- BRICS alliance is preparing to introduce a new trading currency backed by gold, signaling a potential challenge to the supremacy of the US dollar.
- The initiative has garnered significant interest from countries looking to join BRICS and participate in the establishment of an alternative global currency.
Amidst a global push for economic independence and diversification, the BRICS alliance, comprised of Brazil, Russia, India, China, and South Africa, is reportedly poised to introduce a new currency that aims to dethrone the US dollar as the primary international medium of exchange. The proposed trading currency will be backed by gold, reviving a standard that was once integral to the value of the US dollar more than a century ago.
Scheduled to be unveiled in August during the 15th BRICS Summit in South Africa, this new currency is expected to challenge the dominance of the credit-backed US dollar. With an increasing number of countries expressing interest in joining the alliance, the BRICS bloc is steadily gaining momentum.
A viral tweet from Russia’s embassy in Kenya has further fueled anticipation for the introduction of the new trading currency backed by gold. The tweet highlighted that the BRICS countries are actively working towards implementing this groundbreaking initiative and have witnessed a surge in countries seeking to align themselves with the alliance.
Earlier this month, Leslie Maasdorp, the chief financial officer of the BRICS New Development Bank, revealed the alliance’s “medium to long-term” ambitions to create a new global currency that would challenge the US dollar’s supremacy. However, Maasdorp clarified that BRICS is not yet fully prepared to establish a currency that directly competes against the US dollar.
Recent reports indicate that approximately 20 nations are currently exploring the possibility of joining the BRICS alliance, signaling a growing interest in participating in the establishment of an alternative global currency. This surge of interest showcases a desire among nations to reduce their reliance on the US dollar and explore more diversified financial partnerships.
As the BRICS alliance prepares to unveil their gold-backed trading currency, anticipation continues to mount. With the potential to challenge the long-standing hegemony of the US dollar, this initiative represents a significant development in the global economic landscape. The interest shown by an increasing number of countries to join the BRICS alliance is a testament to the growing demand for alternative financial frameworks that can foster greater economic autonomy and stability.