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Share link:In this post: BRICS is pushing hard to use national currencies instead of the US dollar for global trade. Iran’s proposing a new payment system that could help BRICS countries sideline the dollar in their transactions. Challenges like currency instability and internal differences might slow down BRICS’ plan to ditch the dollar.Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. W
The BRICS is doubling down on its plan to use national currencies for global trade, sidelining the US dollar. The alliance, which now includes new members like Iran and UAE, is exploring ways to boost the use of their own currencies.
Iran, in particular, has come forward with a proposal to integrate national currencies for financial transactions between member countries. The proposal will be a hot topic at the upcoming BRICS summit.
Iran is pushing for a system that would prioritize national currencies in cross-border deals. They want a payment system that mimics the Western SWIFT network but focuses on the BRICS nations.
The goal is:- weaken the dominance of the US dollar in global finance. According to Russian Deputy Foreign Minister Andrey Rudenko:
“Various options related to integrating financial markets of the BRICS members, such as payments in national currencies and new mechanisms of mutual financial settlements, including those suggested by Iran are now being considered.”
How BRICS’ de-dollarization is going
Over the past five years, BRICS has expanded its reach and influence. The group now has 11 members, with recent additions Iran, Egypt, Ethiopia, and the UAE. This expansion has strengthened the bloc’s economic power.
The IMF predicts that by 2028, BRICS countries will account for nearly 38% of the world’s GDP, overtaking the G7. By developing their own financial systems, like the proposed BRICS Bridge, these countries are trying to create a new economic order.
See also Elon Musk says America will go broke and US dollar will collapse
The BRICS Bridge will connect member countries’ financial systems, enabling transactions in their respective digital currencies. Right now, nearly 90% of trade between Russia and China is now done in rubles or yuan.
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