Times of India·4 min read·medium

Local currencies, global trade & US sanctions: PM Modi, Putin & Pezeshkian send a message to Trump

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Local currencies, global trade & US sanctions: PM Modi, Putin & Pezeshkian send a message to Trump
AI Summary

Leaders from India, Russia, and Iran used the BRICS Business Forum to advocate for increased economic cooperation and the use of local currencies. The move signals a collective effort to challenge the global dominance of the US dollar and secure critical trade routes.

Why it matters

This reflects a growing geopolitical shift where emerging economies are actively seeking to bypass Western financial systems and US-led economic influence.

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Prime Minister Narendra Modi, Russian President Vladimir Putin and Iranian President Masoud Pezeshkian used the Brics Business Forum leaders’ session on Friday to push for greater economic cooperation, secure trade routes and wider use of local currencies. The remarks came against growing US criticism of Brics’ efforts to challenge dollar dominance, sending a clear message on the grouping’s ambition to strengthen alternatives to the existing global financial order.PM Modi stressed the importance of secure sea lanes and supply routes for global trade, saying India was a “staunch supporter” of freedom of navigation and the safety of seafarers. This comes amid disruptions in the supply route as Strait of Hormuz remains choked amid the ongoing tussle between US, Iran and Israel."Global trade progress is possible only when sea lanes are secure, supply routes remain open, and seafarers are safe.

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