look news india
Moscow: BRICS countries are considering making BRICS banknotes to reduce the dominance of dollar in the world. A common currency of BRICS countries may seem unrealistic at the moment, but this discussion has given impetus to the discussion of changes in the global financial system. This effort of the BRICS countries is being seen as an effort to create a more independent economic system, which is less dependent on the Western financial structure.
After the attack on Ukraine, America and Western countries have imposed many types of economic sanctions on Russia. Along with Britain and the European Union, many countries including Australia, Canada and Japan have imposed more than 16,500 sanctions on Russia. Under these sanctions, almost half of Russia’s foreign exchange i.e. $276 billion has been frozen. In addition, the EU has frozen about 70 percent of the assets of Russian banks and locked them out of the SWIFT banking system.
Russia and China have led the BRICS campaign to weaken the US dollar in order to reduce the dominance of the US and the West in global economic transactions. Russian President Vladimir Putin says the BRICS countries are not completely rejecting the US dollar, but are creating an alternative in case access to the dollar is limited. America is using the dollar as a political weapon, hence the world’s trust in it has reduced. BRICS seeks to reduce the risks posed by political efforts to find alternative currencies for trade.