BRICS COUNTRIES ALREADY TRADE IN THEIR OWN CURRENCIES

Ethiopian experts: BRICS countries already trade in their own currencies

Ahead of the upcoming BRICS summit, two Ethiopian scholars have highlighted the group’s evolving priorities.

In exclusive comments for ENA, a partner of TV BRICS, they underscored the growing momentum for intra-BRICS trade in local currencies, institutional reform, and a stronger political role on the world stage.

Professor of Public Policy at Addis Ababa University, Costantinos Berhutesfa Costantinos, emphasised the diverse and urgent topics on the agenda: “One, of course, is the institutional development of BRICS countries.

The second thing is global health. The third area would be the governance of artificial intelligence.

And then, of course, there are inter-BRICS issues that will be raised. Trade and investment are also included in this.”

With the inclusion of new members such as Iran and Egypt, Professor Costantinos suggested that digital finance and currency sovereignty will be key topics: “They will be looking at cryptocurrencies that can be used for trade between BRICS countries.

BRICS countries are already trading with their own currencies. For example, Russia is selling its oil and gas to China through yuan, and China is also accepting rubles as a medium of exchange. India and Russia have the same kind of relationships.”

In turn, Brook Hailu, Professor of Political Science and International Relations at Addis Ababa University, highlighted that the current BRICS agenda goes beyond traditional economic issues. While the group typically coordinates to promote trade and commerce, he said, "This year it is an exception."

He noted that the group, representing around 3.3 billion people and more than 38 per cent of global GDP, is actively seeking to shape international governance. "As a political force, they are strategising to make their presence felt in all global institutions like the UN, World Bank, and IMF, as well as to be financially strong." Professor Hailu concluded that the creation of a multipolar world is central to BRICS strategy: “There is a feeling as well as a position and a strategy that the BRICS countries – which are not small countries but big giant countries like China, India, Russia, South Africa, and even Ethiopia and Egypt – their footprints shaping the course of political events in the world, is going to be discussed.”

According to the professor, BRICS is now emerging as both a political and economic force.

Photo: iStock

Article By TV BRICS