Russia aims to challenge the U.S. dollar’s global dominance as the primary currency by proposing that countries in the BRICS alliance consider creating their own trade currency.

Alexander Babakov, the State Duma Deputy Chairman, revealed this plan at the St. Petersburg International Economic Forum in India, which lasted for two days, Coingeek reported.

During the conference, Babakov urged India and Russia to collaborate in building a financial partnership that would eventually lead to the creation of a new shared currency.

During the conference, Babakov emphasized that the U.S. dollar does not serve the common interests of Russia and India.

He argued that relying on the dollar gives the U.S. an unfair advantage and that a new currency backed by gold or other rare-earth elements would be a more equitable solution.

This proposal for a new currency outside of the dollar seems to be motivated by the economic sanctions imposed on Russia by Western powers after its invasion of Ukraine in February 2022.

Written by staff