Maduro, the dictator of Venezuela, declared yesterday that his nation, which leads Latin America's record of inflation, supports the move to establish a unified currency by Brazil and Argentina.

One question remains in the background. If they really want to imitate the euro area, these leftist populists and dictators should first study a bit of history.

EMS (European Monetary System) A set of agreements stipulated in 1979 between the member countries of the then European Economic Community (EEC) was created in 1979 to stabilize the exchange rate between some of the main European currencies. The EMS was born under the political impetus of French president V. Giscard d'Estaing and German chancellor H. Schmidt to create a zone of monetary stability in Europe after high inflation and exchange rate instability prevalent, followed at the end of the Bretton Woods system.

The EMS followed the failed attempt of the European currency snake by a few years and had as its main constituent element the European Exchange Rate Agreements (ERM), which implied the setting of a central parity for the bilateral exchange rates of the member countries (grid parity), around which the exchange rates fluctuated with a margin of ±2.25%.

Initially, 8 (the six founding countries of the EEC, i.e. Germany, France, Italy, Belgium, Holland, and Luxembourg, plus Denmark and Ireland), participants in the ERM became 11 with the entry of Great Britain in 1990, and Spain and Portugal in 1992. In September 1992, Great Britain and Italy abandoned the ERM after a serious exchange rate crisis (speculator George Soros was one of the main causes).

Just in 1999, the euro was introduced and Physical euro coins and banknotes entered into circulation on 1 January 2002, 23 years after EMS, 30 years after the European currency snake trial.

https://paolomanzo.substack.com/p/venezuela-supports-the-idea-of-a