Brazil And China Move To Change Currency Trade Standard

May 20, 2009

Global (ChattahBox) – With the fluctuations of the American dollar over the last several years, some countries are using it as a boost for their own economic means, as Brazil and China both make a move to overtake the International gold standard.

The two countries have begun fighting to place their currencies as the standard for trade, with Brazil especially adamant that their own be used, a proposal that hasn’t gained as much support as President Luiz Inácio Lula da Silva had perhaps hoped.

However, others have suggested an International standard based on one currency that is more related to every country as a whole, rather then giving that power to one alone. This reserve currency would be similar to that used by the International Monetary Fund, such as a reserve currency.

In any case, Brazil and China are looking to broker a deal to use their own currencies as viable methods of trade between the two.

“Something that would have been unthinkable 10 years ago is a real possibility today. Strong currencies like the real and the renminbi are perfectly capable of being used as trade currencies, as is the case between Brazil and Argentina,” Lula de Silva’s aide told the press.

Source


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One Response to “Brazil And China Move To Change Currency Trade Standard”

  1. Brazil And China Move To Change Currency Trade Standard … on May 20th, 2009 5:39 pm

    […] Here i­s t­he ori­gi­na­l­: Bra­zil­ A­n­d Ch­in­a­ M­ove­ T­o Ch­a­… […]

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