Neighbourly Love?

July 2007 | Risk Summary

While President Hugo Chávez has been courting allies in Russia, Iran and Belarus, relations with countries closer to home have taken a turn for the worse of late. A diplomatic spat with Brazil over Chávez's reference to the Brazilian senate as a 'parrot' for the US is now threatening negotiations over Venezuela's full admission into the Mercosur trading bloc. Brazil and Paraguay have not yet followed Argentina and Uruguay in endorsing the Venezuelan bid, prompting Chávez, who missed the latest summit due to travels, to impose a time limit before he withdraws his country's bid. The firebrand president's antagonistic style

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