Watch: Is the dominance of the US dollar as the world’s reserve currency being eroded?
In June at the 14th BRICS summit, the international grouping that brings together Brazil, Russia, India, China and South Africa, Russian president Vladimir Putin announced the association’s intention to develop a new international reserve currency.
The move is likely intended to target the US dollar’s status as the world’s premier currency, a state of affairs that has persisted for almost 80 years.
Russian leaders have made no secret of their suspicion of this status quo with foreign minister Sergei Lavrov suggesting recently that the dollar’s days of being top dog are numbered.
“The reliance on the dollar as the instrument supporting the world economy is not very promising, frankly speaking,” he said during a recent trip to Ethiopia.
“It is not by incident that more and more countries are shifting to using alternative currencies, shifting to use national currencies more and more, and this process will be gaining…