South Africa has officially shot down rumors of a new BRICS currency aimed at challenging the US dollar. The country’s Department of International Relations and Cooperation (DIRCO) stated clearly that such reports are inaccurate.
No New BRICS Currency, Just National Currencies
DIRCO clarified that BRICS discussions focus on using member nations’ own currencies for trade, not creating a single alternative to the USD. Previous reports suggesting a gold-backed BRICS currency were misinterpreted, according to the statement. South Africa supports increased use of national currencies in international trade to reduce the impact of exchange rate fluctuations, rather than directly aiming to replace the dollar.
Trump’s Warning
Meanwhile, former President Trump issued a strong warning against any BRICS move away from the dollar. He threatened 100% tariffs and exclusion from the US market if BRICS creates or supports a rival currency. Trump’s statement was made on his social media platform.
Varying BRICS Views
While South Africa advocates a cautious approach, other BRICS nations, like Russia and Brazil, have shown stronger support for a common currency. South Africa emphasizes the continued importance of the US dollar in the global economy.
