Latin American Countries Pursue Common Currency: CELAC Summit to Discuss Plans
• Brazil and Argentina are looking to begin work on the issuance of a common currency.
• Representatives of both countries will be discussing this project at the CELAC summit in Buenos Aires on Jan. 24.
• The project of a common currency for Latam has been gaining some steam during the last year.
Brazil and Argentina are looking to start a new project that could potentially revolutionize the Latin American economy. This project is the issuance of a common currency, which will be discussed at the CELAC summit in Buenos Aires on Jan. 24. Brazilian and Argentinian Ministries of the Economy will be discussing the first steps to implement this project, which will be called “sur”, Spanish for south.
The common currency project has been gaining traction over the last year. The Argentinian Minister of Economy, Sergio Massa, stated that the discussion at the CELAC summit would revolve around initial considerations for the issuance of the coin. This includes fiscal issues, size of the economy, and the role of central banks. This process is expected to take time, similar to the process of the Euro, which was in the making for 35 years before being finally adopted in the European Union.
Massa also mentioned that the project could be extended to include more nations in Latin America in the long run. President of Brazil Luis Inacio Lula da Silva has been a strong advocate for the project, and he has stated that the common currency could be a way to increase economic integration in the region.
This project is sure to be a game changer for Latin American economies, and its success could be a model for other countries in the world. It will be interesting to see how the project is discussed at the CELAC summit, and if any new developments are made.