New ASEAN Country Ditches The US Dollar For Trade

Juhi Mirza
ASEAN flags
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ASEAN nations are now spearheading efforts to bolster the de-dollarization agenda. In this wake, another ASEAN nation has decided to ditch the US dollar for good by embracing the multipolar currency narrative. Vietnam deemed one of the most progressive nations in the world, has decided to join hands with Russia in exploring the local currency supremacy agenda, putting a dent in the US dollar’s global prestige and reputation.

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Vietnam To Explore Trade in Local Currencies With Russia

Vietnam's flag
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The world is now gradually inching towards adopting a more autonomous stance on currencies. The agenda is now taking shape as a multipolar currency world, where nations are spearheading narratives that help bolster their own regional currencies. In this wake, ASEAN nation Vietnam has recently signed several trade proceedings with Russia, one of which outlines its ordeal of conducting trade with the nation in local currency.

Russian President Vladimir Putin recently paid a visit to Vietnam. His official visit was marked with heavy scrutiny, as the Russian president officiated several key developments with Vietnam’s president, To Lam. One of the key proceedings concerning the currency settlement caught the world’s attention, which involves settling trade ordeals in local currencies rather than the greenback.

Russia, being an active part of the BRICS alliance, has always been known as a staunch USD cynic. Russia and China have long been pioneering the de-dollarization agenda by actively posing threats to the USD’s prestige. These nations have already conducted several trade deals in local currencies, hampering the US dollar’s expansion and development.

ASEAN Is Working On Its Own Currency System To Compete With The US Dollar

In the midst of it all, the ASEAN bloc is also working on its own currency system, one that rivals the USD and Euro in currency supremacy. In a new statement released by the CME, the organization has urged Central ASEAN banks to work on an independent currency system that is capable of competing with the USD and Euro.

“Furthermore, such a currency should aim at competing with the USD and the Euro as a reputable reserve of value.”

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The organization was quick to back its idea by adding how the new currency system should support entrepreneurial endeavors and spirits.

“CME also strongly agrees with the primacy of structural reforms, rather than monetary policy, when acting domestically to support the currency by encouraging the awakening of entrepreneurial spirits.”