India has reaffirmed its engagement with BRICS while making it clear that it is not part of any initiative to undermine the US dollar. This comes in response to US President Donald Trump’s latest warning of a 100% tariff on imports from BRICS nations if they pursue a common currency.External Affairs Minister S. Jaishankar, in a statement to Parliament, emphasised India’s role as a founding member of BRICS, highlighting the bloc’s focus on inclusive global governance. However, he clarified that India does not support any move within BRICS to reduce reliance on the dollar.
“BRICS, a platform that has grown in membership and agenda over the last two decades, seeks to enhance understanding among the international community,” Jaishankar said in response to a question in the Lok Sabha.
He added that BRICS members have diverse economic interests and that India has conveyed its stance to US authorities during bilateral discussions.Trump’s Sharp Warning to BRICS NationsTrump has repeatedly criticised BRICS, recently declaring the group “dead” and vowing severe economic retaliation against any effort to challenge the dollar’s dominance. “If they want to play games with the dollar, they will face a 100% tariff. The day they mention it, they’ll come back begging,” Trump said, in a direct warning to the bloc.Also read: OPINION: Did India distance itself from the common BRICS currency?The BRICS nations—Brazil, Russia, India, China, and South Africa—have been exploring ways to reduce dependence on the dollar in global trade. Russian President Vladimir Putin has actively pushed for de-dollarisation, calling for increased trade settlements in local currencies and stronger financial cooperation among BRICS members.During a June 2024 meeting in Russia’s Nizhny Novgorod, BRICS foreign ministers reaffirmed their commitment to expanding local currency usage in trade and financial transactions. While China and Russia have led this push, India has taken a cautious approach, prioritising stability in global financial systems.(Edited by : Sheersh Kapoor)
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