BRICS refines the alternative payment system to the euro and the dollar

Published at: 19/09/2024 10:46 PM

At a press conference in Moscow, the Russian Foreign Minister, Sergei Lavrov, confirmed that the BRICS are in the process of creating an alternative payment system to the dollar and the euro, the Venezuela Vision website reported.

“Many countries are attracted to the payment platform developed in the BRICS and which should allow them to trade, invest and carry out other economic operations without depending on those who have decided to militarize the dollar and the euro,” he said.

This statement comes as economic sanctions imposed by the United States and the European Union (EU) push nations to seek alternatives to Western currencies.

Lavrov specified that this payment system will not only be used for commercial transactions, but also to facilitate investments and other financial operations.

With this initiative, the de-dollarization of emerging economies was launched. Faced with the growing threat of economic sanctions, the BRICS are trying to provide a secure framework for countries that want to escape the influence of dominant currencies.

The project also seeks to consolidate economic cooperation in the BRICS, to reduce the dependence of its members on Western financial structures.

The BRICS announcement goes beyond a simple rejection of the dollar and the euro. In fact, Lavrov highlighted that this alternative financial platform is a direct response to the increasing use of sanctions as a geopolitical tool by the United States and Europe.

“Nobody wants to be in a situation where they can be sanctioned by the United States or other Western powers,” he said.

Consequently, many emerging economies see this platform as an opportunity to strengthen their economic sovereignty and avoid the risks associated with Western currencies.

This system, once launched, could transform international financial transactions and facilitate exchanges between BRICS countries and their partners without resorting to traditional currencies.

The geopolitical implications of this decision are considerable. If the BRICS payment system gains popularity, this could redefine the way in which global financial transactions are carried out. Such a situation could weaken the dollar's dominance in international exchanges.

The BRICS initiative to develop an alternative to payment systems dominated by the dollar and the euro could strengthen the way in which international transactions are carried out. If this new system effectively attracts emerging economies, it could accelerate the ongoing de-dollarization and weaken the dollar's dominant position on the world stage.

Mazo News Team