The Brics+ alliance is gaining momentum as a potential alternative to Western monetary dominance, particularly by the United States. Originally consisting of Brazil, Russia, India, China, and South Africa, Brics has expanded to include more African nations like Ethiopia and Egypt, along with Iran, Saudi Arabia, and the United Arab Emirates. With the recent addition of new members, Brics+ now represents 37.3 percent of global GDP.
While the primary currency for Brics+ trade is the Chinese renminbi, the alliance is also seeking to establish a new global reserve currency as an alternative to the US dollar. This move could potentially lead to greater political influence for the group and developing nations in global organizations such as the United Nations and the World Trade Organization.
As the US dollar faces inflation risks and Brics+ members like Russia seek to reduce their dependence on it, the possibility of an alternative currency backed by gold reserves is gaining traction. This shift could have significant implications for international trade and finance, potentially reshaping the global economic landscape.
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