Central America Flirts with Creating its Own Currency

Amid the financial situation affecting the United States as well as the rest of the globe, authorities of the Central American Integration System (CAIS) have moved on to implement a series of changes in the region’s economy to confront the crisis.

Among its announcements, CAIS has stated that the isthmus will seek to capitalize the Central American Bank of Economic Integration, create a regional currency as well as new laws and an investment infrastructure in order to prepare for the effects the economic crisis may have on the region. The law will also focus on the region’s bank system in order to prepare it for the arrival of foreign banks.

During last year’s summit at San Pedro Sula, Honduras, Central American authorities agreed on taking action that would give the region’s citizens a sense of identity and belonging. Region authorities also approved issuing a Central American passport along with the currency.

Specialists have stated that the crisis will probably continue for another year and that the least prepared economies will suffer from the set back. During the summit, members from the countries of Honduras, Belize, Guatemala, El Salvador, Nicaragua, Costa Rica, Panama and Dominican Republic reported a slight decrease in its economy.