Initiative of Banco del Sur fails to materialize after nine years

Image: El Comercio

The Banco del Sur, a financial initiative intended to minimize the influence of multilateral institutions like the World Bank, has a new obstacle to start: the current economic situation experienced by the region.

Launched in 2006, the initiative was the spearhead of the integration strategy with which the then Venezuelan President Hugo Chavez sought to gain influence in South America against the US

The first to join were Argentina and Bolivia. Brazil, Ecuador, Paraguay and Uruguay joined later.

More than eight years after the proposal, this is not yet a reality, although it has been the main theme in presidential summits of the region.

The agenda of the Fourth Summit of the Community of Latin American and Caribbean States (CELAC) held from yesterday, January 27, 2016, in Quito, includes the revision of this institution and the Latin American Reserve Fund (FLAR for its Spanish acronym).

Source: http://www.elcomercio.com/actualidad/banco-sur-funcionamiento-celac.html