05:58Indian techno-legal expert Vijay Sardana said that 'de-dollarization is very important' for the Global South 'but will be resisted by the west,' during an exclusive interview filmed in New Delhi on Thursday.
"They will resist because they do not want to lose control over the global financial systems and global economy, and the dollar is a very important tool to control global trade," Sardana explained.
"The dollar is controlled by the American government, and if the American government is putting pressure on all global banks in the world, it is indirectly like putting sanctions on other countries," he continued.
According to Sardana, the West's 'political influence' could dimmish if they were to lose control over the global trading currency. He claims this is because Western countries use the dollar not just as an economic instrument, but also as a 'poltical tool'. Hence, their ability to shape global market dynamics would likely decrease without this leverage.
Sardana also explained that the 'global dependency on the dollar' is 'challenging' and often poses a 'very negative' impact on the global economy.
He noted that economic shifts in the United States or political events in the Middle East often lead to fluctuations in the dollar's value. These changes can adversely affect other nations, disrupting their trade and economies, despite these countries not being directly responsible for the fluctuations.
"Many more countries will join [the de-dollarisation movement] because every country will gain. Moreover, it will be difficult for other countries to sanction any developing economy when it comes to political adversaries, and this is what one has to focus on," he said.
"If we have a uniform, unified payment system. If we can improve the overall performance of our countries, our banking system should improve," Sardana added. "But for that, we have to also have internal uniform banking regulations and policies, plus it all depends upon what our international trade contribution because if currency is fluctuating too widely between BRICS member countries, it becomes difficult."
The expert also added that trade among BRICS nations is on the rise, driven by advancements in infrastructure, technology, and IT. According to Sardana, these countries are 'becoming important trading partners', with a shared focus on technological innovation and research and development.
Sardana concluded that de-dollarisation 'is important for the Global South' because it will place member states in positions where they can 'understand and service each other better.'
India, and other countries in the BRICS group, have frequently spoken about de-dollarisation, the shift away from the dollars towards trade in each others national currencies, while some have even touted the idea of a BRICS currency itself.
The 16th BRICS Summit is scheduled for October 22-24. Leaders from more than 24 countries are expected to attend, with Russia's closest neighbours and partners in the Eurasian Economic Union and Commonwealth of Independent States also invited.
'De-dollarisation is very important… but will be resisted by the West!' - Indian expert on move to BRICS payment system
Indian techno-legal expert Vijay Sardana said that 'de-dollarization is very important' for the Global South 'but will be resisted by the west,' during an exclusive interview filmed in New Delhi on Thursday.
"They will resist because they do not want to lose control over the global financial systems and global economy, and the dollar is a very important tool to control global trade," Sardana explained.
"The dollar is controlled by the American government, and if the American government is putting pressure on all global banks in the world, it is indirectly like putting sanctions on other countries," he continued.
According to Sardana, the West's 'political influence' could dimmish if they were to lose control over the global trading currency. He claims this is because Western countries use the dollar not just as an economic instrument, but also as a 'poltical tool'. Hence, their ability to shape global market dynamics would likely decrease without this leverage.
Sardana also explained that the 'global dependency on the dollar' is 'challenging' and often poses a 'very negative' impact on the global economy.
He noted that economic shifts in the United States or political events in the Middle East often lead to fluctuations in the dollar's value. These changes can adversely affect other nations, disrupting their trade and economies, despite these countries not being directly responsible for the fluctuations.
"Many more countries will join [the de-dollarisation movement] because every country will gain. Moreover, it will be difficult for other countries to sanction any developing economy when it comes to political adversaries, and this is what one has to focus on," he said.
"If we have a uniform, unified payment system. If we can improve the overall performance of our countries, our banking system should improve," Sardana added. "But for that, we have to also have internal uniform banking regulations and policies, plus it all depends upon what our international trade contribution because if currency is fluctuating too widely between BRICS member countries, it becomes difficult."
The expert also added that trade among BRICS nations is on the rise, driven by advancements in infrastructure, technology, and IT. According to Sardana, these countries are 'becoming important trading partners', with a shared focus on technological innovation and research and development.
Sardana concluded that de-dollarisation 'is important for the Global South' because it will place member states in positions where they can 'understand and service each other better.'
India, and other countries in the BRICS group, have frequently spoken about de-dollarisation, the shift away from the dollars towards trade in each others national currencies, while some have even touted the idea of a BRICS currency itself.
The 16th BRICS Summit is scheduled for October 22-24. Leaders from more than 24 countries are expected to attend, with Russia's closest neighbours and partners in the Eurasian Economic Union and Commonwealth of Independent States also invited.
Indian techno-legal expert Vijay Sardana said that 'de-dollarization is very important' for the Global South 'but will be resisted by the west,' during an exclusive interview filmed in New Delhi on Thursday.
"They will resist because they do not want to lose control over the global financial systems and global economy, and the dollar is a very important tool to control global trade," Sardana explained.
"The dollar is controlled by the American government, and if the American government is putting pressure on all global banks in the world, it is indirectly like putting sanctions on other countries," he continued.
According to Sardana, the West's 'political influence' could dimmish if they were to lose control over the global trading currency. He claims this is because Western countries use the dollar not just as an economic instrument, but also as a 'poltical tool'. Hence, their ability to shape global market dynamics would likely decrease without this leverage.
Sardana also explained that the 'global dependency on the dollar' is 'challenging' and often poses a 'very negative' impact on the global economy.
He noted that economic shifts in the United States or political events in the Middle East often lead to fluctuations in the dollar's value. These changes can adversely affect other nations, disrupting their trade and economies, despite these countries not being directly responsible for the fluctuations.
"Many more countries will join [the de-dollarisation movement] because every country will gain. Moreover, it will be difficult for other countries to sanction any developing economy when it comes to political adversaries, and this is what one has to focus on," he said.
"If we have a uniform, unified payment system. If we can improve the overall performance of our countries, our banking system should improve," Sardana added. "But for that, we have to also have internal uniform banking regulations and policies, plus it all depends upon what our international trade contribution because if currency is fluctuating too widely between BRICS member countries, it becomes difficult."
The expert also added that trade among BRICS nations is on the rise, driven by advancements in infrastructure, technology, and IT. According to Sardana, these countries are 'becoming important trading partners', with a shared focus on technological innovation and research and development.
Sardana concluded that de-dollarisation 'is important for the Global South' because it will place member states in positions where they can 'understand and service each other better.'
India, and other countries in the BRICS group, have frequently spoken about de-dollarisation, the shift away from the dollars towards trade in each others national currencies, while some have even touted the idea of a BRICS currency itself.
The 16th BRICS Summit is scheduled for October 22-24. Leaders from more than 24 countries are expected to attend, with Russia's closest neighbours and partners in the Eurasian Economic Union and Commonwealth of Independent States also invited.