Bangladesh to Join and Adopt BRICS Currency?
June 6, 2023
The potential expansion of the BRICS bloc has been at the forefront of global discourse. Moreover, as the annual summit is set to arrive in just a matter of months, those discussions will take on more importance. Alternatively, could the country of Bangladesh join and adopt the BRICS currency?
The Southeast Asian country has already taken steps that could be attributed to a nation interested in BRICS. Let’s look at what Bangladesh has done so far, and analyze the country potentially adopting BRICS currency if it joins BRICS+.
Will Bangladesh Join BRICS+ and Adopt BRICS Currency?Back in May, India and Bangladesh agreed to settle cross-border transactions with the Rupee and not the U.S. dollar. BRICS countries are also working to launch a new currency and end reliance on the USD.
Bangladesh has an active interest in ditching the US dollar and looking for alternatives. In April, Bangladesh paid a nuclear plant loan to Russia in the Chinese yuan. Moreover, the country decided to pay approximately $318 million worth of yuan for a loan payment, instead of USD.
Furthermore, Bangladesh is one of multiple Southeast countries looking to join BRICS. The country adopting a common BRICS Currency may be on the table as well. BRICS is set to meet again this August for the BRICS Summit in South Africa. There, expansion and BRICS currency will be up for discussion, with dozens of countries worldwide looking to join in and support de-dollarization. With its use of the Chinese Yuan already as well as its relationship with Russia and India, Bangladesh may be a frontrunner to be one of the first members of the new BRICS+.