Venezuelan Foreign Minister Yvan Gil stated that this new state of affairs in international trade was possible due to the push that Russia and the BRICS bloc exerted to bypass the U.S. dollar.
Venezuelan Minister Yvan Gil: 25% of Trade Can Be Completed Away From the Dollar
International trade markets have been evolving to open their possibilities to the usage of currencies different from the U.S. dollar. This is the opinion of Venezuelan Foreign Minister Yvan Gil, who remarked on the trade policy changes that a multi-polar world has brought for international settlements.
In a recent article celebrating 80 years of international relations with Russia, Gil noted that this development was possible due to the rise of the BRICS bloc, an organization integrated by Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, and the United Arab Emirates, and its de-dollarization push.
Gil declared:
At least 25% of global trade operations can be conducted without being tied to the dollar (without using the dollar), which will be a significant step towards greater financial independence of countries subject to sanctions.
Gil assessed that this movement was favored by the current BRICS structure, which does not include rigid rules for trading. While the bloc has refrained from launching its own currency, BRICS is currently studying establishing a payment system based on national currencies under Brazil’s presidency.
According to reports, this system might be based on cryptocurrency, as it would allow it to follow different guidelines compared to a fiat-based equivalent.
While Venezuela was not accepted to be a part of the BRICS+ bloc as Brazil vetoed its entrance, the country has benefited from this shift in international trade. As Russia, the nation had faced sanctions from the U.S. government, which designated state-owned oil company PDVSA as a “Specially Designated National” (SDN) in 2019.
Sergey Lavrov, the Russian Foreign Minister, reinforced the relevance of Venezuela’s wishes to contribute to BRICS, stressing that the organization was “an association that serves as a conduit for the interests of the countries of the global South and East, one of the supporting pillars of the multipolar world order.”
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