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Luis Lacalle Pou said that creating a common currency in Mercosur "is crazy"

2023-03-09T07:35:54.822Z


The president of Uruguay ruled out the possibility raised by Alberto Fernández and Lula Da Silva, from Brazil. What did he propose to 'sleep much more peacefully'.


Never shy away from confronting his peers in the region, the president of Uruguay,

Luis Lacalle Pou

, referred this Wednesday to the possibility that a common currency could be created together with the countries that make up Mercosur

,

a proposal that emerged from Alberto Fernández and Brazilian Lula Da Silva.

Without hesitation, the Uruguayan president ruled it out:

"It's crazy

. "

Lacalle, in contrast, did leave open the possibility that the partners of the commercial bloc establish

a "floating band" for their currencies

, in such a way as to avoid inflationary "jumps".


"We would be very calm if we put

the floors and ceilings

of our coins. I

would sleep much more peacefully

," he said in dialogue with the LN+ channel.

However, Lacalle Pou

was not passionate about

the idea that was raised weeks ago to create the same currency with similarities to the euro for all the Mercosur countries, an Argentine-Brazilian proposal that came to have the endorsement of the eccentric millionaire Elon Musk: “The idea of ​​a common currency is not possible.

It's crazy."

The idea has been agitated 

by the presidents Alberto Fernández and the Brazilian Lula Da Silva.

"We intend to overcome the barriers to our exchanges,

simplify and modernize the rules

, and encourage the use of local currencies," both heads of state associated with the bloc explained in a column published in the Perfil newspaper and signed by both .

In this sense, they affirmed that they decided to "advance the discussions on

a common South American currency

that can be used for both financial and commercial flows, reducing operating costs and our external vulnerability."

The Uruguayan does not match.

The news had come just days after Lula Da Silva took office in Brazil.

The Argentine ambassador

Daniel Scioli

was received by the Brazilian Minister of Economy,

Fernando Haddad

, and assured after the meeting

that they had discussed a

single currency project for trade within Mercosur.

He even clarified that the project

did not imply the disappearance of the currencies themselves

- the depreciated Argentine peso, the Brazilian real, the Paraguayan guaraní and the Uruguayan peso.

But he said that the unification of the currencies was sought for commercial transactions so as not to depend on the dollar.

Pepe Mujica also questioned the creation of the common currency

In line with his successor, the former president of Uruguay José 'Pepe' Mujica met Lula Da Silva at the end of January and during a relaxed chat he questioned the creation of a single Mercosur currency.

In a video of the meeting, Mujica is seen

questioning the idea

and recalled that with Argentina there is "an agreement to be able to buy and sell" with Uruguayan money.

"

But we didn't comply with it

!", he remarked, and assured that it is easier to start there, than "to make a coin".

"Right away

we are going to the great thing

, we want a central bank...

A central bank for America

!" Mujica emphasized.

"We have to do many stages, many things. We need a name, a flag, an anthem... Why? Because humans

are mythological

, we have to symbolize ideas, we have to do things for humans, not for the economists", added the former president and unleashed laughter from those who shared the moment.

DS​


look too

Nobel Prize in Economics criticized the common currency between Argentina and Brazil: "It is a terrible idea"

Pepe Mujica met with Lula and questioned the creation of a common Mercosur currency: "We're going to the great thing right away"

Source: clarin

All business articles on 2023-03-09

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