Brazil Says BRICS To Pause Unified Currency Push

Brazil announces that it decided not to press forward with a common BRICS currency this year, marking a different path during the country’s leadership in the bloc for 2025.

Rather than unveiling a new shared currency, the Brazilian government is focused on strengthening cross-border payment systems and exploring technologies designed to lower transaction costs. These moves may not fulfill the promise of a new unit of exchange, but they could nudge international trade away from near-total reliance on what President Donald Trump has famously described as the “mighty US dollar.”

Among the ideas on the table are blockchain solutions and new ways of linking national payment platforms, guided in part by standards from the Bank for International Settlements. Brazil is already attracting international attention for Pix, its instant payments platform launched in late 2020, though Pix currently has no direct correlation with credit giants such as Visa or Mastercard.

Brazil’s local currency payment system, established through agreements with Argentina, Uruguay, and Paraguay, aims to process transactions in Brazilian reais rather than dollars. Adoption, however, has remained limited, partly because final settlement can take up to three business days. One policy goal is to marry the system’s local-currency features with instant payment tools like Pix.

The initiative comes against the backdrop of strong warnings from and tense relations with Washington. Twice in recent months, Trump took to social media to assert that any attempt to supplant the dollar’s dominance would be met with steep tariffs.

Despite such rhetoric, Brazilian officials insist there is no current effort to remove the dollar from its central role in international reserves, nor is there any intention to provoke the US. According to one official, the focus is on removing the “friction” from global trade rather than challenging American monetary supremacy.

As Brazil assumes the rotating BRICS presidency, these practical solutions overshadow the earlier fanfare about a single currency. President Luiz Inácio Lula da Silva still defends the BRICS nations’ right to explore trade options that do not make them “fully dependent on the dollar,” but he has stepped back from earlier talk of a brand-new medium of exchange.

Government sources say the upcoming BRICS summit in July will emphasize technology, speed, and financial inclusion—issues more likely to gain broad support within the bloc than a major challenge to the world’s reserve currency.

Any reforms in the BRICS group will also need to account for the diversity of its members. Originally formed by Brazil, Russia, India, and China, the bloc later added South Africa, and it has recently welcomed Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates.


Information for this briefing was found via Reuters and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

New Found Gold: The Strategic Maritime Resources Purchase

Amex Exploration: Revised Perron PEA Has INSANE Economics

Aris Mining: The Multi Billion Dollar Soto Norte PFS

Recommended

Canadian Copper Secures $8 Million Lead Order From Ocean Partners As Part Of Larger Funding Round

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Related News

Brazil Makes Trade Gains With Japan as US Market Closes Its Doors with Tariffs

Brazil is making significant progress opening new export markets for its beef industry, with Japan...

Monday, August 11, 2025, 04:36:00 PM

Republican Lawmakers Move To Peg US Dollar To Gold, But Is It Worth The Weight?

In arguably one of the worst economic situations in the US amid rising interest rate...

Thursday, April 6, 2023, 02:15:00 PM

Mexico Says No To BRICS Membership As It Looks To Reinforce Treaty With North America

President Andres Manuel Lopez Obrador affirmed on Tuesday that Mexico has chosen to prioritize the...

Thursday, August 10, 2023, 11:13:26 AM

Standard Chartered Bank Warns of Significant US Dollar Depreciation Over Next Several Years

It appears that the US dollar has been dealt yet another gloomy fate amid the...

Thursday, October 22, 2020, 01:45:00 PM

Russia To Accept Tangerines For Chickpeas To Avoid Western Sanctions

Russia and Pakistan have signed a barter trade agreement to circumvent Western sanctions and overcome...

Wednesday, October 2, 2024, 01:34:00 PM