20 Countries Ready To Join BRICS & Accept the New Currency

Vinod Dsouza
Source: (Photo Illustration by Rafael Henrique / SOPA Images / LightRocket via Getty Images

The BRICS alliance is receiving interest from developing countries who aim to join the bloc and accept the new currency. A total of 20 countries are now looking to join BRICS to dethrone the U.S. dollar’s global reserve status. The expansion of BRICS to BRICS+ will be decided in the next summit in Cape Town, South Africa in August. If more countries join BRICS and accept the new currency, the U.S. dollar will have fewer paths to fund its deficit.

Also Read: After BRICS, 10 ASEAN Countries Ditch The U.S. Dollar

Therefore, BRICS+ is dangerous to the U.S. dollar, as the yet-to-be-released currency could send it on a path of decline. The development might wreak havoc on the American economy and hamper a handful of financial sectors. Read here to know which industries will be impacted if more countries join BRICS and trade with the new currency.

“Thirteen countries have formally asked to join and another six have asked informally. We are getting applications to join every day,” said South African BRICS ambassador Anil Sooklal to Bloomberg. In addition, the 20th country that seeks to join BRICS and trade with the soon-to-be-released currency in Iraq.

Also Read: 13 Countries Submit Applications To Join BRICS Alliance

Iraq recently banned the usage of the U.S. dollar nationwide in the foreign exchange markets. Iraq aims to control the black market exchange rate, that has been plaguing the country for long enough. The move reduces dependency on the U.S. dollar and bolsters its native currency the Iraqi Dinar.

BRICS Currency Challenges the U.S. Dollar

BRICS Nations Leading International Interest in Bitcoin
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Even before its formation, the BRICS currency is challenging the hegemony of the U.S. dollar. After release, the currency could create ripples in the global financial sector and take on the West by dominating international trade. This could put the U.S. dollar on the backseat giving more power to developing Eastern nations.

Also Read: BRICS: 10 Asian Countries Agree to Ditch The U.S. Dollar

BRICS is an alliance of Brazil, Russia, India, China, and South Africa. If many other countries are allowed to join the bloc, it could soon become BRICS+.