(April 28-2023) Former President of Islamabad Chamber of Commerce and Industry (ICCI) Dr. Shahid Rasheed Butt on Friday said revolt against the US dollar, global reserve currency, is gaining momentum.
BRICS, a group of five of the leading economies including Brazil, Russia, India, China, and South Africa are looking to establish their own currency in order to decrease the influence of the US in the global trade market, he added.
Shahid Rasheed Butt said in a statement issued here today that many other countries are already in line to join the organization in a bid to reap benefits which will erode US Dollar’s dominance.
Import of Russian oil by Pakistan could be a sign of interest of Islamabad in becoming part of the group, he added.
The business leader said that apart from BRICS, dozens of countries want to escape dollar hegemony, which is considered an impediment in their development.
Trade in non-dollar currencies is considered a good option by many countries, Saudi Arabia is selling oil to China in yuan and now the main currency of trade between China and Russia is also yuan, he continued.
He said that apart from BRICS, central banks of many countries are also leading a revolt against the US dollar and shifting to gold at a record pace.
Many central banks are turning away from the US dollar and shifting to gold, and these banks account for a record 33 percent of monthly global demand for gold.
Many countries are serious about seeking alternatives, which has pushed up prices of gold in the international market by 20 percent in six months.
The oldest and most traditional of assets, gold, is now a vehicle of central bank revolt against the dollar, he said, adding that the dollar and gold have been seen as havens in the past, but now gold is seen as much safer.
As much as 30 percent of nations facing sanctions from the US, European Union, Japan and UK, up from 10 percent in the 1990s.
US allies like Thailand and the Philippines are beginning to seek alternative currencies because they are also tired of the dollar’s weaponization.
