The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

Latin America round up: Hugo Chávez watch

This month’s plans for a Latin American regional bank hit the rocks as Brazil raised objections to president Hugo Chávez’s plans for the bank.

In accordance with his aim of moving Latin America more to the left, and away from US-influenced institutions such as the World Bank and the Inter-American Development Bank, the Venezuelan head of state has pushed the idea of a Bank of the South. However, ahead of a meeting, scheduled for mid-August in Rio de Janeiro, Brazil and Venezuela are in disagreement over its base of operations, size, start-up capital and mission. The disagreements highlight the growing differences between President Lula of Brazil, who has embraced market-friendly policies, and Chávez. These new disputes, which include differences about whether start-up costs should be $7 billion, as Chávez wants, or $3 billion as Lula proposes, are only another obstacle that the regional bank has to overcome. Critics of Chávez note that Latin American development banks, such as BNDES in Brazil and Corporación Andina de Fomento in Venezuela, are already flourishing, making a new bank unnecessary.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree