De-dollarisation and its impact on global trade and commodity markets
· Business · Economic Times
Emerging economies and BRICS nations are increasingly exploring local currency trade and alternative payment systems to reduce dependence on the US dollar. For decades, most commodities including crude oil, natural gas, and industrial metals have been priced and traded in dollars. This shift is driven by rising geopolitical tensions, concerns over sanctions, and a desire for greater financial sovereignty. Central banks are diversifying reserves by holding more gold and other currencies to mitigate concentration risks associated with a single- Implementation system.
Why it matters
A gradual shift away from the dollar could alter global commodity pricing structures, investment flows, and how emerging markets manage their foreign exchange reserves.
Read the original report — Economic Times
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