Brazil’s President Lula da Silva broke the ice on de-dollarization and the formation of a BRICS currency. He clarified all details surrounding the speculations about what the 2026 summit would revolve around. The 18th summit is scheduled to be held in India, and the dates are yet to be announced.
BRICS Currency and De-Dollarization: Brazil Clarifies Its Stance on the Development
The President of Brazil confirmed that de-dollarization and BRICS currency formation will not be discussed at the 2026 summit. He revealed that the group is not working towards the launch of a new currency. He also said that the conversations around de-dollarization were “misunderstood” by the majority of people.
“There is no proposal to create the BRICS currency. There is no debate within BRICS about whether to create a new currency,” he said. He also debunked the de-dollarization claims but supported settling trade in local currencies between Brazil and India.
“It is not necessary that a trade agreement between India and Brazil has to be done with US dollars. We can use our own currencies. It is difficult, but we can try,” the Brazilian president said. Brazil’s President said that conversations around local currency usage would take precedence over BRICS currency and de-dollarization.
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Therefore, BRICS currency and de-dollarization are not a topic at the 2026 summit in India, according to the Brazilian President. He stressed that trade in local currencies is not anti-dollar but gives more options for bilateral trade. “The dollar is the world’s strongest currency, and the Americans don’t want other currencies to rise. We have to take that into account,” he said.
The President said that India and China alone can carry the global economy forward. “India and China alone carry half the world’s population. More than half of humanity is participating in BRICS.” This comes when both the BRICS countries are looking to put their local currencies ahead for trade through de-dollarization.