Russia calls on BRICS to diminish reliance on US dollar

(MENAFN) In a significant development, Russian Finance Minister Anton Siluanov has emphasized the critical importance of fostering sustainable financial relations and settlements within the BRICS organization. The statement was delivered during the Russia-China Financial Dialogue forum held in Beijing, where Siluanov engaged in discussions with his Chinese counterpart, Lan Foan.

The BRICS consortium, comprising Brazil, Russia, India, China, and South Africa, is actively exploring avenues to enhance payments in local currencies among member nations. The primary objective is to diminish reliance on the United States dollar and the euro, promoting accelerated economic growth within the bloc.

Siluanov highlighted the need to deepen financial cooperation within BRICS, emphasizing the exploration of a payments system independent of existing infrastructure, which may not consistently align with the individual goals of member countries. "Therefore, the sustainable development of financial relations and settlements on the BRICS platform is important for us, and we believe that it is necessary to work out such issues, and today we will consider a number of them," he asserted.

The BRICS nations have been contemplating measures to reduce their dependence on traditional global currencies, particularly in response to geopolitical challenges. Siluanov revealed that discussions within the consortium are centered on developing a robust payments system that aligns with the unique needs of BRICS member states, facilitating seamless financial transactions.

The impetus for such a shift arises from Russia's experience, along with its trade partners in developing nations, including fellow BRICS members, who have increasingly turned to alternative currencies in mutual trade. This strategic pivot comes in the wake of sanctions that effectively isolated Moscow from the Western financial system. The trend reflects a broader global movement, with an increasing number of nations opting for national currency settlements in trade, thereby challenging the dominance of the United States dollar in international transactions.

As BRICS nations deliberate on these transformative financial measures, the implications of a reduced reliance on traditional currencies are poised to reshape the dynamics of global trade and finance. Russia's call for a concerted effort within the consortium underscores the growing momentum toward a more diversified and resilient financial landscape that aligns with the evolving priorities of emerging economies.

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