BRICS aims to launch a new gold-backed currency as a counterweight to the US dollar. A common currency will usher the union into a new financial era and become the foundation for further development. The upcoming summit in 2024 will shed more light on policies aimed at toppling the US dollar.
Reports suggest BRICS may back their new currency with gold rather than US dollars or other local currencies. The alliance aimed to return to the gold standard and maintain a multipolar world for all trade and commerce. The World Gold Council reports that BRICS is the biggest buyer of gold since 2022 and is accumulating tons of the precious metal in its reserves.
BRICS: Could a new gold-backed currency be announced at the 2024 Summit?
Economist Thorsten Polleit said , the formation of a new gold-backed BRICS currency would take the financial world by storm. “A new international trading unit, backed by gold, sounds like a good currency – and first of all, it could be a major challenger to the hegemony of the US dollar,” he said. ” .
The gold-backed BRICS currency could be a game changer in the financial world and could be detrimental to the US dollar. Developing countries may start to move away from the US dollar and embrace the new currency for cross-border transactions.
This development will only strengthen the BRICS and other emerging economies leaving the US dollar in the dust.
Returning to the question of the BRICS gold-backed currency, the upcoming summit in October will provide all the details. In addition, the 16th summit in Russia’s Kazan region holds the key to the answer to the million-dollar question.
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