The BRICs Are Morphing Into An Anti-Dollar Alliance

The BRICs Are Morphing Into An Anti-Dollar Alliance

07/02/2014

While numerous massively indebted administrations around the world hope to divert the attention of what's left of their struggling middle class away from its daily impoverished existence and distract it with flashing lights and glitzy animations showing another all time market high on a daily basis, a significantly more important shift taking place behind the scenes is appreciated by very few: the ongoing de-dollarization of the world. For the latest example of how increasingly more countries are setting the stage for the final currency war, we go again to Russia where VOR's Valentin Mândr??escu explains that slowly but surely the BRICS - that proud Goldman acronym which was conceived to perpetuate the great American way of life by releasing trillions in US-denominated debt in heretofore untapped markets - are morphing into an anti-dollar alliance.

BRICS is morphing into an anti-dollar alliance, From VOR

Before the crucial visit to Beijing next week, the governor of the Russian Central Bank, Elvira Nabiullina met Vladimir Putin to report on the progress of the upcoming ruble-yuan swap deal with the People's Bank of China and Kremlin used the meeting to let the world know about the technical details of its international anti-dollar alliance.

Read on and check links :  http://www.zerohedge.com/news/2014-07-02/brics-are-morphing-anti-dollar-alliance?fb_action_ids=10152495428523077&fb_action_types=og.likes

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mudra

July 7, 2014 Posted

The “World as we Know It” [continues] to come to an end… 7-5-14, “BRICS Bank to start lending soon: Brazil”
by kauilapele

brics_2013_leadersMy sense is that this is quite BIG... Here's a couple points that hit me.
<blockquote"Developing nations have long complained that the World Bank and International Monetary Fund are failing to address underdevelopment and Western nations have too much say over the management of these institutions

"The influence of these emerging economies in the global financial architecture as well as global politics is growing. The five BRICS countries represent almost three billion people, with a combined nominal GDP of $16 trillion and an estimated $4 trillion in combined foreign reserves. “We had a big jump in participation of BRICS in global exports, currently reaches more than 17%,” Damico told TV Nacional Brasil.

"Chinese Foreign Minister Wang Yi said the BRICS summit in Brazil should focus on promoting two major projects — the development bank and an emergency reserve — and sending out signals of confidence, unity and cooperation.">

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BRICS Bank to start lending soon: Brazil

Brazil, which will be hosting the 6th BRICS Summit from the 14th-16th July, has said the much-awaited BRICS bank will start lending within 1-2 years from now.

“The BRICS bank should become operational within 1 or 2 years, depending on the legislative approval process,” said Flávio Soares Damico, Director of the Interregional Mechanisms at the Ministry of External Relations on Friday.

Developing nations have long complained that the World Bank and International Monetary Fund are failing to address underdevelopment and Western nations have too much say over the management of these institutions.

All the BRICS nations apart from Brazil have bid to host the new Bank. The five countries are negotiating to fund the $100 billion development effort equally.

The influence of these emerging economies in the global financial architecture as well as global politics is growing.

The five BRICS countries represent almost three billion people, with a combined nominal GDP of $16 trillion and an estimated $4 trillion in combined foreign reserves.

“We had a big jump in participation of BRICS in global exports, currently reaches more than 17%,” Damico told TV Nacional Brasil.

The BRICS foreign Ministers met in the Hague earlier this year to discuss economic ties as well as the Ukraine crisis. BRICS slammed recent attempts to isolate Russian President Vladimir Putin or to place any restrictions on his participation at the G-20 summit in Australia later this year.

Chinese Foreign Minister Wang Yi said the BRICS summit in Brazil should focus on promoting two major projects — the development bank and an emergency reserve — and sending out signals of confidence, unity and cooperation.

Meanwhile, according to Ambassador Graça Lima, Under-Secretary-General for Political Affairs at the Ministry of External Relations, one of the goals of the 6th BRICS Summit will highlight the role that the five countries have played in achieving the “Millennium Goals”, “both in their countries as in others, either through economic growth itself, or by means of inclusive social policies implemented by their governments.”

As part of a BRICS outreach strategy to emerging economies, a working session will be held on 16th July between the heads of states of BRICS and their counterparts from the governments of South American nations. Argentina had expressed interest in joining the powerful bloc, although BRICS have ruled out expansion of the group for now

France lashes out against US dollar, calls for ‘rebalancing’ of world currencies

The French government wants to break the monopoly the dollar has on international transactions after the country’s largest bank, BNP Paribas, was slapped with a record $9 billion fine and a 1-year dollar trading ban.

Michel Sapin, the French finance minister, called for a “rebalancing” of the currencies used for global payments, saying the BNP Paribas case should “make us realize the necessity of using a variety of currencies” the Financial Times reports.

“We [Europeans] are selling to ourselves in dollars, for instance when we sell planes. Is that necessary? I don’t think so. I think a rebalancing is possible and necessary, not just regarding the euro, but also for the big currencies of the emerging countries, which account for more and more of global trade,” the finance minister told the FT at a conference over the weekend.

France wants to bring the euro to greater prominence in international trade. Sapin said he would raise the idea on Monday when he meets in Brussels with eurozone finance ministers.

http://rt.com/business/170864-france-balance-dollar-bnp/

Love Always
mudra