BRICS: Challenging America's Dominance? De-Dollarization and the Future of Global Power
Across the developing world, many countries are fed up with America’s dominance of the global financial system, especially the power of the dollar. The BRICS nations – Brazil, Russia, India, China, and South Africa (and increasingly, others) – are actively exploring avenues to reshape the global economic landscape. Is this the beginning of the end for US economic supremacy?
BRICS Push for De-Dollarization and a Shared Currency
A key focus of BRICS is the pursuit of de-dollarization. They will air BRICS nations push for de-dollarization and explore a shared currency, but experts say replacing the US dollar will be a long road. The motivation is clear: to reduce dependence on the US dollar and create more financial autonomy for member states. A BRICS-backed currency could offer an alternative for international trade and investment, lessening reliance on the existing dollar-centric system.
Russia's Role: Building an Alternative Financial Platform
Russia is seeking to convince BRICS countries to build an alternative platform for international payments that would be immune to Western sanctions when it hosts. This highlights the desire for a system outside the control of Western powers, providing a safeguard against political pressure and economic coercion.
BRICS: More Than Just an Economic Partnership
What started as a loose economic partnership has evolved into a strategic alliance bent on dismantling U.S. economic dominance. But before turning to BRICS, it is important to understand the context of global power dynamics.
The Oil Trade and the Erosion of the Dollar's Status
The newly-expanded non-Western bloc known as the BRICS is using the global oil trade to erode the US dollar's status as the dominant international currency. By facilitating trade in local currencies, bypassing the dollar, they are slowly chipping away at its global influence. This shift could have profound implications for the US economy and its standing in the world.
Challenges and the Long Road Ahead
While the ambitions of BRICS are significant, challenges remain. Creating a viable alternative to the dollar requires building trust, establishing robust financial infrastructure, and navigating complex geopolitical considerations. Replacing the US dollar will be a long road, but the journey has begun, and its potential consequences are far-reaching.
(Last updated: 23 de sept. de 2025)