Re: Could there be a new financial system not dependent on USD?
The development could make the dollar weak and make way for a new financial system not dependent on the USD. The success or failure of this development now only depends on the next BRICS summit in South Africa.
The transition to settlements in national currencies is the first step. The next one is to provide the circulation of digital or any other form of a fundamentally new currency in the near future,” said the Deputy Chairman of Russia Duma, Alexander Bobakov
The dominance of the US dollar will not be reduced by the existence of the BRICS, an alliance of countries that are members of the global trade plan are only included in the category of a few countries. Dependence on the US dollar is also very difficult for other countries to cancel cooperation with the United States, on the other hand there are special agreements that are regulated when carrying out cooperation.The transition to settlements in national currencies is the first step. The next one is to provide the circulation of digital or any other form of a fundamentally new currency in the near future,” said the Deputy Chairman of Russia Duma, Alexander Bobakov
Everything can happen beyond the predictions or observations made by experts, but as far as I know the strength of the United States in building cooperation with other countries in the field of global trade is very difficult to break, they really control several important sectors now and decades of their dominance no one has been able to match. The strength of the countries that are members of the BRICS will also determine how far this project can go, while in it we see that only Russia and China have the capability, while the economic strength of countries that have the possibility to join is unclear.
The problem of the "BRICS dollar fighters" is that they do not quite understand why their "union" will not change anything, except for the deterioration of their economies
1. Between themselves, they can even for kakuri shells and multi-colored glass beads. But the dollar has no problems with this. They will sell those goods and services that are not sold for dollars anyway.
2. But since ALL members of this "powerful" union are dependent on the West (from loans to technology and high-tech goods) - they WILL ALWAYS buy it for dollars ... Which, by the way, they will not have, they also abandoned the dollar "unsecured by anything hegemon." Dollars in the BRICS were, are and will be ONLY IN CHINA, and the volume of their consumption on the world market will not fall, it’s just that now dollars will enter the market not from Brazil, India, and other unfortunate participants, but centrally through China.
Do you feel how subtly China "broke the fools"?