Seeds of Wisdom RV and Economic Updates Sunday Afternoon 8-17-25
Good Afternoon Dinar Recaps,
BRICS Shakeup: India Rejects Full US Dollar Exit, Expands Rupee Trade
India’s Official Position: No Wholesale De-Dollarization
India has formally rejected speculation of abandoning the U.S. dollar, even as BRICS explores alternative settlement mechanisms.
MEA spokesperson Randhir Jaiswal clarified:
“We have made our position very clear on this issue earlier as well. De-dollarization is not part of India’s financial agenda.”
His remarks followed Brazilian President Lula’s renewed call for a BRICS trade currency amid U.S. tariff tensions.
External Affairs Minister S. Jaishankar reinforced India’s balanced stance:
“India is a member of the BRICS group, and we continue to remain in touch with member countries to discuss issues of shared interest.”
Bilateral Rupee Trade Expansion
Instead of a wholesale de-dollarization policy, New Delhi is pursuing targeted bilateral trade agreements to reduce dollar dependency.
Key developments include:
Maldives: Direct rupee-rufiyaa settlement system established in November 2024.
UAE: Operational arrangements underway for rupee settlements.
Ongoing talks: With additional Asian and African nations to expand rupee settlement corridors.
RBI Deputy Governor Sanjay Malhotra confirmed that such agreements reduce both transaction costs and foreign exchange exposure for Indian businesses.
Strategic Positioning Within BRICS
India’s approach diverges from China and Russia, who are pushing alternatives like the digital yuan and ruble under sanctions.
Instead, India is:
Avoiding a common BRICS currency, citing economic and geographic disparities.
Maintaining global dollar access while selectively reducing dependency through bilateral deals.
Retaining financial flexibility, ensuring that rupee trade expansion complements rather than replaces the dollar.
Pragmatic Currency Policy
India’s strategy shows a practical middle path in BRICS:
No abrupt U.S. dollar exit.
Focus on rupee internationalization via bilateral agreements.
Balanced participation in BRICS without risking global market access.
This calculated stance places India as a unique player within BRICS—reducing dollar reliance where possible but preserving financial stability and international credibility.
@ Newshounds News™
Source: Watcher.Guru
~~~~~~~~~
Seeds of Wisdom Team RV Currency Facts Youtube and Rumble
Newshound's News Telegram Room Link
Follow the Roadmap
Follow the Timeline
Seeds of Wisdom Team™ Website
Thank you Dinar Recaps