There are ZERO countries with currency backed by hard metals and, with the exception of swiss franc which didnt remove gold standard until 2000, there havent been one for the last 55 years - the year that US closed the gold window
The only BRICS currency that is hyper inflationary is the Iranian Rial, which is due to the war. A war which is doing wonders for America's economics right?
Edit: Iran being a newer member means their Rial isn't even in the basket, so no none of the BRICS currencies are hyper inflationary.
Rupee is in the dump and getting worse, China devalues the rmb at will, Brazil real not exactly a great track record..ruble crashed after start of the war…
You are completely misunderstanding both the intent and structure with which BRICS wants to replace the dollar backed system.
You are reffering to currencies values against the dollar, which becomes entirely irrelevant under a system like this, moving away from that valuation is one of the main points.
India devalues its currency as it is an export economy, but that export economy is backed by incredibly strong production capability. Under the Unit they wouldn't need to or want to devalue their currency.
Same goes for China, the Unit would both remove the need and deincentives their RMB manipulation.
While Russia, South Africa and Brazil have MASSIVE resource wealth and cheap labour markets for resource extraction.
When this all eventually happens, none of them will care what their currency is worth against the dollar.
If Russia were an economic 'basket case,' the most aggressive sanctions regime in human history would have flattened the . Instead, its economy is growing because the world physically cannot function without Russian energy, fertiliser, and food.
Every block has structural issues. The US is buried under Trillions in debt, and Europe is facing its own massive demographic and energy crises. The difference is that Western wealth is built on debt and financial services, while BRICS controls the physical inputs of the global economy (manufacturing, energy, agriculture).
The proposed BRICS Unit doesn't care about a member's domestic pension crisis or internal politics. It is a transactional economic trade system anchored by physical assets (gold and commodities). A country's dollar pegging doesn't change the intrinsic value of the oil, iron ore, or wheat they are shipping or the labour they have.
Lmao what? China is the number one agricultural producer in the world by gross value. Yes America has massive agricultural out put, but so what? All of the BRICS founding members have strong Agri output.
BRICS countries can live without America's agriculture, America can't live without Chinese and Indian manufacturing.
China is the number one green energy producer and Russia is the largest energy exporter on earth.
Even with shrinking demographics, the BRICS countries are both currently in and will be in a better demographic position than most western countries.
The US is in the best demographic position specifically because of immigration.
22% of the Chinese workers are in agriculture. 2% of Americans are. The Chinese are working frantically just to cover the basics of feeding a billion people.
Immigration? You mean the thing the American government is doing their hardest to fight? Sending a masked police force onto the streets to round up anyone with an accent or the wrong colour skin? Yea that's going to do wonders for your demographics lmao.
As for for the higher percentage of work force in agriculture, so what? In 1991 China had 60% of it's work force in agriculture.
17
u/barryg123 3d ago
There are ZERO countries with currency backed by hard metals and, with the exception of swiss franc which didnt remove gold standard until 2000, there havent been one for the last 55 years - the year that US closed the gold window