Posts

Showing posts with the label tariff

BRICS Countries Are Rejecting De-Dollarization

Image
The BRICS alliance was hellbent on kick-starting the de-dollarization agenda until the 16th summit in Russia’s Kazan region. Things have now taken a U-turn as the bloc members are slowly backtracking on the initiative. The US dollar was seen as the main villain of the global economy where local currencies were kept at its mercy. Also Read: BRICS: 28% of Trade Settled in Cryptocurrencies: Deutsche Bank The agenda to break free from the clutches of the US dollar ignited the de-dollarization process started by the BRICS bloc. After Trump reclaimed the White House, talks about using the US dollar for trade are growing among member nations. Trump vowed to introduce a 100% tariff on all goods coming into the US for countries that denounce the USD. If the tariff comes into effect, the financial discrepancies could hit the BRICS alliance harder than thought. Their import and export sector will take the first hit leading to losses by paying up extra in taxes. This could make BRICS rethink their