Brazil’s Lula calls for efforts to end US dollar’s dominance
Brazilian President Luiz Inácio Lula da Silva has once again called for an end to the US dollar’s international trade dominance, expressing hopes that a gold-backed BRICS currency will achieve that goal.
“Everyone knows that I defend the idea that we have our own currency to trade between countries,” Lula said, addressing the media about the upcoming BRICS summit.
“Why does Brazil need the dollar to trade with China or Argentina? We can trade in our currency,” he added.
The remarks come amid efforts by a growing number of countries around the world to ditch the US dollar in favor of local currencies in international trade transactions.
Lula has repeatedly floated the idea of creating a payment system to replace the US dollar.
“Why can't a bank like that of the BRICS have a currency to finance trade relations between Brazil and China, between Brazil and other countries?” he said in April, while addressing the New Development Bank of Shanghai.
Leaders of the BRICS group, comprising Brazil, Russia, India, China and South Africa, are due to hold a summit in Johannesburg this month.
The use of national currencies and reducing reliance on the greenback is expected to be on the agenda of the summit.