Lessons from Brazil and Argentina’s Joint Currency Experiment for African Nations

The two south American nations are exploring methods to increase bilateral commerce and wean themselves off the mighty US currency. Its announcement has been widely criticized since they are not a natural fit for a single currency. This is due to one country's relative economic prosperity and the other's economic upheaval. This experience between Brazil and Argentina is instructive and illustrative for African nations with comparable aspirations to develop a single currency. Brazil and Argentina announced early last month that they would create a joint currency to increase trade and political relations. Similarly Africa has expressed the same ambitions at different times. The advent of AfCFTA gives further impetus to the concept that Brazil and Argentina has reignited. Brazil and Argentina first came up with the idea of a joint currency in the 1980s but it never took off because economic fundamentals. The joint currency experiment by Brazil and Argentina which has been received with widespread criticism and ridicule in equal proportions has important lessons for Africa and the creation of a common market through AfCFTA. The creation of AfCFTA will create a common market by collapsing all borders and trade restrictions on the African continent. For a joint currency