Strategic Setback: BRICS Abandon Common Currency Plans

user avatar

by Giorgi Kostiuk

2 years ago

The BRICS nations have halted their project for a common currency, maintaining the dollar as the primary trade currency.

Reasons for Abandoning the Common Currency

The Kremlin announced that the BRICS initiative for a unified currency is no longer feasible, which came as a surprise. This decision is attributed to both internal economic realities of the bloc and external political changes involving Donald Trump's return to the White House.

not possibleDmitri Peskov

Return to the Dollar and Its Implications

Following the shelving of unified currency plans, BRICS representatives confirmed the continued use of the dollar in international trade. Vladimir Putin mentioned there are no plans to forgo the Greenback, indicating a strategic move possibly towards appeasing relations with the US.

Impact on Strategy and the Future of the Bloc

The decision to move away from the unified currency project could cause tensions within BRICS members. Brazil, for example, has hinted at pursuing its own currency diversification independently. The abandonment of dedollarization may undermine the bloc's credibility in future initiatives, though it allows flexibility in tailoring monetary policies to national priorities.

BRICS face strategic crossroads in seeking new initiatives to unite the bloc without a common currency and maintain its influence on the global stage.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

US Household Inflation Expectations Increase Ahead of Federal Reserve Meeting

In October 2023, American households raised their inflation expectations to 4.7% for the next year and 3.5% for the long run, according to a survey by the University of Michigan.

user avatarFilippo Romano

XRP Ledger Maintenance Amendment Regains Validator Majority

The XRP Ledger's fixCleanup340 amendment has regained majority support from validators, moving its activation window to November 4.

user avatarEmily Carter

W Group Invests in SwapGlobal for Institutional Pre-IPO Derivatives

W Group has announced its investment in SwapGlobal, which is preparing to offer institutional pre-IPO derivatives.

user avatarTomas Novak

Aave Labs Clarifies V38 Security Upgrade Details

Aave Labs has clarified its proposed V38 security upgrade, focusing on the exclusion of flashloan entry points from the new reentrancy guard, ensuring functionality during liquidations.

user avatarKaterina Papadopoulou

Aave Launches Externally Curated V4 Markets on Ethereum

Aave has launched its first externally curated V4 markets on Ethereum, managed by Sentora, which oversees active borrowing markets for RLUSD, PYUSD, and OUSD.

user avatarMaya Lundqvist

New Features Introduced in Stellar's Bell Upgrade

The Bell upgrade introduces new features including support for contract addresses and millisecond ledger timestamps, enhancing the Stellar network's capabilities.

user avatarLeo van der Veen

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.