BRICS Needs China to Expand Use of Local Currencies, Tycoon Says
(Bloomberg) -- China must “come around” and reduce trade deficits with other developing nations to accelerate the use of local currencies, according to Anil Agarwal, the billionaire founder of India’s Vedanta Resources Ltd.Most Read from BloombergHuawei Is Building a Secret Network for Chips, Trade Group WarnsGoldman Is Cracking Down on Employees That Aren't in Office Five Days a WeekMusk Told Pentagon He Spoke to Putin Directly, New Yorker SaysIndia First to Land Near Moon South Pole After Russia FailsBonds Rally on Weak Data as US Jobs Revisions Loom: Markets WrapLeaders of the BRICS bloc — Brazil, Russia, India, China and South Africa — will discuss reducing the use of dollars for trade at their summit on Wednesday. India’s trade deficit with China last year was almost $85 billion. Brazil, South Africa and Russia, meanwhile, enjoy a trade surplus with the Asian nation.“China has to come around,” and rebalance trade with other nations, he said in an interview at Bloomberg’s Johannesb
(Bloomberg) -- China must “come around” and reduce trade deficits with other developing nations to accelerate the use of local currencies, according to Anil Agarwal, the billionaire founder of India’s Vedanta Resources Ltd.
Most Read from Bloomberg
Huawei Is Building a Secret Network for Chips, Trade Group Warns
Goldman Is Cracking Down on Employees That Aren't in Office Five Days a Week
Musk Told Pentagon He Spoke to Putin Directly, New Yorker Says
Bonds Rally on Weak Data as US Jobs Revisions Loom: Markets Wrap
Leaders of the BRICS bloc — Brazil, Russia, India, China and South Africa — will discuss reducing the use of dollars for trade at their summit on Wednesday. India’s trade deficit with China last year was almost $85 billion. Brazil, South Africa and Russia, meanwhile, enjoy a trade surplus with the Asian nation.
“China has to come around,” and rebalance trade with other nations, he said in an interview at Bloomberg’s Johannesburg office. “Total dollar domination will come down. It’s not going to happen 100%, but it’s going to start.”
The bloc expects their growing heft to help reduce dependence on the greenback. Leaders will look at ways to boost payments in members’ currencies, part of a wider ambition to challenge the geopolitical leadership of the US.
“There’s very strong talk” of finding ways to reduce dependence on dollars at the summit, Agarwal said.
--With assistance from Amogelang Mbatha.
Most Read from Bloomberg Businessweek
Never Mind Shrinking Households, Builders Are Adding Bedrooms
Drug Benefit Firms Devise New Fees That Go to Them, Not Clients
‘Don’t You Remember Me?’ The Crypto Hell on the Other Side of a Spam Text
GOP Presidential Hopeful Ramaswamy Sued Over Strive’s Practices
©2023 Bloomberg L.P.
What's Your Reaction?
