Sergey Stepashin, Russia’s former prime minister, has voiced skepticism about the creation of a common currency for the BRICS nations, arguing that it is premature to discuss such a move. According to a report by Tass, Stepashin emphasized that it would be more practical for BRICS members to focus on increasing payments in their national currencies as a more immediate and feasible goal.
Stepashin highlighted the significant challenges that would arise from attempting to establish a shared currency among BRICS nations, particularly between large economies such as India and China. “It is difficult to imagine that India and China could have a common currency. These are too large countries, large economies,” Stepashin said.
He suggested that the first step toward deeper financial cooperation should be the increased use of national currencies for transactions within the bloc. “It is necessary to ensure the smooth operation of the Eurasian Bank and the BRICS Bank and to execute transactions there,” he added.
Stepashin’s caution comes at a time when some BRICS members, notably Iran, have been advocating for the creation of a single BRICS currency. A recent report indicated that Iran has backed Russia’s efforts to develop a common currency for the economic bloc. Meanwhile, China and Russia have been promoting the use of local currencies within BRICS, with recent discussions between Chinese Premier Li Qiang and Russian Prime Minister Mikhail Mishustin focusing on enhancing cooperation in finance and currency.
The BRICS economic bloc currently includes Brazil, Russia, India, China, South Africa, Iran, Egypt, Ethiopia, and the United Arab Emirates (UAE). While some members are pushing for more ambitious monetary integration, Stepashin’s comments suggest a more cautious approach may be necessary, prioritizing the stabilization and enhancement of financial cooperation using national currencies before any serious consideration of a unified currency.
Conclusion:
As the debate over a potential BRICS common currency continues, Stepashin’s remarks underscore the complexities involved in such a move, particularly in light of the diverse economic landscapes of the member countries.
Credit: https: News.bitcoin
