look news india
Mumbai: India has decided to study the proposal to introduce the common currency of BRICS (Brazil, Russia, India, China and South Africa) countries like Euro. Government sources said that some policy makers have been entrusted with the responsibility for this. India and Russia, excluding China, may agree or discuss a common currency system. The step of conducting this study before the next conference of BRICS countries will be very important.
Foreign Minister S. Jaishankar had said last year that a common currency is not possible.
He also gave some reasons for this. The main reason for this is that the economic and political profiles of China and India are completely opposite. Recently, India's relations with China have also been tense.
Although this concern has not gone away, Russia has initiated fresh talks with India on this issue. Sources said that Russia wants to reduce the impact of sanctions imposed by Western countries and that is why it wants a common currency of BRICS.
Sources also said that India has not changed its view but there is no harm in studying.
The government had approached the Reserve Bank for a vote on what kind of arguments could be made and the Reserve Bank is believed to have told the government that a comprehensive study on the common currency should be conducted before the vote.
In view of this fact, the government has decided to entrust this task to some policy makers.
Given China's presence in the World Bank or Asian Development Bank, the government has decided not to include such global agencies in its study. The first proposal for a common currency came in April last year.
Global sources also emphasized that the common currency of the BRICS countries is becoming important in view of the increasing dominance of the dollar in global trade.
