By: Kayhan Int’l Staff Writer

 

Brazil and Argentina, as the two largest countries of South America, account for two thirds of the geographical area of the whole continent, and with a combined population of over 260 million far outnumbering the rest of the Latin American states, their trade exchanges running into scores of billions of US dollars, play a vital role in the international system.

Now comes the good news that the two countries have decided to aim for greater economic integration, including the development of a common currency that would eventually replace the US dollar.

This was disclosed by the Argentine website ‘Perfil’, which published a joint article penned by Brazilian President Luiz Inacio Lula da Silva and Argentine leader, Alberto Fernandez.

It quoted the two leaders as saying: “We intend to overcome the barriers to our exchanges, simplify and modernize the rules and encourage the use of local currencies.” 

According to reports, a currency union covering all of Latin America would represent about 5 percent of global GDP, while the world’s largest currency union, the euro, encompasses about 14 percent of global GDP when measured in the terms of the US dollar.

This means there is a long way to go to achieve parity, let alone outpace the domination of North America and Western Europe, but with determination present in the corridors of political and economic powers in both Brazil and Argentina, progress is possible.

Moreover, the recent trend in major world countries, such as Russia, China, Iran, and even Turkey and India, to trade in their respective currencies by scrapping the US dollar from transactions, portends a healthy atmosphere on the international scene.

Of course, what is healthy for the rest of the world people and world countries is not viewed as healthy by the Zionist-controlled economies of the US and Europe, which have the free world in ransom since the last century.

This stranglehold ought to be broken, and if the world’s independent countries get together and pool their resources, whether in the field of economy or of politics, the hostages held by Washington and its dollar will be definitely be free.

The Islamic Republic of Iran welcomes all such moves and looks forward to the day of the defeat of the destructive US dollar which is the weapon that the imperialists wield to destroy the economies of the free world.