Argentine Economy Minister Sergio Massa told Argentine journalists that work on the establishment of a joint Argentine-Brazilian currency will begin as soon as this week, according to the Argentine press.
"There is a decision to start studying the parameters needed to create a common currency, this concerns everything from taxation issues to the size of economies and the role of central banks," Masa said. "The aim is to give impetus to regional trade and reduce dependence on the US dollar," the minister added.
"We will have to study the mechanisms of commercial integration. I am not going to raise false expectations, as this is only the first step on the long road that Latin America has to take," Masa stressed.
However, the project initiated by Argentina and Brazil is not limited to these two countries. Other countries in the region may join the initiative in the future.
The idea of a common currency for the two countries emerged at a recent meeting between the presidents of Argentina and Brazil, Alberto Fernández and Luiz Inácio Lula da Silva.