World

Gains

<p>Today, within the Eurasian Economic Union, economic transactions are settled with national currencies, which are increasingly overshadowing the dollar. Most economic exchanges involving Russia are now conducted in rubles. The euro and the dollar are undergoing displacement. This transformation in the global financial landscape cannot go unnoticed. The possibility of a common commercial currency emerging within the BRICS is back at the center of discussions. In a recent interview, Russian economist and politician Sergei Glaziev dropped a bombshell: a common BRICS currency is inevitable. Details.</p>
<h2 id="h-brics-redefining-the-terms-of-the-world-economy">BRICS: Redefining the Terms of the World Economy?</h2>
<p>For the past few months, BRICS’ proactive stance seems to confirm predictions regarding the creation of a common currency within the bloc. In his interview, Russian economist Sergei Glaziev asserted that we are moving towards an era where the global economy will be dominated by a new currency, that of the BRICS.</p>
<div class="my-4">
 <div class="ads " data-page-type="" data-location="1">
 </div>
</div>
<p>He references the volatility of exchange rates, the instability and unpredictability of the current global economic system, and the economic sanctions imposed by Western powers, among other factors. According to the Russian economist, the BRICS nations collectively have the necessary material capacity to redefine the terms of global trade.</p>
<p>Indeed, he justifies, when it comes to creating a common currency, BRICS member countries won’t be starting from scratch. He points out that they already have an appropriate conceptual framework and a wide range of commodities.</p>
<p>However, Sergei Glaziev emphasizes that the BRICS currency will not replace the dollar. For him, the BRICS currency will fill the void left by the declining hegemony of the dollar. It will become the new unit of account used for settlements on a global scale.</p>
<figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <div class="entry-content-asset">
   <div class="social-embed-container">
    <blockquote class="twitter-tweet" data-width="500" data-dnt="true">
     <p lang="fr" dir="ltr"><img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f6a8.png" alt="🚨" class="wp-smiley" style="height: 1em; max-height: 1em;"><img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f4fd.png" alt="📽" class="wp-smiley" style="height: 1em; max-height: 1em;"> ALERTE INFO <img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f4fd.png" alt="📽" class="wp-smiley" style="height: 1em; max-height: 1em;"><img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f6a8.png" alt="🚨" class="wp-smiley" style="height: 1em; max-height: 1em;"><br><br>La <a href="https://twitter.com/hashtag/Chine?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#Chine</a> et le <a href="https://twitter.com/hashtag/Bresil?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#Bresil</a> réalisent leur première transaction en monnaie locale hors <a href="https://twitter.com/hashtag/dollar?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#dollar</a>.<br><br>Cette décision s'ajoute à celle d'un grand nombre d'autres pays qui s'éloignent du dollar américain dans le cadre d'un rééquilibrage de l'économie mondiale.… <a href="https://t.co/HzDtiF7sRL" rel="noopener noreferrer nofollow">pic.twitter.com/HzDtiF7sRL</a></p>— BRICS News FR (@BRICSNewsFR) <a href="https://twitter.com/BRICSNewsFR/status/1714364751537389976?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">October 17, 2023</a>
    </blockquote>
    <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
   </div>
  </div>
 </div>
 <figcaption class="wp-element-caption">
  The Threatened Dollar, the Idea of a Common BRICS Currency Gains Ground
 </figcaption>
</figure>
<h2 id="h-the-technical-challenges-of-realizing-the-project">The Technical Challenges of Realizing the Project</h2>
<p>While it is true that a common currency would be an ambitious project for BRICS dominance, the path to its realization could be more complex than it seems. After all, the BRICS are a gathering of economies of different sizes with varying monetary policies.</p>
<p>Furthermore, decisions within the bloc can only be made by consensus. The recent <a href="https://www.cointribune.com/en/brics-vers-ladhesion-dau-moins-40-pays-2/" target="_blank" rel="noopener noreferrer nofollow">expansion of the bloc</a>, which has welcomed five new members, could slow down decision-making on sensitive subjects like a common currency.</p>
<p>Perhaps Vladimir Putin, who currently holds the BRICS presidency, has already developed a plan to address the issue. He stated during the 15th BRICS Summit that the <em>“inevitable shift towards the dedollarization of economic ties within BRICS is accelerating.”</em> So, wait and see!</p>

Why Is a Common Currency for BRICS Inevitable?

Table of Contents

Cointribune EN

Other articles published on Oct 24, 2023

dYdX Chain v1.0 Officially Released

SEC Files Surprise Charge Against BlackRock While Bitcoin Spot ETF Awaited

BlackRock's Bitcoin ETF Move Fuels Market Surge: The Lowdown

Bitcoin and Ethereum turmoil: ETF obstacles and legal hurdles

BlackRock’s Spot Bitcoin ETF Appears On Nasdaq Clearance Site, Bitcoin Soars

BTC Breaks $35K as iShares BTC Trust Gets Listed on DTCC

Join our free newsletter for daily crypto updates!