Representatives of the Brazilian Central Bank will meet their Argentinean counterparts in Buenos Aires next month in order to establish the rules that will govern the use of their own currencies, the Brazilian real and the Argentinean peso, in all commercial transactions between the two countries, rather than the US dollar that has been the standard currency used. The aim is to reduce transaction costs caused by the fluctuating dollar, which has affected trade.

For the time being, the new mechanism will only be used by Brazil and Argentina while Uruguay, Paraguay and Venezuela are also likely to be included in due course. Although, it is still uncertain whether the new measure will be wholly-beneficial, it is believed that it will significantly simplify trade between the Mercosur member-countries.