I think we will see more trade happening in local currency in most of these countries.
Most of them have already started trading in local currencies with their neighbors, but the Yuan will definitely play an important role, especially with the BRICS Bank (BRICS version of the IMF).
trading in local currencies, means trading local goods.. let's see where this gets us on a global scale...
trading in local currencies, means trading local goods.. let's see where this gets us on a global scale...
So, most of the countries used to purchase oil in dollars. However, now that oil-producing countries are part of BRICS, they might begin buying oil using their local currencies or even the yuan.
Together, these countries represent 32.1% of the world's GDP, while the G7 accounts for 29.9%.
For context: This concept of the 'petrodollar' used to be a cornerstone of the dollar's strength.
Winds of change!
