Argentina’s Minister of Economy, Sergio Massa, said that in order to boost trade between “Mercosur,” it is necessary to standardize local currency agreements between countries.
“The use of local currencies in trade must be coordinated within the bloc,” Massa said during a conference with his Mercosur counterparts.
“After the moment of crisis that Argentina is going through with the worst drought in history, the use of local currencies in bilateral trade relieves pressure on the use of reserves and on the issue of the exchange rate.” Massa added.
The Argentine government, with the wider use of the Chinese yuan, is trying to stem the flow of dollars, as the Argentine central bank’s net reserves are believed to be only about $5 billion.
