BRICS Calls on Middle East to Drop US Dollar

Tensions in the Middle East are rising after Iran conducted more than 300 missile and drone assaults on Israel on Sunday. The Iron Dome intercepted all Iranian missiles, but the situation remains dire, with increasing threats of war. Amid the crisis between Iran and Israel, BRICS has called on the Middle East to abandon the US currency for oil deals.

Russian President Vladimir Putin has encouraged Middle Eastern countries to give Israel and the United States a lesson. Russia, a BRICS member, said that abandoning the US currency for oil payments might bring America and Israel to a stop.

BRICS Targets Middle Eastern Countries to Devalue USD

The BRICS coalition selectively included oil-producing nations this year, 2024. Today’s alliance includes oil-producing states such as the United Arab Emirates, Egypt, Ethiopia, and Iran. The coalition has also invited Saudi Arabia to join the organization, although the Kingdom has yet to decide.

The BRICS intends to devalue the US by requiring oil-exporting countries to accept local currencies for cross-border oil and gas payments. If Saudi Arabia enters the union, the organization will become stronger and more capable of controlling the global oil and energy sectors.

Putin underlined that the Middle East and its oil industry had the potential to undermine the US dollar’s worldwide dominance. “If oil producers in the Middle East stop using the US dollar, it will be the end of the dollar,” he added.

However, Middle Eastern countries have yet to respond to the BRICS’ proposal to utilize local currency for oil transactions. The US dollar is commonly accepted as payment for oil and gas. At the same time, local currencies make up a modest portion of all commerce and transactions.