Lula Wants Brazilians and Chinese to Eliminate Dollar for Trade Between Them

[Judi Lynn]

Lula Wants Brazilians and Chinese to Eliminate Dollar for Trade Between Them
Written by Newsroom
Monday, 18 May 2009

Brazil and China will start conducting business with each other in their own currencies instead of the dollar, a publication quoted Brazil's president Luiz Inácio Lula da Silva as saying ahead of his trip to Beijing.

In an interview published Friday in Caijing, a respected Chinese business magazine, Lula said it was important that the two countries "establish a trade that is paid for in our own currencies."

"We don't need dollars." Lula was quoted as saying in the transcript posted on Caijing's Web site. "It's crazy that the dollar is the reference and that you give a single country the power to print that currency."

The Brazilian president has been urging the end of the use of the US dollar in South American trade, saying it will reduce transaction costs for both exporters and importers, especially those operating on a smaller scale.

Brazil and Argentina have already agreed to trade with each other using their own currencies and negotiations for a similar accord with Uruguay are advancing.

More:
http://www.brazzilmag.com/content/view/10743