Since the September 2001 terrorist attacks on New York and Washington, U.S. attention to terrorism in Latin America has intensified, with an increase in bilateral and regional cooperation. This report discusses the issue in relation to the U.S. State Department's April 2009 Country Report on Terrorism; Venezuelan President Hugo Chávez's sympathies with terrorist groups and lack of cooperation on antiterrorism efforts; growing U.S. concern over activities of terrorist groups Hezbollah and Hamas in the tri-border area of Argentina, Brazil, and Paraguay; and various legislative initiatives related to Latin American terrorism issues being considered by the 111th Congress.

This report reviews Argentina's financial crisis, the bond exchanges of 2005 and 2010, ongoing litigation, prospects for a final solution, related U.S. legislation, and broader policy issues. These include lessons on the effectiveness and cost of Argentina's default strategy, the ability to force sovereigns to meet their debt obligations, and ways to avoid future defaults like Argentina's.

This report discusses Argentina's political and economic situation, U.S. foreign aid to Argentina, trade and investment issues, and U.S. Congressional interest.