Russia suggested that the BRICS nations develop their own international payment

The ten BRICS nations, including India, will compete fiercely. Russia suggested that the BRICS nations develop their own international payment system and currency during the most recent BRICS conference. This is also the direction that the BRICS nations are taking. Donald Trump, the recently elected president of the United States, has threatened the BRICS nations because he views this as a serious threat to the market and his currency, the dollar. In light of this, some are wondering why America is concerned about the planned BRICS currency. You'll receive a suitable response. Donald Trump, the recently elected US president, warned to respond appropriately if the BRICS nations attempted to challenge the US dollar's hegemony. According to Trump,
In order to export goods to the United States, the BRICS nations will need to use dollars. If anyone else tries to do this stuff, the BRICS State will be subject to 100% tariffs. The point is, why did America propose BRICS in this context? Since the majority of international trade is currently conducted in US dollars, the dollar currently controls the majority of the world market. Dollars make up 58% of global foreign currency reserves. The majority of nations exclusively exchange oil in US currency. The US controls the international financial system SWIFT, which oversees all of these transactions. This is the authority that the United States has to impose economic penalties on foreign nations. America exerts political pressure on other nations by using this influence. will have a significant effect.


Other US sanctions also apply to nations like China, Iran, and Russia. The BRICS nations have suggested developing their own SWIFT-style international payment system. America will suffer a serious setback if the BRICS nations are successful in this way. The American market will be significantly impacted as well. Trump sees this as a challenge to the dollar because of this. India currently enjoys cordial ties with both the United States and Russia. Its commerce with both nations is steadily growing. The question in such a scenario is how Prime Minister Narendra Modi will respond. Let me explain: BRICS consists of the following countries at the moment: Egypt, Ethiopia, Iran, South Africa, India, China, Brazil, and the United Arab Emirates.