Ramaswamy: BRICS Common Currency Poses Threat to US

• US Presidential Candidate Voices Concerns Over Potential BRICS Common Currency
• Response to Press Inquiry
• Addressing the BRICS Common Currency Challenge
• BRICS Common Currency in Global Trade

US Presidential Candidate Voices Concerns Over Potential BRICS Common Currency

Vivek Ramaswamy, a candidate for the US presidential elections, has voiced his concerns regarding the potentialities of a BRICS common currency. In his view, this development could pose a significant challenge to the US government.

Response to Press Inquiry

In a press conference, Ramaswamy highlighted the potential threat that the BRICS alliance and its objective of de-dollarization poses to the United States. He emphasized that this issue merits more discussion and consideration. This is a major problem for the United States, he stated in response to a question about the BRICS nations developing a new reserve currency. He further noted that such a development could permanently elevate the United States' borrowing costs if the dollar were no longer the world's dominant reserve currency.

Ramaswamy also pointed out that the US, already grappling with trillions in debt, might find it more challenging to engage in a potential global contest with the BRICS common currency. He suggested that this is not an optimal time for the country to increase its native borrowing costs.

Addressing the BRICS Common Currency Challenge

Ramaswamy proposed a solution to tackle the potential threat of a BRICS common currency. The right way to deal with it is not to try to swat that down, but increase the value proposition of the dollar itself by pegging the dollar to hard commodities, he stated. He further suggested that maintaining dollar stability should be the single mandate for the Federal Reserve, the US central bank.

BRICS Common Currency in Global Trade

For decades, the US dollar has been the leading global reserve currency, employed in trade by most countries. Nevertheless, the growing interest in BRICS currency, along with increasing distrust in the US dollar, is fueling the development of a BRICS global common currency. The expansion of the BRICS bloc is expected in 2024, and with the anticipated updates on BRICS currency and payment services, Ramaswamy feels that the US needs to tackle this potential threat before it amplifies any further.

Edited by Jonathan Stoker