Trump's threat "seems empty" as no serious proposal for BRICS to come up with alternative currency: Congress MP Shashi Tharoor

He said that there is no serious proposal for the BRICS to come up with an alternative currency to the dollar and called the dollar a "practical convenience" for most nations in the world.

On Trump threatening to impose tariffs on BRICS nations if they try to replace the US Dollar with any other currency, Shashi Tharoor said, "I heard this comment by President Trump. But, the fact is there is no serious proposal for the BRICS to come up with an alternative currency to the dollar. The dollar is a practical convenience for most countries in the world."

"There may have been some discussion, and we certainly have in the past had some examples of Rupee Rubel trade with Russia, Rupee Riyal trade with Iran, and so on. So, that's not impossible. An alternative international currency. I don't think there is any particular plan whatsoever to do that. And therefore, the threats of the president seems a bit empty because it's only if there is an actual proposal that comes up and that countries like India are taking forward seriously. I don't see any support in the Indian government for such a proposal. So, until that happens, why should we worry," he added.

Tharoor's remarks come after Donald Trump once again held out the threat of tariffs to BRICS nations if they try to replace the US Dollar with any other currency.

In a post on Truth Social, Trump wrote, "The idea that the BRICS Countries are trying to move away from the Dollar, while we stand by and watch, is OVER. We are going to require a commitment from these seemingly hostile Countries that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty US Dollar or, they will face 100 per cent Tariffs, and should expect to say goodbye to selling into the wonderful US Economy. They can go find another sucker Nation. There is no chance that BRICS will replace the US Dollar in International Trade, or anywhere else, and any Country that tries should say hello to Tariffs, and goodbye to America!"

Through this statement, Trump reiterated his position on de-dollarisation, warning that BRICS countries must commit to maintaining the US dollar's role in global trade or face economic consequences. Trump's remarks signal a firm stance against financial shifts that could challenge the US economy's influence in international trade.

During the signing ceremony at the Oval Office, Trump had directly warned BRICS countries against moving away from the dollar. Speaking on the matter, he said, "As a BRICS nation... they'll have a 100 per cent tariff if they so much as even think about doing what they thought, and therefore they'll give it up immediately."

He also rejected the idea that the US was in a vulnerable position, referencing a statement from former President Joe Biden. Trump insisted that the US holds leverage over BRICS countries, stating: "It's not even a threat. In fact, since I made that statement, Biden said, they have us over a barrel. I said, No, we have them over a barrel. And there's no way they're going to be able to do that."

Trump had made similar warnings before assuming office as the 47th President of the United States, stating that BRICS nations would face 100 per cent tariffs on imports to the US if they launched a new currency.

During the plenary session of the 15th BRICS Summit in 2023, Russian President Vladimir Putin called for de-dollarisation, stating that "BRICS countries must expand settlements in national currencies and enhance cooperation between banks."

In June 2024, BRICS foreign ministers met in Russia's Nizhny Novgorod, where they advocated for the "enhanced use of local currencies in bilateral and multilateral trades and financial transactions between the member countries." (ANI)