank of America ( BAC ) and Goldman Sachs ( GS ) are hesitant to finalize a $20 billion loan to Argentina due to concerns about financial risk, the Wall Street Journal reported Tuesday, citing people familiar with the matter.

The report said the loan is part of a $40 billion support package, including a $20 billion currency swap with the US Treasury Department and a separate $20 billion bank-led debt facility, backed by the Trump administration to stabilize President Javier Milei's government.

The group of banks, which also includes Citigroup ( C ) , is seeking collateral or a pledge to ensure repayment, the people told the Wall Street Journal.

It added that bankers are waiting on guidance from the Treasury Department on what collateral Argentina would be able to provide to them or if Washington would plan to backstop the facility on its own.

Talks are ongoing, but the loan facility may not move ahead unless the issue of guarantees is resolved, according to the report.

JPMorgan Chase ( JPM ) declined to comment, while Bank of America ( BAC ) and Goldman Sachs ( GS ) did not immediately respond to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)