World

The BRICS alliance isexploring the creation of an innovative currency, with plans to share proposals on its establishment at the forthcoming summit in South Africa, according to Alexander Babakov, deputy chairman of Russia'sparliament, the State Duma.

Speaking at the St. Petersburg International Economic Forum event in New Delhi, India,on Thursday, Babakov said that the plan is to initiallytransition tousing domestic currencies in transactions and then introduce and circulatea digital or alternative form of a groundbreaking currency in the near future.

Babakov anticipates thatthe BRICS leaderssummit will reveal a preparedness to implement this particular initiative, with work on the project ongoing, news agency Sputnik reported.

Babakov did not dismiss the potential emergence of a unified currency that could be used among theBRICS nations.

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Theproposed currency wouldbe backed not only by gold but also by other assets, includingrare-earth elements oreven land.

The BRICS association comprises the world's most prominent emerging economies, including Brazil, Russia, India, China, and South Africa.

Severalnations, such as Argentina, Iran, Indonesia, Turkey, Saudi Arabia, and Egypt, have expressed their intention to become part of this economic bloc.

The upcoming BRICS summit is scheduled for August 2023.

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