BRICS Gold-Backed Currency Will Benefit Iran, Weaken US Dollar, Iranian Official Says

An Iranian official has stated that Iran stands to benefit from a gold-backed common BRICS currency. The official further asserted that such a BRICS currency would erode the U.S. dollar’s dominance and result in increased wealth for Iranians holding gold. “A tremendous change is taking place in the international economy,” the official stressed.

Iran Will Benefit From Gold-Backed BRICS Currency, Official Says

Rasoul Mousavi, Assistant Foreign Minister and Director General of the South Asia Department of the Iran’s Ministry of Foreign Affairs, stated Sunday that a common BRICS currency backed by gold will benefit Iran and weaken the U.S. dollar, Press TV reported. The BRICS comprises Brazil, Russia, India, China, and South Africa.

The Iranian official’s remarks followed a report last week by Russian news outlet RT claiming that Russia has confirmed the creation of a gold-backed common currency within the BRICS framework. According to RT, this announcement is expected to be officially made during the upcoming leaders summit of the economic bloc scheduled for August.

“A tremendous change is taking place in the international economy,” Mousavi was quoted as saying. The official elaborated:

The BRICS’ introduction of a gold-backed currency, which is supported by 41 countries with large and influential economies, will weaken the dollar and the euro and will benefit countries such as Iran, while Iranians in possession of gold will experience a wealth increase.

While Mousavi believes that a common BRICS currency backed by gold would benefit Iran and erode the dominance of the U.S. dollar, the economic bloc has not officially announced any plans to create such a currency.

Last week, Leslie Maasdorp, vice president and chief financial officer of New Development Bank, also known as the BRICS Bank, stated that the creation of BRICS currency as an alternative to the U.S. dollar is a medium to long-term aspiration.

Nonetheless, there is a prevailing belief that the establishment of a successful BRICS currency will diminish the dominance of the U.S. dollar. The BRICS economic bloc is also expanding its influence and is considering adding more members.

Do you think a common BRICS currency backed by gold will benefit Iran? Let us know in the comments section below.

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