Two BRICS member countries have opposing views on 'eliminating' the USD, India explains the reason for increasing the use of local currency

Recently, during an official visit to the UK, Indian Foreign Minister S. Jaishankar said at the Chatham House Institute that the assumption that the BRICS group of leading emerging economies has a unified stance against the US dollar is not based on reality.

Brazilian President Luiz Inacio Lula da Silva has said he will not give up on efforts to reduce dependence on the US dollar. (Source: The Sudantimes)

BRICS members – especially after enlargement – have very diverse views on the above issue.

On the Indian side, Foreign Minister S. Jaishankar affirmed: "India personally has absolutely no interest in weakening the USD."

He also clarified that the internationalization of the rupee is not aimed at challenging the US dollar but is part of a strategy to “globalize India.” The use of the local currency is increasing due to the increasing number of Indians living and working abroad.

“In South Asia, rupee transactions are increasing due to the shortage of USD supply. Many countries want more USD, not less,” Mr. S. Jaishankar emphasized.

Contrary to India's view, in late February 2025, Brazilian President Luiz Inacio Lula da Silva said that he would not give up efforts to reduce dependence on the US dollar, despite threats of tariffs from US President Donald Trump.

“Mr. Trump may threaten tariffs, but that cannot deter BRICS’ determination to find alternative payment platforms among member countries,” Mr. Lula said.

The US President said he would impose high tariffs on all imports from BRICS if the group continues with its plan to create a common currency. He even warned that any BRICS country that even mentions destroying the US dollar will face a 150% tariff.

Source: https://baoquocte.vn/hai-nuoc-thanh-vien-brics-co-quan-dem-doi-lap-ve-loai-bo-dong-usd-an-do-ly-giai-nguyen-nhan-tang-dung-noi-te-306701.html