The Central Bank of Brazil forecasts that BRICS will not have the strength to rival the dollar before 2035 and points out three obstacles that will maintain American hegemony.#BNBATH880
The Central Bank of Brazil (BCB) broke its silence on one of the most sensitive topics in current geopolitics: the race of BRICS countries to reduce dependence on the dollar in international trade. In a recent statement, the institution projected that, despite the advancement of initiatives such as the increased use of local currencies and proprietary payment systems, the bloc will not have the strength to challenge the hegemony of the American currency before 2035.#MarketPullback $BTC
This forecast contrasts with the more enthusiastic rhetoric of some leaders of the group, who since 2023 have been openly advocating for an 'accelerated dedollarization' to avoid the impact of economic sanctions imposed by the West and to give more autonomy to emerging countries. However, for the Brazilian Central Bank, there are three major structural obstacles that will prevent this transition from occurring in the short term — and that ensure, for now, the dollar's continued centrality in the global economy.
The Director of Monetary Policy of the Central Bank of Brazil, Nilton David, stated that there is currently no relevant set of assets denominated in BRICS currencies capable of rivaling the global dominance of the dollar — and that this reality will hardly change in the next decade.
