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Proposed Brazil-Argentina common currency is met with doubts
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Brazilian President Luiz Inacio Lula da Silva, left, and Argentina's President Alberto Fernandez embrace at the government house in Buenos Aires, Argentina, Monday, Jan. 23, 2023. - photo by AP Photo/Gustavo Garello
RIO DE JANEIRO (AP) — A proposal floated by the leaders of Brazil and Argentina to launch a common currency is being met with deep skepticism by analysts, who say neither country is positioned to tackle such a complicated undertaking or instill confidence in the idea with global markets. Brazil’s President Luiz Inácio Lula da Silva told reporters Monday, though, that a common currency would reduce a harmful dependence on the U.S. dollar. “I think this will happen with time, and it is necessary because there are countries that sometimes have difficulty acquiring dollars,” Lula said in Buenos Aires after meeting his Argentine counterpart, Alberto Fernández.