Financial Settlements Within the BRICS Framework: Moving Forward, Despite Problems
... countries’ economies are still quite closely integrated into American-centric financial calculations. The severance of such ties will be painful for most of them. They will not force the abandonment of the US dollar in settlements. This also applies to China, which seeks to keep its rivalry with the United States under control. A telling indicator is that the BRICS New Development Bank also uses US dollars. Obviously, the bank will avoid transactions with persons who are under US blocking sanctions, fearing US secondary sanctions. The threat of such sanctions is also perceived as a risk by banks in the BRICS countries, especially following the December 2023 amendments to Executive Order 14024. The amendments give the US Treasury the authority ...
