BRICS Meeting Highlights Shift to Local Currencies

[sirty143]

BRICS Meeting Highlights Shift to Local Currencies

BRICS Ministers of Foreign Affairs have emphasized using local currencies in trade, reaffirming economic resilience and financial sovereignty. At their meeting on Monday, the Ministers underscored the importance of the enhanced use of local currencies in financial transactions between the BRICS countries. See more for yourself here.

Your opinion is greatly appreciated.

[TomPluz]

One thing for sure, BRICS has the vision of not anymore relying on the mighty USA Dollar as the default currency for conducting international business...and soon it would have a currency approved by its members to officially replace the Dollar in the global scene. And with around 40% of the global business happening in the BRICS member countries, its impact will be felt by USA in the coming years. We have to remember that if one day dollar is out, USA will surely be experiencing the weakening of its money's value as the demand for the greenbacks will dramatically tank and without a strong demand for it people in USA will wake up experiencing strong inflation not yet seen before - the one it experienced under the Biden administration is just a rehearsal - and the country will find it hard to maintain its global leadership in many aspects. BRICS has China, Russia and Iran all harboring ill feelings for USA and they already know that not supporting the dollar is the way to go. Well, all empires will eventually end and I am actually wondering which country will soon fill the shoes to be vacated by USA...will it be China, Iran, Russia or a unified Europe?

[Faisal2202]

It's a little odd to say highlight the shift to local currencies I mean aren't they not using local currencies already like when India made a deal with Russia and gave them INR which after that becomes useless for Russians as INR can't be traded into their own currency that easily. Well, they made this trade when the war between Russia and Ukraine was at its peak and Russian couldn't trade via SWIFT that's why they preferred local currency. But still, BRICS's main purpose was to trade in local currencies so the local economy would increase.

Overall it's a good thing if they are making things more sure like remembering the old and new members of BRICS that they should prefer local currencies for trading. This will not only decease there dependence on foreign currencies like $ or Pond but increase there value as well.

[Baofeng]

One thing for sure, BRICS has the vision of not anymore relying on the mighty USA Dollar as the default currency for conducting international business...and soon it would have a currency approved by its members to officially replace the Dollar in the global scene. And with around 40% of the global business happening in the BRICS member countries, its impact will be felt by USA in the coming years. We have to remember that if one day dollar is out, USA will surely be experiencing the weakening of its money's value as the demand for the greenbacks will dramatically tank and without a strong demand for it people in USA will wake up experiencing strong inflation not yet seen before - the one it experienced under the Biden administration is just a rehearsal - and the country will find it hard to maintain its global leadership in many aspects. BRICS has China, Russia and Iran all harboring ill feelings for USA and they already know that not supporting the dollar is the way to go. Well, all empires will eventually end and I am actually wondering which country will soon fill the shoes to be vacated by USA...will it be China, Iran, Russia or a unified Europe?

But we have been hearing that since Brics has been established like more than 10 years ago, or China's Yuan plan, or Russia's supposedly Rubbles becoming the new currency. So it's really hard to see that the US dollar not to be the world currency in my opinion.

And I do agree with @Faisal2202, to be able to used their local currencies, it should be strong, however, no one for example India's money being recognized by other countries. So there will still be dependence on US dollar for the next decade or so, gonna be difficult for even China or Russia to introduce their own currency and become global.

[Faisal2202]

And I do agree with @Faisal2202, to be able to used their local currencies, it should be strong, however, no one for example India's money being recognized by other countries. So there will still be dependence on US dollar for the next decade or so, gonna be difficult for even China or Russia to introduce their own currency and become global.

Thanks for agreeing with me. You are right, a currency has to be strong enough if they want to make a successful trade. Otherwise, the US has the most financial products in the world, and it won't be easy to make a trade in local currency while using those financial products. We as a whole world are so dependent on the US and its products. That needed to be changed. Otherwise, they will misuse their powers as they are the main characters in the game right now, even if your currency is strong enough to make a successful deal.

Due to the involvement of the US, it will be a failure. And the US is so against Russia, I just heard the news they closed the Russia Visa Centre in Washington for unspecified reasons. In order to pull this out, they have to move from $ to local currency slowly so that they won't even notice although its so stupid to say but still.