The group BRICS (Brazil, Russia, India, China and South Africa) could be the platform for a new supranational currency, by analogy with the eurosaid Sergei Glaziev, Minister of Integration and Macroeconomics at the Eurasian Economic Commission.
“Is it an open system that any country could join and in which a mechanism for the use of this currency in international payments would be legally endorsed? It is a very promising idea,” Gláziev told the Sputnik agency in the halls of the St. Petersburg International Economic Forum (SPIEF).
The high official of the Eurasian Economic Commission recalled the so-called transferable ruble that the Soviet Union and its allies in the socialist camp used from 1964 to 1991 within the framework of the Council for Mutual Economic Assistance (CAME).
As regards the BRICS, according to him, it would be “a digital international currency that would be based on a basket of national currencies.” Gláziev suggested forming a group of experts that begins to shape such a mechanism.
“It could be created on the basis of the New Development Bank that has a pool of monetary reserves (…) Russia could organize next year, as president of the BRICS, an international conference on the creation of that currency,” he supposed Glaziev.
The 26th edition of the St. Petersburg International Economic Forum was held from June 14 to 17. The RIA Novosti news agency acted this year as news partner and host photo agency for SPIEF 2023.
The entry of Argentina to the BRICS
The possibility of Argentina entering the Brics as a full member, the group of nations and emerging powers that make up Brazil, Russia, India, China and South Africa, opens up for the country a powerful perspective of financing for its economic development, at the same time that will impact its geopolitical positioning.
The eventual incorporation into the block will mean for Argentina -which, like other emerging economies, has a strong dependence on the dollar- a way out of the difficulties that the external restriction represents for the macroeconomic health of the country and the maintenance of its economic growth, as well as a interesting source of financing for large infrastructure projects, according to the perspective of Casa Rosada.
Minister Sergio Massa collected two supports from the member countries so that Argentina’s entry is accepted.
The Brics aim to play a central role in promoting a new international financial architecture with the creation of the New Brics Development Bank (BND), together with the Continence Reserves Agreement (ARC) as instruments for global macroeconomic stability oriented productivity and promote a new multipolar world order.
Under this premise, the BND seeks to shore up the infrastructure deficits of emerging countries with the financing of infrastructure and sustainable development projects, for which it already has a projected program for 2022-2026, which includes financial assistance for member countries. for 30 billion dollars.
Last week Argentina took another step in its strategy of alliance with the Brics, with China’s firm decision to promote the integration of the country into this group of strong geopolitical and economic weight that unites the two largest powers after the United States. States (China and Russia) with emerging countries in Asia, Africa and Latin America.
Meanwhile, the New Brics Development Bank, led by the former president of Brazil Dilma Rousseffconfirmed that the entity’s board of directors will formally discuss the entry of Argentina at its next meeting in August to that institution.
Source: Ambito
