A senior Russian official has reportedly stated that the BRICS coalition, made up of Brazil, Russia, India, China, and South Africa, should work together to create a new currency that benefits its member countries and dampens the US dollar’s prevailing influence on global trade.
According to the report, Alexander Babakov, the Deputy Chairman of the State Duma (a chamber in the Russian Parliament), made the statement at the St. Petersburg International Economic Forum event in New Delhi, India, on March 30, 2023.
Babakov emphasised the significance of establishing a new payment medium through collaborative efforts between Russia and India. He also suggested that digital payments could be the most practical and encouraging option.
According to Babakov, the currency would benefit China and the other BRICS countries rather than the West. He said that the creation of the currency should be based on the adoption of innovative financial arrangements that do not favour the US dollar or the euro but rather develop a new currency capable of advancing the participating countries’ shared objectives.
Babakov stated:
“Our goal should be focused on writing new rules in the financial sphere in order to enable the use of an already common currency. It doesn’t matter whether it’s a digital ruble, a digital rupee, a digital yuan, or some other currency. But this currency must follow the laws of our respective nations.”
Babakov also criticized US President Joe Biden and the European Union. He asserted that the dollar and euro only serve the interests of Washington and London and do not consider the importance of Russia, India, or China as economic counterparts.
Earlier this week, DeFi Planet reported that the Bank of Russia’s CBDC pilot program would be delayed. The program was initially scheduled to begin on April 1, 2023. According to the report, the program’s supporting legislation has only passed the initial reading in the lower house of the Federal Assembly, and it’s anticipated that the legislation will be enacted by early May.
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