common currency
Brazilian Finance Minister Fernando Haddad downplayed the idea of a shared single currency between Argentina and Brazil, saying the countries are looking for ways to stimulate bilateral trade, but not to extinguish their own currencies.
His remarks came after Brazilian President Luiz Inácio Lula da Silva and his Argentine counterpart Alberto Fernández published a joint article saying their goal of further economic integration included studying a common South American currency.
Haddad, who raised that possibility in an article last year, said that the removal of trade barriers between the two countries could imply the use of a single currency for trade, given the lack of dollars in Argentina. But that does not mean the end of the Brazilian real, he said.
“Trade is very bad and the problem is precisely the foreign currency, right? So we are trying to find a solution, something in common that can make trade growHaddad told the media upon his arrival in Buenos Aires ahead of Lula’s first international trip since his inauguration on January 1.
Haddad said that Argentina is a major buyer of Brazilian industrial products and that “several possibilities” are being considered to overcome its currency problems, although no decision had been made.
Asked if he could provide more details on the foreign exchange issue, Haddad confirmed that he would clarify the matter in the coming days, saying wryly: “especially since there are those who say that the real is going to run out.”
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
