The chairman of the State Duma Committee on the Financial Market, Anatoly Aksakov, has announced that an agreement on the BRICS currency could potentially be reached in 2023, as the BRICS nations (Brazil, Russia, India, China, and South Africa) continue their de-dollarization efforts to reduce their reliance on the U.S. dollar. Aksakov argues that the U.S.’s politicization of its economy and currency is actively undermining the foundations of the dollar’s dominance.
While Aksakov sees the dollar’s share in international trade declining, skeptics argue that the establishment of a collective currency among the BRICS countries will not happen so easily, especially since negotiations are still at an early stage. Moreover, the creation of a common currency could face multiple challenges and legal hurdles, which could potentially hinder the de-dollarization process.
Despite these challenges, the BRICS nations are actively working on establishing their currency, with the issue expected to be discussed at the next leaders’ summit in August. Furthermore, their global influence is continually expanding, as Russia is currently discussing BRICS expansion with the present members, and 19 nations have already applied, or expressed interest in joining the economic bloc.
While proponents champion the idea of BRICS nations creating a currency that would undermine the U.S. dollar’s influence, opponents argue that the endeavor could be fraught with complications and obstacles that may not make it viable in the long run. The main conflict arising from this debate revolves around whether the creation of a BRICS currency will effectively result in the decline of the dollar’s dominance or face too many challenges to ever become a reality.
In conclusion, the news of a potential BRICS currency agreement by 2023 has generated much debate among crypto enthusiasts and financial experts alike, with opinions divided on whether this endeavor will help decrease the U.S. dollar’s dominance, or if the challenges are simply too great to overcome. The outcome of these negotiations remains to be seen, but the push for de-dollarization is undoubtedly gaining momentum among the BRICS nations.