BRICS Nations Plan New Global Reserve Currency

Joint Project with Russia, China, and Others Aims to Reduce Dependence on U.S. Dollar

Economic and Political Challenges Acknowledge

A group of emerging economies known as the BRICS (Brazil, Russia, India, China, and South Africa) is reportedly collaborating on the creation of a new global reserve currency. This move represents a potential challenge to the dominance of the U.S. dollar, which has served as the world's primary reserve currency for decades.

Russia has expressed its eagerness to develop this new currency alongside China and other BRICS nations. However, officials and economists have acknowledged the difficulties involved in such an undertaking, citing economic, political, and geographic disparities among the participating countries.

The BRICS nations have been exploring the concept of a common currency for some time. In January 2023, Alexander Babakov, deputy chairman of Russia's State Duma, indicated that the BRICS countries were working on a common currency mechanism.