“Brazil is back”: Lula’s Agenda for International Affairs
President elected, Luis Inácio Lula da Silva, is resuming Brazilian ties with Latin American countries like Argentina, Uruguay and Venezuela. Lula is doing the opposite of what Bolsonaro did in his government, when he moved away from countries he considered as communists because of their central-left leaders like Argentina, Uruguay, Venezuela, Bolivia, Peru, Honduras, Mexico, and Chile. His inauguration ceremony was also attended by the previous Uruguayan presidents Pepe Mujica (2010-2015), Julio María Sanguinetti (1985-1990), and (1995-2000). Alberto Fernández, president of Argentina was also present, showing a good relationship between Argentina and Brazil.
As President Lula said at the COP 27 Conference, “Brazil is back”. It means that Brazil is coming back to its foreign affairs and to become a great leadership again. It also refers to the return of environmental policies and protection. When it comes to the environment, shortly after taking office, Lula signed several decrees in opposition to the measures taken by the previous government. Lula will reestablish the activities of CONAMA, the National Council for the Environment, and will preserve the Amazon through the "Amazon Fund" project, which finances actions to prevent, monitor and combat deforestation and to promote the conservation and sustainable use of the Amazon Legal, the largest socio-geographic division in Brazil, containing all nine states in the Amazon basin.
His first international voyage was to Argentina, on January 23rd 2023. There, Lula apologised for Bolsonaro’s rudeness towards the country and its leader. He also established deals about the common currency and promised to use the National Bank for Economic and Social Development (BNDES) to finance infrastructure and engineering projects in South America. Some of these projects would be the Argentinian pipeline in order to raise Vaca Muerta’s exports to Brazil. Honduras’ president, Xiomara Castro also said she would ask for financing for their dam and the sequel of the subway in Caracas.
Lula has also announced the creation of a common currency between Brazil and Argentina. Brazil’s Finance Minister, Fernando Haddad has explained that the objective of this currency is not creating a single currency as Euro, but one for the Mercosur. The currency is expected to be called “Sur” and is meant to facilitate the transactions between the members of the bloc and to reduce dollar’s dependency. However, some specialists think that the debate is broad and “unrealistic in the short and medium term”. Some of Brazilian experts are also concerned about Argentina’s current financial situation and if it could disrupt Brazilian economy.
Argentina was one of the richest countries in the world at the end of the 19th century and at the beginning of the 20th century. It had the largest GPD per capita in 1896 when it was the 6th economy in the world. The country’s economy was focused in agricultural products and it exported food to Europe which was at war at that time. In 1913, Argentina inaugurated the first Latin America’s subway, 55 years before São Paulo. Since the Coup d’État of the 1930’s, the country has been facing economic difficulties. The country later saw a series of coup d’état (1930, 1943, 1955, 1962, 1966 and 1976) with some resulting in military regimes. In the last decades Argentina promoted six defaults on the payment of its foreign debts and has a history of hiding the veracity of its financial data.
Despite the historical similarities between Brazil and Argentina, Brazil could overcome its problems and become a strong influence in South America. Uruguay is another country in which Brazil has great influence. In the past, in 1821, Uruguay was part of Brazil under the name of Cisplatin Province. Uruguay is still so involved with Brazil that even political particularities in Brazil are discussed in the country. In 2016, the proposed Constitutional Amendment (PEC 55) in Brazil which limited public spending on health and education for 20 years, was object of criticism at the public universities in Uruguay. Brazilian music also has a strong influence on Uruguayan culture and many people cross the border between the two countries in order to spend weekends or vacation. So, there is a great exchange between both countries.
Not coincidentally, it was the second destination of the elected president, Lula. This visit happened one day after the summit of the Community of Latin American and Caribbean States (CELAC), which took place in Buenos Aires on January 24th. At this summit, Lula renewed Brazil's leading role by saying: “We are a peaceful region that rejects extremism and political violence". The response of the other presidents was positive. They celebrated Brazil's return to the international forum and pledged to promote integration in the midst of the various crises that affect the region. It is important to emphasise that in 2020, Bolsonaro suspended Brazilian participation in the forum, claiming that CELAC was giving “protagonism to undemocratic regimes, such as those in Venezuela, Cuba and Nicaragua”.
In his voyage to Uruguay, Lula was welcomed by the Uruguayan President, Luis Alberto Lacalle Pou, who invited him at the same day he took office and later he also had a meeting with his old friend, the former president, Pepe Mujica. The purpose of this visit was to strength commercial and friendship ties with Uruguay. Lula was also awarded for his performance in defense of the Environment given by the city.
In the beginning of February, Lula went to the USA and his next journey will be to China, at the beginning of March. It shows that the Ministry of Foreign Affairs of Brazil is considering Argentina and Uruguay as its main partners in South America and globally, today’s largest economies.
In the USA, Lula mainly addressed the defense of democracy and climate change. He also defended the creation of a “global governance with more authorities” and “that other countries can participate in the Security Council of the United Nations, so that some decisions on climate are taken at the international level”.
Lula represents a strong leadership in the world. In 2010 he was elected one of the most influent leaders in the world by the “Time” magazine. Unlike the unpopular Bolsonaro, who achieved two-thirds disapproval in mid-2021, Lula has the sympathy of many international leaders, and it helps Brazilian Foreign Affairs. Brazil represents the 5th largest country in the world, the 9th global economy with US$ 1,83 tri, and the largest economy in Latin America. Is makes this country one of the most important countries in the world. Keeping good relationships with its neighbours is extremely important to its Foreign Affairs.
In the coming weeks and months, we’re likely to witness the following:
The new Brazilian government will reestablish some relations which were weakened since Bolsonaro’s government
The Amazon’s destruction will decrease since the environment’s protection is one of the main focus of Brazilian politics under Lula’s management
Some of the opposition figures may rise over the internet protesting this rapprochement with left wing countries in South America
Brazil is going to recover its prestige with the greatest leaders all over the world due to its new environmental agenda
“Together we are stronger”: Competitors for leadership in South America in the past, Brazil and Argentina seem to be creating some kind of alliance for the common good in the continent.