BRICS highlights use of local currencies in int’l trade

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The BRICS countries stressed here on Thursday the importance of encouraging the use of local currencies in international trade and financial transactions between the BRICS countries and their trading partners, reported Xinhua.

In the Johannesburg II Declaration adopted following the three-day 15th BRICS Summit, the BRICS countries also said that they encourage "strengthening of correspondent banking networks between the BRICS countries and enabling settlements in the local currencies."

The BRICS countries noted that high debt levels in some countries have reduced the fiscal space needed to address ongoing development challenges aggravated by the spillover effects from external shocks, particularly from sharp monetary tightening in advanced economies.

The BRICS countries pointed out that rising interest rates and tighter financing conditions have worsened debt vulnerabilities in many countries, noting that it is necessary to address the international debt agenda properly to support economic recovery and sustainable development, while taking into account each nation's laws and internal procedures.

One of the instruments to collectively address debt vulnerabilities is through the predictable, orderly, timely and coordinated implementation of the G20 Common Framework for Debt Treatment, with the participation of official bilateral creditors, private creditors and multilateral development banks, in line with the principle of joint action and fair burden-sharing, they stressed in the declaration.

  •  BRICS


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