Rio de Janeiro – Brazil and Colombia are looking into the possibility of effecting commercial transactions in local currencies, similar to what Brazil and Argentina are already doing. The matter was discussed today (15th) by presidents Luiz Inácio Lula da Silva and Álvaro Uribe, during a meeting a little before the opening of the Latin American World Economic Forum, in the city of Rio de Janeiro.
According to the special advisor to president Lula, Marco Aurélio Garcia, Uribe made a point of asking his minister of Finance to meet with minister Guido Mantega as soon as possible in order to approach the subject.
During the bilateral meeting, Lula also informed Uribe that he is looking into the possibility of opening more lines of credit in Brazilian currency (real) for trade, by means of the Brazilian Development Bank (BNDES), and eventually through the Bank of Brazil as well.
“This is in line with the position that president Lula defended at the G-20 meeting,” said Garcia. “Global trade must be irrigated, and one of the means for doing so is to create lines of credit so as to enable commercial activity,” he added.
The expansion of financing for trade was one of the commitments made by the leaders of the financial G-20 in the meeting held in London on the 2nd of this month.
*Translated by Gabriel Pomerancblum
