June 13, 2012
Luciana Otoni and Krista Hughes – Reuters, 06/13/2012
(Reuters) – Brazil raised the stakes ahead of next week’s Group of 20 summit on Tuesday by saying it may cap its contribution to a planned funding increase for the International Monetary Fund unless there are firm promises to give emerging markets more say at the international table.
While summit-host Mexico urged Europe to quickly finalize details of aid for Spain’s banks, Brazil said it might contribute less than it had planned to the extra $430 billion promised to the IMF by member states in April to help fund heavily indebted euro zone countries.
The euro zone sovereign debt crisis is set to dominate the June 18-19 G20 leaders’ meeting in Los Cabos as it did the last summit in Cannes, France, six months ago. The meeting starts a day after Greek elections which could decide whether the country stays in the euro zone.
February 27, 2012
BBC News, 02/27/2012
Brazil has said that developing nations would be happy to provide more money to ease the eurozone’s debt crisis, in return for more power within the International Monetary Fund (IMF).
The comments were made by Brazilian Finance Minister Guido Mantega as he met with his opposite numbers at a G20 meeting in Mexico.
He also called on eurozone countries to contribute more of their own funds.
December 2, 2011
Alonso Soto and Peter Murphy – Reuters, 12/02/2011
Brazil's Finance Minister Guido Mantega speaks during a news conference in Brasilia December 1, 2011. Credit: Reuters/Ueslei Marcelino
Major emerging economies will offer cash to help resolve Europe’s debt crisis so long as they gain influence at the IMF and Europe does more to address its own problems, Brazil’s economy chief said on Thursday.
European leaders are scrambling for a definitive end to a spreading debt crisis that is dragging down global growth and could even spell the end of the 17-nation euro zone.
Finance Minister Guido Mantega said Brazil and fellow BRICS nations were willing to boost their funding to the International Monetary Fund to counter the debt crisis, which is increasingly threatening their own economic growth.
November 7, 2011
Brazil will not contribute to a European rescue fund, although it is open to boosting the International Monetary Fund’s resources to deal with the debt crisis, President Dilma Rousseff said Friday.
“I have no intention at all to make direct contributions” to the European Financial Stability Facility, a rescue fund of 440 billion euros ($604 billion) which the EU is hoping to boost to 1.0 trillion euros.
“Why should we do it if they (the Europeans) are doing it?” she asked.
November 4, 2011
Gerald Jeffris – Dow Jones, 11/04/2011
Brazil is ready to offer aid to troubled countries in Europe through the International Monetary Fund, but needs to see more details about how a European aid package would be implemented before committing resources, Brazilian President Dilma Rousseff told counterparts at the opening proceedings of a summit of the Group of 20 industrial and developing nations Thursday.
Brazilian government officials present at the meetings said the president told fellow heads of state that the current difficult moment in the world economy calls for “leadership, clear vision, and swift action.”
Rousseff also reiterated recent recommendations that measures taken by the G20 emphasize promotion of economic growth.
November 3, 2011
Gerald Jeffris – Dow Jones, 11/02/2011
Brazilian President Dilma Rousseff is emphasizing her country’s position that solutions to European and global economic difficulties need to promote economic growth and employment, as she holds talks with key partners at a summit of G-20 leaders this week, government sources said.
Rousseff and top advisers Wednesday met with Chinese President Hu Jintao and Australian Prime Minister Julia Gillard in Cannes in an effort to fine tune their countries’ responses to an unfolding fiscal crisis in Europe. However, Brazil officials would not confirm whether the country and key BRICS counterparts would get on board to provide needed financial aid to ailing EU members.
BRICS members Brazil, Russia, India, China and South Africa have scheduled a meeting for Thursday to see if they can reach a coordinated position on the matter.
October 31, 2011
Brazil will become the world’s sixth largest economy in 2011 due to the global financial crisis that has affected the main economic powers including Britain, the International Monetary Fund (IMF) and several other organizations said Sunday.
According to the data, which was quoted by local newspapers, Brazil’s gross domestic product (GDP) in 2011 will surpass Britain’s, reaching 2.44 trillion U.S. dollars against Britain’s 2.41 trillion and making Brazil the world’s sixth largest economy.
In 2010, Brazil became the seventh largest economy in the world by surpassing Italy.
October 28, 2011
Brazil’s government could help euro zone nations mired in a debt crisis but would likely limit its aid to a bilateral agreement with the International Monetary Fund, a local newspaper reported on Friday.
Latin America’s largest economy does not intend to directly help boost the European Financial Stability Facility to 1 trillion euros, newspaper Valor Economico reported on Friday, without citing a source.
The government of President Dilma Rousseff is waiting for more details of the European agreement to make a decision, Valor added. Brazil would only use a slice of its international reserves if the euro zone plan is solid and effective, Valor said.
September 27, 2011
Tom Murphy – Dow Jones/WSJ, 09/27/2011
Brazil’s government doesn’t expect a Greek sovereign debt default, Finance Minister Guido Mantega said Tuesday, denying a newspaper report that jittery Brazilian officials are preparing for a debt moratorium by Greece.
“I don’t see any possibility of a Greek default this week,” Mantega told reporters in Brasilia. “Greece is fulfilling its obligations to the European Stabilization Fund and to the International Monetary Fund. They have the funds necessary to meet their bond maturities.” Mantega’s comments were made available to reporters via an audio tape.
In a report Tuesday, the Valor business daily quoted unnamed government sources as saying Mantega and Brazilian President Dilma Rousseff were convinced that Greece would declare a debt moratorium as early as this week. The report said Brazilian officials were preparing an emergency response to the possibility of a swift descent of the world economy into recession.
June 28, 2011
Andrew OReilly – Latin American News Dispatch, 06/28/2011
Mexico’s central bank chief, Agustín Carstens, put in a good run, but it looks more likely now that France’s Christine Lagarde will be the next managing director of International Monetary Fund (IMF) after receiving the backing of the U.S. and Brazil earlier today.
An unnamed Brazilian government source told Reuters on Tuesday that the country was giving its support to Lagarde. This follows a statement by U.S. Treasury Secretary Timothy Geithner endorsing France’s finance minister.
Geithner praised Carstens for having a “strong and credible candidacy,” but the U.S. endorsement virtually seals a win for Lagarde.