Reuters: BRICS to discuss new international exchange rate plan
Russia will present its proposal for a new international monetary system to the other member states of the BRICS economic community at the group's summit that will be held next week in the country. That is according to a report by the Reuters news agency quoting a document distributed by Moscow to journalists before the meeting.
Reuters has explained that the financial system is believed to be immune to Western sanctions and could end the monopoly of the US dollar in international exchanges and financial transactions.
According to the report, the system will allow and facilitate the exchange of money easily and safely without the ubiquitous need for dollar transactions. In addition, it will depend on the network of commercial banks connected through the main banks of the BRICS member countries.
The proposal is also said to involve the creation of a platform called 'Open BRICS' to settle bond trading. According to Reuters, the Russian proposal also accuses existing international financial institutions, including the International Monetary Fund, of serving the interests of the United States and its allies.
Moscow has not commented on the Reuters report and has not made public any of the documents cited in it. However, last week, Russian Finance Minister Anton Siluanov presented a proposal for the reform of the international financial system to other finance ministers and heads of central banks of BRICS member countries.
President Vladimir Putin of Russia has said that the BRICS group will generate a large part of the world's economic growth in the coming years due to its size and relatively rapid growth. He was speaking at the community's business conference on Friday which has been called ahead of the BRICS summit to be held in the city of Kazan in Russia from October 22 to 24. President Putin has said that the GDP of the BRICS countries exceeded 60 trillion dollars last year, which is equal to 37.4 percent of the world's GDP and is more than 29.3 percent of the G7 countries.
His message has been well received by the participants of the forum who see that there are many business opportunities within BRICS, especially after the addition of 10 members of the group. For his part, Busi Mabuza, the chairman of South Africa in the BRICS Business Council said: "The opportunities for South Africa and for the African continent within the BRICS group are very big." He said his country South Africa has already seen the growth of business because of its presence in BRICS.
