Newly elected US President Donald Trump has threatened to impose tariffs on the BRICS countries while posting on his social media account on Saturday. Trump talked about imposing 100% tariffs on BRICS countries in any currency other than the US dollar.
Trump said that we want a guarantee from the BRICS countries that they will not create a new currency to replace the US dollar for trade and will not trade in any other country's currency. If the BRICS countries do so, they will face 100% tariffs on their exports to the US.
Also, forget about selling goods in the American market. Trump said- there is no place to use other currencies instead of dollars for trade. If any country does this, it should forget America.
BRICS includes 9 countries including India, Russia and China. It is a group of countries with emerging economies.
No Consensus on Currency Creation Among BRICS Countries There is no consensus on currency creation among the member countries included in BRICS. There is no official statement regarding this yet. Ahead of the BRICS summit in Russia this year, there was a heated debate over its currency.
However, even before the summit, Russian President Putin made it clear that the BRICS group is not planning to create its own currency. However, the summit discussed the BRICS countries' own payment system.
There was a discussion about designing this payment system on the lines of global SWIFT payment system. India offered its UPI for payment system to BRICS countries.
America Makes Billions Based on Dollars The SWIFT network started in 1973 with 518 banks in 22 countries. It currently includes 11,000 banks from more than 200 countries. Those who keep their foreign currency reserves in American banks. Now not all money is invested in business, so countries invest their extra money in American bonds, so that they can earn some interest.
Including all countries, this money is about 7.8 trillion dollars. That is more than twice the economy of India. America uses this money for its development.
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