India Explores Potential of New BRICS Currency as Alternative to US Dollar

India, a member of the BRICS alliance, is delving into the prospects and utilization of a new currency within the BRICS framework as an alternative to the US dollar. Reports indicate that India has commissioned a team of financial analysts to investigate the feasibility of introducing a new currency for BRICS nations.

The directive signals a significant step as leading financial experts and think tanks are tasked with debating the formation of this potential currency, which could serve as a viable alternative to the US dollar. A senior government official from India, speaking on the condition of anonymity, revealed that discussions on the BRICS currency could feature prominently at the upcoming 16th BRICS summit scheduled for October 2024 in the Kazan region of Russia.

The official emphasized that India’s interest in studying the prospects of a new BRICS currency does not signify a shift in policy but rather reflects a prudent approach to exploring alternatives. “We have not changed our position at all, but there is no harm in a study,” the source conveyed to Business Standard.

If the study yields positive results, India could emerge as a trailblazer in showcasing the potential benefits and drawbacks of a new currency vis-à-vis the US dollar. The move aligns with India’s broader strategic objectives within the BRICS framework and underscores the alliance’s efforts to diversify away from traditional currency dependencies.

The initiative also reflects the growing momentum among BRICS nations to assert greater financial autonomy and reduce reliance on the US dollar-dominated global financial system. By exploring the feasibility of a new currency, BRICS countries aim to bolster economic resilience and foster greater cooperation in trade and financial matters.

While the discussions are in their early stages, the exploration of a new BRICS currency signals a potentially transformative shift in the global economic landscape. As BRICS member states continue to deliberate on the matter, the outcome of the study could have far-reaching implications for the international monetary system and the balance of economic power. Read Similar Story