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Possibilities for the Brazilian economy

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The Sur currency is a proposal for monetary unification between the countries of South America.

The aim is to facilitate trade and economic relations between the countries of the region. The Sur has nothing to do with the Real Peso.

Real Peso

The real peso is an old currency that was used in Brazil. It was introduced in 1790 as part of the country’s monetary system and was used until 1942.

The peso real was replaced by the cruzeiro, which in turn was replaced by the real, which is Brazil’s current currency.

The peso real has had various denominations, including the mil-réis, the conto-de-réis, the cruzeiro and the cruzeiro novo.

How the Sur came about

The sur currency was proposed by the Union of South American Nations (UNASUR) in 2007, and would be a replacement for the individual currencies of the participating countries, such as the Brazilian real and the Argentine peso.

Issue

The sur currency would be issued and managed by a common central bank, and would be a way of reducing dependence on the US dollar and the euro.

Advantages

The sur currency would allow South American countries to have more autonomy in their economic and financial policies, and could be used to stabilize exchange rate fluctuations and reduce vulnerability to financial crises.

Availability

However, the sur currency is still a proposal and has not yet been implemented.

The implementation of a common currency faces challenges, such as the need to align the economic policies of the participating countries, as well as overcoming cultural and political differences between countries.

In addition, the sur currency also faces resistance from some countries, such as Brazil, which has a stronger economy and is worried about losing economic power.



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