Putin Calls for New Global Payment System at BRICS Summit, Sparking Debate

International news section 04-11-2024

At the BRICS summit, Russian President Vladimir Putin proposed a new international payment system to lessen reliance on the US dollar, framing it as a step to prevent the dollar from being wielded as a political tool. While Putin’s push aligns with Russia’s recent shift to using rubles and yuan in trade with China, it has raised concerns among some BRICS members, especially Brazil and India, who want to avoid an overly anti-Western stance.

The summit saw limited progress on an alternative payment system, with only a brief mention of a Brazil-China peace plan for Ukraine. Meanwhile, a roster of new members, including Cuba, Turkey, and Kazakhstan, were approved after Brazil vetoed Venezuela’s entry, highlighting efforts to diversify the organization without alienating the West. Agathe Demarais, a European Council analyst, expressed doubt about BRICS’ ability to challenge the dollar’s dominance in global trade and reserves.