BRICS financial system to counter western neo-colonial domination/ Necessity of financial independence for Africa's development
Pars Today - The Deputy of Russia's State Duma emphasized that establishing a financial messaging system similar to the SWIFT network will help create a new economic reality for BRICS member countries.
The international group BRICS, comprising emerging economic powers such as Brazil, Russia, China, India, South Africa, and Iran, is working towards developing their own unique financial systems.
According to Pars Today, quoting IRNA, Russia had previously announced that BRICS countries have created a special channel for information exchange between their central banks.
On Thursday, Alexander Babakov, Deputy of Russia's State Duma, said that one of BRICS's financial programs is to establish a new economic reality and create a financial messaging system similar to SWIFT (Society for Worldwide Interbank Financial Telecommunication) for BRICS member countries.
Babakov added that this initiative relies on the capabilities of state banks to settle transactions among BRICS countries. He noted that Western banks and financial institutions do not finance the development of African countries because such actions would remove the continent from their neo-colonial control.
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Babakov stated that developing and implementing a financial system helps BRICS countries reduce their dependence on Western financial institutions and increase their national financial independence. He mentioned that such a system would help BRICS countries conduct their financial transactions without foreign interference.
He pointed out that the financial system among BRICS members would lead to increased economic efficiency, reduced transaction costs, faster execution of these transactions, quick capital returns, and improved liquidity.
SWIFT is a financial messaging system that connects banks and other financial institutions worldwide, allowing secure information exchange about financial transactions between them. The headquarters of this network, which facilitates global financial transactions, is located in Belgium, but its board of directors comprises managers from American banks.
According to Pars Today, Washington has repeatedly used this system to pressure other countries in recent years. Therefore, due to the West's unreliable behavior, Russia and BRICS countries are working on establishing an alternative financial system to replace SWIFT.
Key phrases: SWIFT system, BRICS, the role of the dollar in the world, the dollar as a weapon for the US, the US and BRICS
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