Countries within the Southern Hemisphere are on the move.
This past weekend member states of UNASUR and the African Union met on Margarita Island, Venezuela, in order to strengthen ties between their countries and continents. One of the ideas proposed by President Hugo Chávez, as well as Moammar Gadhafi, of Libya, is an alliance among countries in the South, a southern NATO of sorts. More information can be found in this NPR story.
Meanwhile, a major outcome of the G-20 in Pittsburgh last week was the acceptance that it will now serve as the world’s major economic organization. This grants greater recognition to other nations such as Brazil and India, whose economies and populations are significant and are yielding greater influence. The G-8, organized in 1975, now fails to represent the demographic and economic realities of the 21st century. The expanded set of countries accounts for 5/6 of global GDP and 2/3 of its population.
Chávez continues efforts to position himself as a leader of countries opposing the historical dominance of the United States and Europe. He is charismatic and can be inspiring, but one wonders if he is truly the best man to lead the charge in this cause?
Brazil’s population and GDP make it the rising South American powerhouse, while Venezuela’s clout rises and falls with the price of oil. Over the long-term it seems that Brazil is in a better position, as its economic strength is based on diversified sources, rather than relying solely on global demand for energy. Notably, while the Presidents of Venezuela, Brazil and Argentina all traveled to the UN General Assembly last week, only Lula and Kirchner continued on to Pittsburgh.
