BRICS countries are looking to expand their global influence by enhancing coordination on key multilateral platforms, according to Russia’s Minister of Foreign Affairs, Sergey Lavrov. Lavrov made the statement during a meeting with ambassadors from Brazil, Russia, India, China, and South Africa. He stressed the need for joint efforts to counter destructive actions aimed at destroying the established security architecture. During the meeting, the ambassadors discussed the development and strengthening of strategic partnerships within the BRICS framework, with a focus on increasing the international role of BRICS. Lavrov updated the ambassadors on Russia’s new Foreign Policy Concept, which highlights the desire for expanded interaction within the BRICS and a vision of a multipolar world order.
The ambassadors reaffirmed their commitment to a multipolar world order based on respect for international law and the sovereign right to choose one’s own path of development. The Russian Foreign Ministry’s statement adds that a wide range of countries has expressed interest in cooperation with BRICS, which is now seen as the safeguard of true multilateralism. The BRICS nations are reportedly working on creating a new form of currency, and this topic is expected to be discussed at the next leaders’ summit. State Duma Deputy Chairman Alexander Babakov said that the transition to settlements in national currencies is the first step, and the next one is to provide the circulation of digital or any other form of a fundamentally new currency in the nearest future. Several other countries have expressed interest in joining the economic bloc, including Argentina, Iran, Indonesia, Turkey, Saudi Arabia, and Egypt.
The next BRICS summit will be hosted by South Africa in August. Many people believe that the introduction of a BRICS currency could jeopardize the USD’s status as the world’s reserve currency. Economist Jim Rickards said last week that the U.S. dollar’s greatest enemy as the world’s reserve currency is the Treasury, which has weaponized the dollar and frozen the reserves of Russia’s central bank. Citing a similar reason, investment manager Larry Lepard predicted that the U.S. dollar could lose most of its value in five years.
It is worth noting that the BRICS countries have already taken steps to reduce their dependence on the USD. For example, in 2018, China launched a yuan-denominated oil futures contract, which is seen as a challenge to the dollar’s dominance in the oil market. Russia has also been reducing its holdings of U.S. Treasury bonds and increasing its gold reserves.
In conclusion, the BRICS countries are seeking to expand their global influence and reduce their dependence on the USD. They are working on creating a new form of currency and enhancing coordination on key multilateral platforms. The next BRICS summit will be hosted by South Africa in August, and it is expected to discuss these issues in more detail.