Hugo Chavez has surgery in Cuba - the most important negotiations broke down PDF Print E-mail
Saturday, 11 June 2011 12:25


Minister of Foreign Affairs of Venezuela Nicolas Maduro announced on June 10, 2011, that  President Hugo Chavez has surgery in a clinic of the capital of Cuba.

According to the Ministry of Foreign Affairs of Venezuela, the need for surgery was caused by the sharp deterioration in the health of Hugo Chavez, caused by an abscess in the pelvis. A few days ago Hugo Chávez began to complain of pain in the pelvic area prior to the visit to Cuba, and even began to walk with a walking stick, refusing hospital treatment and hoping that outpatient treatments to help cope with the sudden pain in the pelvic area and made a regular visit to Cuba. However, the drastic deterioration of general condition of the body and a strong rise in temperature forced the Cuban doctors to carry out emergency surgery, which took place without complications. But Chavez will have to stay a few days in Cuba, since in such cases are required to appoint a long follow-up treatment, which in early patient transfer is undesirable.

The President of Venezuela considers necessary a visit to Cuba, because of the complicated international situation prevailing at present. At the beginning of his visit to Cuba, Chavez has managed to meet the head of Cuba's Raul Castro and his brother Fidel Castro. During the meetings, Mr. Chavez discussed with Raul and Fidel Castro, the implementation of bilateral agreements, as well as the integration projects within the alliance in Latin America and the Caribbean- the Bolivarian Alliance for the Americas (ALBA), which was established at the initiative of Fidel Castro and Hugo Chavez in 2004 to counter the American initiative of a free economic zone of the Americas. The member nations of ALBA are: Bolivia, Chile, Cuba, Ecuador, Nicaragua, Dominica, Antigua and Barbuda, Saint Vincent and the Grenadines. The purpose of the ALBA- are promoting trade and cooperation between its members.

During the meetings, were widely discussed further prospects of the new settlement system based on the sucre (SUCRE - Sistema Unico de Compensación Regional - One regional system of settlements). Although originally intended to use the sucre in non-cash transactions between participants of ALBA, in the near future will use a new currency and the cash-using the experience of the EU's single currency. Chavez discussed the options for joining in the ALBA other South American countries, which may further stimulate regional trade in the region, reduce the impact of the global economic crisis for the ALBA, as well as reduce the dependence of the ALBA countries on the dollar. It is assumed, that the zone of Sucre will cover all countries in ALBA, this will continue to completely abandon the dollar in settlements between the countries of ALBA and create a stable mechanisms for promoting trade. According to Hugo Chavez, an initiative of introducing a single currency for all countries of ALBA fits well into global and regional trends.

Note, that the policy of abandoning the dollar in recent times is a characteristic feature of the trade policies of many Latin American countries. Back in late October 2009 it was announced, that China and Brazil will continue to pursue mutual payments in RMB, and soon took the first deal, the Chinese company "Geli" was received from Brazil a few million yuan for the equipment supplied. This was observed in the Chinese press, where there were comments that such a practice should be extensively distributed, as it will help further reduce the risks, associated with the instability of the U.S. currency. And the President of the Central Bank of Brazil said, that Brazil will seek a planned departure from the calculations in dollars, not only with China, but also with other countries BRICS.

It should be noted, that Brazil, Argentina and Uruguay for several years conducting mutual settlements in their national currencies.

But the main feature- only the ALBA alliance has put forward the idea of creating a supranational currency for South America- Sucre, so it is likely, that the Sucre zone, or ALBA, could become a kind of analogue of the euro area or EU, but the example is in South America . And on June 8, 2011 the initiators of the introduction of Sucre- Hugo Chavez and Fidel Castro discussed the options for joining in the ALBA other South American countries, especially Brazil, as the largest economy in the region, where Hugo Chavez visited shortly before his visit to Cuba.

However, the sudden illness and surgery of Hugo Chavez interrupted this important and groundbreaking negotiations on replacing the dollar in Sucre, which may be expected to continue in the future.




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