
Uruguay and Brazil agreed this week to jointly set up a 100MW wind farm in Uruguayan territory demanding an investment of 200 million dollars and which should become operational by 2013.

Brazil’s President Dilma Rousseff following a meeting with an Argentine delegation from the energy sector ratified her country’s decision to “strengthen the investment and the presence of the oil company, Petrobras, in Argentina”.

Brazilian Finance minister Guido Mantega said on Friday that IMF Managing Director Christine Lagarde makes a mistake in recommending emerging countries not to intervene in the money exchange markets to counter the strong devaluation of currencies from the rich countries.

Petrobras and mining company Vale, the two biggest companies in Brazil, have signed a memorandum of understanding to pursue joint ventures in various areas, Petrobras said.

The Brazilian navy polar research vessel “Almirante Maximiano” at the end of its XXXth Antarctic operation, Operantar, arrived on Thursday at Montevideo to take fuel, supplies and exchange experiences with Uruguayan officers.

Brazil lowered its benchmark interest rate to a near-historic low of 9% on Wednesday, as expected, but the central bank surprised with hints that more cuts may follow to revive Latin America's largest economy.

Brazil’s Mines and Energy minister Edison Lobao discarded that operations of Petrobras in Argentina could be affected by the decision from the administration of President Cristina Fernandez to expropriate YPF from Spain’s Repsol.

The Brazilian economy is set to grow 3% in 2012 after the modest 2.7% of last year, but following the relaxation of monetary policy it runs the risk of ‘overheating’, according to the IMF World Economic Outlook, WEO.

Argentina and Brazil agreed to work on a common defence agenda underlining the importance of strengthening Unasur and working to ensure that Latin America is a peace zone thus sending a strong message to the UK on the Falklands/Malvinas issue.

Cooperation in energy development, closer economic ties including a free trade agreement and praise for Brazil’s economic and political leadership were some of the issues discussed by visiting US Secretary of State Hillary Clinton during her first day of meetings with Brazilian officials.