BRICS new currency

Extracted from an article by Michael Roach in The Interpreter [1]:

“There has been increasing talk of the BRICS nations (Brazil, Russia, India, China and South Africa) developing a new currency that will rival the US dollar as the global reserve standard.

“Growing pressure for a new global currency comes after continued weaponisation of the US dollar in the form of sanctions and trade wars. Many countries are seeking greater independence from the US financial system.

“As the reliance on US dollars diminishes, central banks will begin dumping their dollar reserves. This will result in hyperinflation, a spike in interest rates to compensate for the loss of purchasing power, and falling asset prices, further accelerating US decline.

“The trend of de-dollarisation is occurring, but is not something unique. The rise and fall of empires and reserve currencies are apparent throughout history … There will inevitably be a shift in the world order, and it may well be the BRICS’ time.”

1. Source: https://www.lowyinstitute.org/the-interpreter/de-dollarisation-shiftingpower-between-us-brics