Looking for alternatives to the Argentine and Brazilian dollars

The Argentine president, Alberto Fernández, and his Brazilian counterpart, Luiz Inácio Lula da Silva, promised to work together in the creation of a new mechanism for the non-use of the US dollar in trade with bilateral and neighboring countries.

Fernández and Lula da Silva issued a joint press release after the meeting at the Alvorada Palace in the capital Brasilia.

Brazilian President Lula da Silva noted that they promised to make all kinds of sacrifices to help Argentina, and drew attention to the need to help Brazilians who export to Argentina and finance Brazil’s exports, as China does with their own products.

TWO COUNTRIES IN AGREEMENT

Argentine President Fernández stated that he and his counterpart agreed to work together to establish a new mechanism aimed at not using the US dollar in trade with bilateral and neighboring countries.

Fernández said that officials from the two countries’ economy ministries will meet next week to shape the plan.

It is stated that there are solutions such as the determination of the credit limit to finance the exports of Brazilian companies to Argentina, in the proposals not to use the US dollar when the two countries trade with each other.

China and Brazil agreed earlier this year to use the yuan and real currencies instead of the US dollar in trade between them.

Lula da Silva criticized the programs of the International Monetary Fund (IMF) that force countries with liquidity problems like Argentina to cut public spending in exchange for bailout loans. (AA)