Renowned veteran investor Jim Rogers who co-founded the Quantum Fund with billionaire George Soros has warned that BRICS currencies have the potential to uproot the US dollar. Rogers stressed that BRICS member China is a serious competitor and the Yuan could replace the US dollar. The statement comes at a time when the BRICS alliance is advancing to eliminate the US dollar for global transactions. Read here to know how many sectors in the US will be affected if BRICS stops using the US dollar.
BRICS: George Soros Investment Partner Jim Rogers Predicts US Dollar’s Future
Rogers, the former Soros business partner predicted that the Chinese Yuan is the first contender that could take on the US dollar. “I know that the era of the US dollar is coming to an end. No currency stayed on top forever. No more than 100-150 years, none in history,” he explained.
He stressed that BRICS member China is the only threat to the US dollar and not the other local currencies. “I don’t see another currency at the moment that can compete except the Chinese currency (Yuan).” The veteran investor predicted that the Indian Rupee and the Russian Ruble would never compete with the US dollar.
“It’s the only currency (Yuan) that I can see on the horizon that someday can compete with the US dollar. I hope something else comes along but I don’t see it yet,” he said.
The billionaire also raised concerns about the rising debt in the US. For the uninitiated, the US debt rose by a staggering $1.2 trillion every hour in the last 19 days. Read here to know more details about how the uncontrolled US debt could lead to the demise of the dollar.
If BRICS stops using the USD for trade, the greenback will have fewer means to fund its deficit. The move could push the US dollar on the path of decline making the Chinese Yuan stronger in the international markets.