Creating an alternative to the US dollar is the only way to prevent the world from the Washington-led militarization, Prof. Michael Hudson, US economist and former Wall Street analyst told Sputnik s New Rules podcast.
The dollar’s world reserve currency status has taken a series of hits amid the escalation of the Ukrainian crisis into a full-blown NATO-Russia proxy war.
BRICS leaders preparing to hold a major summit in South Africa in August, with a creation of a common bloc currency expected to be one of the main topics on the agenda. What will the new currency look like?
BRICS nations are leading the Greenback backlash against the global hegemony of the US dollar. A potential new shared currency between them, they say, could shield other member countries from the impact of sanctions such as the ones imposed against Russia by the United States and European countries.
The foreign ministers of Brazil, Russia, India, China and South Africa met in Cape Town earlier this week. The shared currency for international trade among the bloc's nations was an issue that topped their agenda.
The more the United States insists on using the dollar’s dominant status in the global monetary system to punish countries Washington does not like through sanctions, the more a number of countries mull creating a new currency that may challenge the dollar’s status.