India Rejects Common Currency Plan Amid Growing Calls to Ditch US Dollar

India, as the current chair of BRICS, has expressed opposition to introducing a common currency for trading among member countries. Commerce Minister Piyush Goyal stated that India is not in favor of a BRICS currency and does not support its introduction.

This stance assumes significance after US President Donald Trump warned BRICS countries against replacing the US dollar in 2024. Some BRICS nations, particularly Russia and China, have favored an alternative to the US dollar or creating a dedicated BRICS currency.

The meeting of trade ministers brought about agreements on opening up markets, economic diversification, and the internationalisation of micro, small, and medium enterprises. The 'Jaipur Consensus' adopted at the meeting includes studying a BRICS invoice-discounting mechanism and establishing credit-assessment guidelines for export-focused smaller businesses.

The delegates agreed to study a BRICS invoice-discounting mechanism and established credit-assessment guidelines for export-focused smaller businesses, aiming to narrow the $2.5 trillion global trade finance gap.