What does the acronym OECD stand for and why is it important?

Daily we come across words, terms and acronyms that we do not know. Some of them are used less often than others. However, one in particular has been widely discussed in recent days after President Jair Bolsonaro left for the United States (USA).

We are talking about the acronym OECD, which stands for Organization for Economic Cooperation and Development. The organization is international, consisting of 36 rich or developing countries, with headquarters in France. The aim of the OECD is the promotion of economic development, as well as the promotion of social comfort.

Origin

The organization was founded in 1947. At the time, it was created aiming at the reconstruction of European countries, since many had been destroyed with the Second World War. Reconstruction was envisaged by the US Marshall Plan. Thus, at the time the organization was aimed at European countries, being titled as Organization for Economic Cooperation (OEEC).

In addition, after 1960, Canada and the US joined the organization, thus creating a new convention, and becoming the OECD. Brazil is not in the organization. However, it is in the interest of the current president that the country be part of the select group of countries.

In order to enter into the agreement, the country needs to install several liberal economic measures, as well as fiscal and inflationary controls. The advantages are that the member nation gains a prominent position in foreign investment. As well as enabling the raising of external resources and lower interest rates.