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Brazil’s President suggests creating common currencies for BRICS, MERCOSUR

One of the main purposes of this initiative is not to be dependent on the dollar.

RIO DE JANEIRO, January 23. /TASS/. President of Brazil Luiz Inacio Lula da Silva suggests thinking over the possibility of creating a common currency for both BRICS (Brazil, Russia, India, China, and South Africa) and MERCOSUR [the Southern Common Market, with Argentina, Brazil, Paraguay, and Uruguay as full members - TASS] for use in mutual settlements.

"If it were up to me, we would always trade with other countries in national currencies, so as not to be dependent on the dollar. Why not make an attempt to create a common currency for MERCOSUR countries or for BRICS countries?" the President said at a joint press conference with President of Argentina Alberto Fernandez.

"I believe that over time, we will come to that. I believe this is necessary because many countries face challenges buying dollars," Lula da Silva said. National banks might enter into appropriate agreements on creation of such currencies for their use in intra-bloc trade, the President noted.

Lula da Silva confessed he was not surprised by heated emotions and mistrust related to this topic. "Anything new causes mistrust. Still, all new things should be tried because we cannot confine ourselves to 20th century capabilities in the 21st century," the Brazilian leader said. This will enable making "a quantum leap" in mutual trade, he added.