The targeted launch date for BRICS’ common currency has been revealed. According to a BRICS representative from India, the bloc is working to have the BRICS Currency ready in the next 3-4 years, by 2027.
Director of the BRICS Institute in New Delhi, Binod Singh Ajatshatru, told news outlet Sputnik India about the alliance’s plans to ditch the US dollar for this new currency. “The dollar is still dominant,” he said. “To get rid of [the] dollar, we have to show some strong economic growth. If Russia, India, and China keep growing fast, maybe by 2027 we [will] have a common currency,” he said. Ajatshatru is optimistic that the bloc can successfully ditch the US Dollar in this timetable.
We are one of the fastest-growing markets,” Ajatshatru added. He spoke about India specifically, “We have to buy goods from three different trading partners…If we pay in BRICS Currency, it’s a huge saving for India of maybe $40-$50 billion in one year.
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BRICS Currency Remains Under Development
Over the last year, the BRICS alliance has been working to develop its native currency, but hasn’t set a release date. The idea has gained more steam over the past month as more countries seek to ditch the US dollar in trade. Both Russia and Iran confirmed collaboration on a BRICS currency project in May. Furthermore, China is actively working on a CBDC that will aid in the de-dollarization efforts, which is gaining traction as well. These latest stories make India’s BRICS institute director bullish that the ongoing developments are going well.
Of course, as Ajatshatru mentions, ditching the US Dollar is no easy feat. The greenback has been at the core of trade as a global reserve for decades. However, recent turmoil around the currency and within its host country is stirring global unrest about relying on it.
The BRICS group had referenced the project for much of the last year. Additionally, the creation of the BRICS Pay system has only facilitated greater intrigue in the currency’s release date. While 2027 is a rough estimate by the Indian representative, many expect more information regarding the currency to come at the bloc’s upcoming summit this Fall.
The 16th BRICS summit is scheduled to take place in the Russian region of Kazan. There, the nine-member alliance will discuss expansion, the currency’s status under development, and more.
