The BRICS alliance is successful in its initial ideology of splitting the global financial order into two distinctive parts: the US dollar and local currencies. The division set by the 10-member bloc is clear and straightforward – In the future, either stand beside us and use local currencies for trade, or continue aiding the US dollar, which is already in debt, and you stand the chance of facing sanctions that can derail your economy.
So what would developing countries do? They would choose a part of the BRICS idea, as it gives them a golden yet once-in-a-lifetime opportunity to successfully step aside from the US dollar. If indeed they are successful, the US dollar will start becoming unsuccessful in the global financial sector. The stage is being laid one step at a time and could flip the script in the coming decades.
What seems impossible now could be possible in the next two to three decades. BRICS has not only started trading in local currencies among themselves, but they’ve also convinced other countries to do so. Surprisingly, other developing nations have adopted local currencies without much effort in convincing them. The angst against the US dollar is written on the wall, but the White House and the West are turning a blind eye.
Also Read: Why BRICS Is Abandoning the US Dollar?
BRICS vs the West: Who Is Winning Over the Global Finances?
Trump’s tariffs and trade wars have rubbed several countries the wrong way, allowing BRICS to advance the de-dollarization agenda. Developing countries from Asia, South America, Eastern Europe, and Africa are already in contact with BRICS to find a solution. The solution from the bloc is simple: use local currencies or continue being subjugated to the US dollar. Chances remain high that they want to side with the 10-member alliance and usher into a new financial era. It is no longer a matter of how, but when.