3 Countries Agree To Launch BRICS Currency To Challenge US Dollar

[LaoHongBiscuit]

3 Countries Agree To Launch BRICS Currency To Challenge US Dollar

watcher.guru

A new BRICS currency could soon be a reality as three countries have agreed to launch the tender to challenge the US dollar. The BRICS alliance is looking to replace the US dollar with a new currency creating a new world order. The bloc is advancing towards producing a ‘multipolar world’ where the US and its Western allies will no longer have power and control over other nations

Also Read: BRICS: JP Morgan Predicts Future of the US Dollar Against Chinese Yuan

The group is convincing developing nations in Asia, Africa, and South America to ditch the US dollar and embrace the soon-to-be-changing financial world. Read here to know how many sectors in the US will be affected if BRICS stops using the dollar for trade.

Source: AFP
In the latest update, Russia’s former advisor to President Vladimir Putin and economist-turned-politician, Sergey Glazyev, confirmed that the new currency is in the works and is “almost ready”. He explained that three out of the five original founding countries have agreed to launch the new currency.

Also Read: These 25 Countries Are Ready To Join BRICS in 2024

Glazyev stressed that only India and China are yet to give their nod for the formation of a new currency. The politician said that the alliance will go ahead only after other members agree and come to a consensus.

“To launch this currency, we need the political consent of the BRICS countries. Three of which have already expressed their support for the idea,” Sergey Galzyev stated. The Russian politician added, “We are waiting for the reaction of China and India”.

Also Read: BRICS: Investors Bet Indian Rupee Will Rise, US Dollar To Decline

In conclusion, the only thing that’s stopping BRICS from launching their new currency is political consent from India and China. The rest of the three original founding countries Brazil, Russia, and South Africa have agreed to the BRICS currency. The extended new members are yet to come to a common consensus with the BRICS currency.

 

[LaoHongBiscuit]

5 U.S. Sectors To Be Affected If BRICS Ditches the Dollar For Trade

watcher.guru

The BRICS alliance is looking to suffocate the U.S. dollar by using local currencies to settle cross-border transactions. BRICS members India, China, Russia, the UAE, and Saudi Arabia have already started using local currencies for international trade settlements. China and Russia are advancing in convincing other developing countries to follow suit and cut ties with the U.S. dollar. The move could be devastating to the U.S. economy as America will find it hard to fund its deficit.

Also Read: BRICS: Analyst Predicts Biggest Economic Crash in US History

If the U.S. fails to import the dollar, the currency will circulate back to the homeland and lead to inflation. The move could make prices to skyrocket with housing, rent, and basic daily necessities will turn expensive and unaffordable. In this article, we will highlight the 5 American sectors that could be affected if BRICS ditches the U.S. dollar for trade.

Source: Instagram

A total of 5 U.S. financial sectors could be affected of BRICS stops using the dollar for international trade. The financial sectors that could begin to decline include banking, foreign exchange, tourism, and production. Below is the 5 sectors that will be impacted if the U.S. dollar is not used for settlements among BRICS members.

Also Read: BRICS: $2 Billion Copper Trade To Be Paid In Chinese Yuan, Not US Dollar

1. Banking and Finance
2. Technology and Fintech
3. International Trade and Investment
4. Consumer Goods and Retail
5. Travel and Tourism

First and foremost, the banking and financial sector will be the hardest hit as foreign exchanges will begin to decline. Secondly, BRICS is looking to create their own internet services and not depend on American technology for news and social media. Thirdly, foreign investors will stay away from the U.S. dollar as the debt crisis and deficit will only worsen.

Also Read: BRICS: India Likely Dumped US Dollars To Limit the Rupee’s Loss

In addition, if the U.S. dollar comes back home, the cost of day-today essentials will become further expensive. Finally, tourists will begin to pay local currencies for their travels and leave the U.S. dollar behind. China and Singapore are already making tourists to pay in local currencies in their respective countries and not the U.S. dollar.

In conclusion, BRICS has several schemes up its sleeves that is aimed to hurt the prospects of the U.S. dollar. Moreover, if the Biden-administration does not act quickly to counter BRICS, stopping the dollar’s decline could become much more harder.

 

[Byebye Penis]

Whether they succeed or not, I don't know.

But I know US will put up a strong fight and use the tools at their disposal - US dollar liquidity, interest rates, etc.
https://www.reuters.com/markets/liq...ebt-gopinath-tells-bloomberg-news-2024-01-17/

In the end, the world has a price to pay.

Dow Jones can crash but they can always recover. But when US Dollar loses their reserve currency status, they are destroyed forever.

 

[congo9]

Reserve currency is a so call a weapon of trust.
Would you trust CNY or rather USD ?

 

[KingFook Sr]

There was a time when I received SG$2.92 for every USD.
I feel so old.

 

[KingFook Sr]

Reserve currency is a so call a weapon of trust.
Would you trust CNY or rather USD ?

Neither.
So better to diversify.
Have both.
.
Including property in Foshan, China.
Buy on the dip.

 

[syed putra]

Neither.
So better to diversify.
Have both.
.
Including property in Foshan, China.
Buy on the dip.

Foshan? I thought it's a polluted sewer just ten years ago.

 

[superpower]

https://watcher.guru/news/159-countries-set-to-adopt-brics-new-payment-system

159 Countries Set to Adopt BRICS New Payment System​

Joshua Ramos
August 16, 2024

Amid the alliance’s continued efforts to create a SWIFT alternative, the economic alliance has sought to create its very own BRICS payment system. It will play a major role in the alliance trade dealings. Specifically, allowing unilateral settlement to be done without the need for the US dollar.

The move is poised to be vital for the bloc and participating nations, and it appears there will be a lot of them. According to one Russian official, there are already 159 countries seeking to adopt the system currently. With a potential launch coming in October, it could have massive global market ramifications.

Countries Flock to BRICS Payment System as SWIFT Opposition Emerges​

The past several years have seen the BRICS alliance committed to enhanced de-dollarization efforts. With the impact of Western sanctions on Russia, the move is a clear promotion of local currency and alternative settlement methods. Although many have been skeptical, there is no denying its popularity to this point.

According to Russia’s Central Bank Governor, Elvira Nabiullina, 159 countries are ready to adopt the BRICS payment system when it goes live. Indeed, these foreign participants are looking to explore an expansion to Russia’s System for Transmitting Financial Messages (SPFS) platform.

Nabiullina said the system “is an alternative to SWIFT.” Moreover, she added, “Similar infrastructure exists in some other countries. We are holding discussions on the interaction of such platforms, but here the interest and technical readiness of our partners are important.”

 

[Narong Wongwan]

I’ll believe it when I see it
No good end comes to those who dares challenge the mighty US

 

[eatshitndie]

ccp begins dumping steel and textile among so called brics partners, and they’re imposing tariffs to protect own industries. this stupid brics is never going to work when ccp games it and sexploits it. sexport of atb abalones alone has reached unprecedented numbers.

 

[congo9]

Haha.
They are the only manufacturing for these BRIC partner.

 

[lostvirgin]

What's that shitskin modi doing there?

 

[superpower]

ccp begins dumping steel and textile among so called brics partners, and they’re imposing tariffs to protect own industries. this stupid brics is never going to work when ccp games it and sexploits it. sexport of atb abalones alone has reached unprecedented numbers.

BRICs is establishing a common trading currency (to reduce reliance on the USD), not a common market like EU. Trade and trade tariffs will go on as usual.

 

[eatshitndie]

BRICs is establishing a common trading currency (to reduce reliance on the USD), not a common market like EU. Trade and trade tariffs will go on as usual.

may be can call currency “brick”? as in nobody can do anything with it.

 

[Hypocrite-The]

The issue is these BRICS countries will convert their reserves to USD....which country would really accept trading in RMB or Roubles or Ruppees?

 

[worcer]

If i do business, i will still use USD...

Because i take chinese yuan got no promise... once day it can suddenly worth nothing...

Because in communist countries, all money belongs to the country...

 

[superpower]

If i do business, i will still use USD...

Because i take chinese yuan got no promise... once day it can suddenly worth nothing...

Because in communist countries, all money belongs to the country...

I think China could be headed for a gold-backed currency of some form. Last year the Chinese banks imported more gold than the rest of the world combined.

The USD is just paper fiat, churned out by printing and printing. The day the USD loses its reserve status or the day the US defaults on its massive debt, the dollar will be worth zilch. Like the emperor with no clothes in.

Give me gold over fiat anyway.

 

[congo9]

Hahaha.
How much gold they want to store ?
This is a very realistic question..

It's better for China to be transparent and build upon what is relevant and become a super power.

 

[superpower]

https://internationalbanker.com/banking/whats-behind-chinas-gold-buying-spree/

What’s Behind China’s Gold-Buying Spree?​

August 14, 2024
By Joseph Moss, International Banker

With prices reaching all-time highs in July above $2,450 per ounce, the gold market has been in fine fettle of late. With a price rally that has now broadly persisted for almost two years, the precious metal has been among the best-performing commodities since late 2022. And with China’s gold-buying frenzy, which began in earnest in November 2022, unlikely to be over just yet—albeit having decisively paused in recent months—further gains for gold remain on the horizon this year.

2023 was a particularly colossal year for the People’s Bank of China (PBoC)-led gold splurge that was observed across the world, a year in which China’s central bank bolstered its gold purchases by a hefty 30 percent. According to the World Gold Council (WGC), central banks led by China purchased 1,037 tonnes (t) (metric tons) of gold last year, with the PBoC buying more gold than all other central banks combined. This buying intensity continued well into 2024, with net purchases of 290 tonnes recorded in the first quarter (Q1) of 2024—the fourth strongest quarter of purchases since the buying streak began in 2022—with China again leading the way.

Indeed, the first quarter’s acquisitions were around 36 percent higher than the quarterly pace of around 213 tonnes implied by J.P. Morgan Research’s annual estimates of 850 tonnes for 2024. “The 70-tonne increase in net purchases versus the fourth quarter of 2023 is also despite a 5 percent quarter-on-quarter increase in the average price of gold,” the bank’s research division wrote on July 15, while the WGC also recorded a 29-tonne boost in China’s net gold purchases for the first half of 2024, which raised its total holdings by 1.3 percent.

 

[searcher1]

When most of the Countries ditch USD, what they will do next ?
They will want their Gold back from USA & they predict USA will deny withdrawal