The de-dollarization of the world economy has been thrust back into the spotlight with the BRICS summit, which took place in Johannesburg, South Africa, earlier this month. While lacking a spot on the agenda, decreasing the prevalence of the US dollar in trade and financial transactions among the Global South was repeatedly referenced by the world leaders in attendance, for example Brazilian President Luiz Inacio Lula da Silva, who even called for a new common currency for the BRICS bloc.
Looking at trade and transaction data for the US dollar in the past ten years, the currency has so far defended the major role it plays in international markets. It has only lost small amounts of its large influence for some metrics, while it extended its reach in others.
Compared to the United States’ share in the international economy and in international trade, the role of the dollar remains outsized.
Source: forbes.com
