Dollar’s domination
In Johannesburg, Russian President Vladimir Putin said the days of the US dollar’s dominance in trade among BRICS countries are limited. During the BRICS’ summit, Putin stated that members would deliberate the shift of trade from the dollar to national currencies. He said that the BRICS New Development Bank will assume a pivotal role.
He emphasized, “The process of de-dollarization in our economic ties, which is objective and irreversible, is gaining momentum.”
Heads of the BRICS nations in a group photo. Putin said the dollar’s domination will soon be over.
Comprising Brazil, Russia, India, China, and South Africa, the BRICS members represent over 40% of the global population.
Security measures have been heightened across Johannesburg, the hosting site for the BRICS summit. South African President Cyril Ramaphosa welcomed leaders including China’s President Xi Jinping, Indian Prime Minister Narendra Modi, Brazil’s President Luiz Inacio Lula da Silva, and around 50 other dignitaries.
Leading the KSA’s delegation at the summit, Saudi Foreign Minister Prince Farhan bin Faisal said that the group of prominent emerging economies aspires to establish itself as a counterbalance to the Western-led global order.
Putin, who could not attend in person due to an International Criminal Court arrest warrant, delivered his address to the summit via video. He affirmed that the bloc is advancing toward fulfilling the aspirations of a significant portion of the world’s population.
He remarked, “Our association is based on principles of equality, partnership support, and respect for each other’s interests. This represents the essence of our forward-looking strategic trajectory that aligns with the aspirations of the majority of the global community.”
Even though Putin expressed opposition to the dollar, Brazilian President Lula da Silva conveyed that a unified trading currency within BRICS would primarily facilitate commerce among emerging nations. Lula clarified, “Our intention is not to present an alternative to the G7, G20, or the US. We simply aim to coordinate our efforts.”
Lula also voiced his approval of additional countries joining the alliance, citing Indonesia as a potential new member. Over the course of three days, the summit will feature discussions calling for enhanced economic collaboration in sectors such as health, education, and climate change. However, a growing sentiment within the developing world asserts that Western-led institutions are not adequately serving their interests.
During separate talks in Pretoria, South African President Cyril Ramaphosa engaged with Xi Jinping, seeking Chinese support for Africa’s plea for global governance institution reform, notably within the UN Security Council.
