{"id":2010973,"date":"2023-08-24T15:28:02","date_gmt":"2023-08-24T19:28:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/brics-dropping-us-dollar-working-on-new-reserve-currency-brazils-lula\/"},"modified":"2023-08-24T15:32:32","modified_gmt":"2023-08-24T19:32:32","slug":"brics-dropping-us-dollar-working-on-new-reserve-currency-brazils-lula","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/brics-dropping-us-dollar-working-on-new-reserve-currency-brazils-lula\/","title":{"rendered":"BRICS ditching USD, developing fresh reserve currency: Brazil&#8217;s Lula"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbrics-dropping-us-dollar-working-on-new-reserve-currency-brazils-lula%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2010973&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div data-post-content=\"true\" class=\"post_content\" id=\"post_content\">\n<h2>The BRICS Economic Alliance Plans to Abandon the U.S. Dollar<\/h2>\n<p>At the\u200d 15th annual summit in Johannesburg, South Africa, Brazilian President Luiz Inacio Lula da Silva\u2062 announced the \u200cBRICS \u200ceconomic alliance&#8217;s intention to move away from the U.S.\u200c dollar in trade settlements. The \u2063coalition aims \u2062to develop \u200ba new\u200b reserve currency \u200bwhile promoting the\u2062 use of \u200dlocal currencies in bilateral trade.<\/p>\n<p>President \u2063Lula emphasized the need to challenge the\u2063 U.S. dollar&#8217;s hegemony and create \u2064a new reserve currency\u2062 in \u200dthe medium\u200c to long term. In the meantime, the alliance will encourage the utilization of members&#8217; national\u2063 currencies to enhance\u2063 payment conditions and reduce vulnerabilities.<\/p>\n<blockquote>\n<p>&#8220;The\u2064 creation of \u2062a\u200d currency for commercial transactions \u200cand investments between \u200cBRICS members increases \u2064our payment conditions and\u2063 reduces our vulnerabilities,&#8221; Mr. Lula stated before the summit audience, adding that developing\u200c nations should be \u2064hit with <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/janet-yellen-as-congress-for-billions-to-help-other-countries-debt-relief-climate-change-initiatives\/\" title=\"Janet Yellen As Congress For Billions To Help Other Countries\u2019 \u2018Debt Relief,\u2019 \u2018Climate Change\u2019 Initiatives\">higher interest rates<\/a> \u2063than what affluent countries experience.<\/p>\n<\/blockquote>\n<div class=\"shortcode\">\n<div class=\"border-comp-divider mb-4 mr-4 w-full max-w-[500px] border px-5 py-4 text-[16px] leading-[20px] text-[#262626] md:float-left\">\n<div class=\"mb-3 font-sans text-[16px] font-semibold uppercase leading-[19px] text-[#2F2F2F]\">Related Stories<\/div>\n<ul>\n<li>\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-2\">\n              <a href=\"http:\/\/www.theepochtimes.com\/world\/brics-invites-saudi-arabia-5-other-nations-to-join-anti-western-bloc-5479998\">BRICS\u2062 Invites Saudi \u2062Arabia, 5 Other\u200c Nations to Join Anti-Western\u2064 Bloc<\/a>\n            <\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">8\/24\/2023<\/div>\n<\/p><\/div>\n<\/li>\n<li>\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-2\">\n              <a href=\"http:\/\/www.theepochtimes.com\/opinion\/brics-the-dictator-washing-machine-5478326\">BRICS:\u200d The Dictator Washing \u200cMachine<\/a>\n            <\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">8\/23\/2023<\/div>\n<\/p><\/div>\n<\/li>\n<\/ul><\/div>\n<\/p><\/div>\n<p>President Lula \u2063also highlighted the importance\u2064 of \u2062bolstering liquidity, \u200dimproving financing terms, and eliminating\u200d conditionalities \u2064to challenge the policies presented by the International Monetary\u2063 Fund (IMF) and the World Bank. He\u200c emphasized the need to revitalize the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/china-marks-20-years-in-world-trade-organization\/\" title=\"China Marks 20 Years in World Trade Organization\">multilateral trading system<\/a> for fair, \u2063predictable, equitable,\u2064 and non-discriminatory trade.<\/p>\n<p>A working group has been established to examine a reference currency \u2064for \u2062BRICS, confirmed Brazil&#8217;s head of\u2062 state.<\/p>\n<p>The New Development Bank \u2062(NDB) of BRICS plans to \u200daccelerate its de-dollarization efforts\u200b by \u200cadvancing 30 percent of\u200b its loans\u200d in members&#8217; local\u200d currencies, such as the South African rand\u2063 or \u2062the Indian rupee, by 2026.<\/p>\n<blockquote>\n<p>&#8220;The \u200cgood news is \u2062that\u2063 we are \u200dseeing many countries choosing to trade\u2064 using their own currencies. China and Brazil, for instance, are agreeing to exchange\u200c with RMB \u2062(renminbi) \u200dand the Brazilian real,&#8221; Dilma Rousseff, the former Brazilian president and new head\u2062 of the so-called\u200d BRICS\u2064 bank, told CGTN in April. &#8220;At the NDB, we have committed \u200dto it in our strategy. For the period\u2064 from 2022 \u2062to 2026, the NDB has \u200dto \u2063lend 30 percent in local currencies, so 30 percent of \u2064our loan \u200bbook will be \u200cfinanced in the\u2062 currencies of our member countries.&#8221;<\/p>\n<\/blockquote>\n<p>The NDB plans to issue the first rupee and\u200c rand bond later this year.<\/p>\n<h2>BRICS Expansion<\/h2>\n<p>South African President Cyril Ramaphosa announced on \u2062Aug. 24 \u200dthat six countries have \u2063been officially\u2062 invited to\u200b join the BRICS coalition: \u2062Argentina, Egypt, Ethiopia,\u2064 Iran, Saudi Arabia, and the United \u2064Arab Emirates (UAE).<\/p>\n<p>An\u2064 expanded &#8220;BRICS+&#8221; institution will feature other leading emerging markets, aiming to bring about equality on\u2064 the world stage and within the\u2062 reformed\u200c BRICS.<\/p>\n<blockquote>\n<p>\u201cBRICS has been borne of a collective desire of countries of the Global South to make the \u2064world more \u200djust and equitable\u2063 and to break down the\u2064 barriers of division,&#8221; said Namibia President Hage Geingob\u2062 in prepared\u200d remarks. \u2063&#8221;We\u200d don\u2019t want the original BRICS \u2064nations \u2064to be like\u200c the \u200dUN Security Council\u2064 with the &#8216;plus&#8217; without veto rights. Since\u2064 we are\u200b starting a\u200b new organization,\u200d we want \u200cequality where small countries can be part of a reformed BRICS.\u201d<\/p>\n<\/blockquote>\n<p>The <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/stimulus-check-update-applications-for-monthly-1000-direct-payment-close-in-six-days\/\" title=\"Only six days left to apply for the monthly ,000 direct payment stimulus check.\">expansion aims<\/a> to enhance &#8220;development financing&#8221; and reform the multilateral trading system \u2063to create a conducive environment for fair\u200b trade.<\/p>\n<p>\u201cThis was part\u200c of the founding vision of the New Development Bank,\u201d Mr. Ramaphosa said. \u201cThe Bank is playing a leading role \u200din efforts\u200d to increase the resilience of the Global South, and to bring fairness to global trading\u200b and financial systems by strengthening the use of BRICS\u200b currencies.\u201d<\/p>\n<h2>Skepticism<\/h2>\n<p>While \u200bBRICS leaders are confident\u200c that this\u200b move could undermine the Western-led geopolitical\u2064 power structure \u2062and threaten the dollar hegemony, some observers\u2063 remain skeptical about its\u200c short-term \u2063impact.<\/p>\n<p>&#8220;I \u2062think that as <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/brics-dropping-us-dollar-working-on-new-reserve-currency-brazils-lula\/\" title=\"BRICS ditching USD, developing fresh reserve currency: Brazil's Lula\">great power\u200d competition<\/a> has sharpened,&#8221; said Michael Kugelman,\u200b the director of the South Asia Institute, \u2064during\u2063 an\u2063 Aug. 24 Wilson \u200dCenter\u200c event. &#8220;Washington would\u200c have to be watching BRICS with more concern.&#8221;<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The BRICS alliance aims to ditch the US dollar in trade settlements and establish a fresh reserve currency, while encouraging the use of local currencies, according to Brazil&#8217;s president at the bloc&#8217;s 15th annual summit in Johannesburg. President Luiz Inacio Lula da Silva emphasized the long-term goal of creating a new currency.<\/p>\n","protected":false},"author":278,"featured_media":2010974,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[543],"tags":[],"class_list":["post-2010973","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-epoch-times"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2010973","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/278"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2010973"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2010973\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2010974"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2010973"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2010973"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2010973"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}