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A mission travels to Brazil to accelerate the financing of imports and the gas pipeline


Massa is sending a team next week to negotiate funds for the second section of the pipeline and to set up the financing of imports by Banco do Brasil.

Next week the second chapter of the rapprochement initiated between Argentina and Brazil will open.

A mission from the Ministry of Economy will land in the neighboring country in search of financing for Argentine


as well as the

second stage of the Néstor Kirchner gas pipeline,

which will allow the government to strengthen relations with the main commercial partner and alleviate a scenario of shortage of foreign exchange.

As Clarín

learned ,

Sergio Massa will send a technical team the second week of February to resume talks with his peers in the Planalto, after Lula's tour in Buenos Aires last week.

His first international trip resulted in a broad understanding, whose economic chapter also includes the intention to create a South American circulation currency in the long term, an initiative that continues to generate discussion on both sides.

And that it was

branded as a "terrible" idea by the Nobel laureate, Paul Krugman


With this debate and the drought as a backdrop, the Government seeks to decompress the financing problems generated by exchange restrictions and make it difficult to access dollars to buy inputs, machinery and goods of Brazilian origin.

While Brazil

seeks to compensate for the space lost to the advance of China

, which improved its position with the swap and the possibility of financing bilateral trade through its banks (ICBC).

The mechanism being worked on is an extension of a line of credit from Banco Nación with Banco do Brasil to 366 days through a system of guarantees.

The neighboring country's entity finances Brazilian companies in reais to export to Argentina and Banco Nación supports local companies that make imports, without having to have dollars in operations.

In this way, the importer will assume a commitment in reais in the future.

During his visit to the country, the Brazilian Finance Minister, Fernando Haddad, assured that a

"sovereign wealth fund" will guarantee the letters of credit issued by Banco do Brasil

to finance its exporters.

But it is not yet clear how the support Argentina will offer will be and how an eventual exchange rate risk will be offset, considering the current weakness of the peso against the real.

"If implemented, it would be equivalent to a

tailor-made suit to overcome the shortage of foreign currency in Argentina.

That is, it would be used, as currently, almost exclusively to import from Brazil and not to export. This given that Brazil does not have external restrictions and Argentine exporters will always prefer to receive dollars over pesos, especially if they have to grant a financing term," said an Abeceb report.

With an estimated asset of around

US$8.4 billion,

Brazil today has the Export Guarantee Fund (FGE) to insure Brazilian exports against risks.

Today it is under the orbit of the Treasury and is managed by the state bank BNDES, an organization with which Lula seeks to become strong in the region and again finance projects abroad, such as the Néstor Kirchner gas pipeline. 

Massa announced that the BNDES will

provide US$ 820 million

for the purchase of pipes made in Brazil for the second section, which connects Vaca Muerta with San Jerónimo, in Santa Fe. And the idea is that in the future it will supply gas to the neighboring country .

In the immediate future, it will first be necessary to dispel the fear that arose in some sectors of Brasilia to finance works abroad that end up in cases of corruption such as that of Odebrecht.

Source: clarin

All business articles on 2023-01-30

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