On Wednesday, Ministers in charge of the Unique Regional Compensation System for Payments (Sucre, a proposed regional currency) approved a framework agreement in Caracas to establish this mechanism for financial regional integration.
Alí Rodríguez Araque, Minister of Peoples Power for Economics and Finance, made this announcement following a meeting in Simón Bolívar Hall of the Venezuelan Foreign Ministry.
Minister Rodríguez indicated that the document will be presented on Thursday during the Summit of Heads of State of the Bolivarian Alternative for the Americas (Alba) for final approval.
He added that according to an established timeline, technical committees in charge of implementing the Sucre will hold meetings to develop the details of the framework agreement.
During a meeting with representatives from Nicaragua, Bolivia, Cuba, Honduras and Ecuador, Finance Minister Rodríguez lauded the results of various meetings that have been held since late 2008 for the establishment of the Sucre.
“We are taking a big step, given the global crisis and its link to the weakening of the dollar’s symbolic value. We are making progress towards a new reorganization of the global financial system,” the Minister emphasized.
He specified that the framework agreement establishes “a set of proposal in which there is unanimity among member countries of this common monetary zone that aspires not just to include ALBA countries and Ecuador, but also the rest of the nations of the South, Central America and Caribbean.”
The goal of the framework agreement is to set the foundation for the Sucre’s operations in order to promote the comprehensive development of Latin America and the Caribbean with an emphasis on trade on intra-regional trade between peoples.
The Sucre will include a Regional Monetary Council, the Common Sucre Account Unit, the Central Chamber for Compensation, and the Fund for Reserves and Trade Convergence.
Minister Rodríguez said an experimental phase of implementation for the system will begin in the third quarter of the year. He also indicated that it should be ready to begin operations as of 2010.
Agencia Bolivariana de Noticias (ABN), Embassy of the Bolivarian Republic of Venezuela Press Office / April 16, 2009