China and Brazil have struck a deal to trade in their own currencies instead of the US dollar, the Brazilian government said on Wednesday, according to a report by AFP, which noted that the biggest economy in Latin America expected the agreement would reduce costs and spur greater bilateral trade and investment.
China is Brazil’s biggest trading partner, with a record US$150.5 billion in bilateral trade last year, according to the report, which said the deal followed a preliminary agreement in January, announced after a high-level China-Brazil business forum in Beijing. Officials said the Industrial and Commercial Bank of China and Bank of Communications BBM would undertake the transactions.
Read the full report: AFP/Straits Times.
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