Russia’s President Vladimir Putin has confirmed that 35 new countries will participate in the upcoming BRICS summit. The 16th summit is scheduled to be held in the Kazan region of Russia from October 22 to 24. The nine-member alliance will discuss de-dollarization, rewrite trade policies, and prefer local currencies for cross-border transactions.

Also Read: BRICS Settle 65% Trade in Local Currencies & Not the US Dollar

Read here to learn how many sectors in the US will be affected if BRICS ditches the dollar for trade. Several developing countries are finding the de-dollarization initiatives lucrative, as using local currencies will boost their native economies. This development puts the US dollar on the path of decline, as ending reliance on the currency will lead to deficits.

Also Read: Donald Trump Makes Huge Announcement on BRICS De-Dollarization

BRICS 2024 Summit: 35 Countries Look to End Reliance on the US Dollar

The 35 emerging economies participating in the BRICS 2024 summit are ready to abandon the US dollar for trade. They plan to use native currencies for settlements and give a boost to their GDP and local businesses. The US pressing sanctions on Russia in 2022 for invading Ukraine ignited fear among developing countries that their economy could be under threat.

Also Read: BRICS Advances ‘Multicurrency System’ To Break US Dollar Dominance

Even US Treasury Secretary Janet Yellen revealed that the White House pressing sanctions led to de-dollarization among developing nations. BRICS members Russia and China took advantage of the situation and are convincing other countries to stop using the US dollar. Both Russia and China have already convinced several nations to join the de-dollarization bandwagon in the last two years.

Emerging economies are sitting on the sidelines and could participate in the initiative after the BRICS 2024 summit. This could put a strain on the US dollar as it could lose out in the global supply and demand dynamics. Therefore, the upcoming summit could decide the fate of the USD as emerging economies could begin cutting ties with it.