The BRICS alliance is exploring the development of an alternative currency as a countermeasure against the dominance of the US dollar. Discussions within the bloc involve various strategies aimed at reducing reliance on the US dollar and advocating for the utilization of local currencies in global trade. Additionally, efforts are being made to persuade other developing nations to diminish their dependence on the US dollar and instead prioritize the use of their own currencies.
Reports suggest that BRICS is contemplating the establishment of a unified currency, akin to the Euro, as part of its endeavor to challenge the supremacy of the US dollar. However, it’s important to note that this potential shift towards a BRICS currency mirroring the Euro’s model remains speculative at this stage, with no definitive decision reached. The bloc is scheduled to convene at its upcoming summit in October, where discussions will continue, potentially leading to a consensus on this matter. This forthcoming 16th summit holds the promise of introducing transformative policies that could significantly reshape the trajectory of the alliance.
The ramifications of such policies could extend beyond the BRICS nations, impacting the Western sphere and the dominance of the US dollar in global transactions. A reduction in the international usage of the US dollar would pose considerable challenges to the American economy, potentially exerting significant strain throughout the current decade.
