Latest news with #localcurrencies
Zawya
08-07-2025
- Business
- Zawya
Egypt calls for stronger central bank cooperation, local currency use at BRICS summit
Egypt called on BRICS nations to strengthen cooperation between their central banks and push forward with enabling financial settlements in local currencies, its prime minister said at a summit session in Rio de Janeiro. Speaking on behalf of President Abdel Fattah Al-Sisi, Prime Minister Mostafa Madbouly said the world was suffering from complex crises and a decline in multilateralism, and that BRICS countries should bolster their financial and economic ties to face these challenges. 'We must enhance cooperation between the central banks of the BRICS countries and advance our efforts in enabling financial settlements in local currencies, in line with the BRICS cross-border payments initiative,' Madbouly told a session titled 'Enhancing Multilateralism, Economic and Financial Affairs, and Artificial Intelligence.' Madbouly stated that the world is experiencing a decline in the effectiveness of the international system, while developing countries are suffering from rising debt service burdens, inflation, and difficulty in accessing concessional financing for infrastructure projects. 'This situation has been further complicated by geopolitical tensions and conflicts, especially in the Middle East, which has resulted in other challenges such as illegal immigration and the displacement of populations,' he said. Madbouly said that Egypt believes in the need to strengthen the multilateral system, with the United Nations at its core, and highlighted several priorities for the BRICS group. He noted that the development finance gap for developing countries has exceeded $4 trillion annually and stressed the role of the BRICS New Development Bank (NDB) in providing concessional financing, particularly in local currencies. The prime minister also emphasised the important role of the private sector and the need to enhance links between businesses in BRICS countries and partner nations to implement joint projects in energy, manufacturing, and agriculture. On technology, Madbouly said Egypt welcomed the Brazilian presidency's efforts in drafting the 'BRICS Leaders' Declaration on Global Governance of Artificial Intelligence,' calling it a solid foundation for cooperation. He said BRICS nations need to formulate an effective roadmap for knowledge and technology transfer, as well as capacity building in advanced and emerging technologies, especially AI. In his closing remarks, the prime minister reiterated Egypt's full commitment to enhancing joint cooperation with BRICS member states to achieve their common goals.
Free Malaysia Today
06-07-2025
- Business
- Free Malaysia Today
Asean trying to avoid using US dollar in trade, says Anwar
Prime Minister Anwar Ibrahim speaking at a BRICS forum in Rio de Janeiro, Brazil, today. (Bernama pic) KUALA LUMPUR : Asean has increased the use of local currencies in trade as a concrete way toward a more stable financial system free of unilateral domination, Prime Minister Anwar Ibrahim said today. Speaking at a forum of the BRICS grouping of developing economies, he said: 'Of course, we are not talking about de-dollarisation yet, that's still a long way to go. But at least we are trying. Malaysia, together with Indonesia, Thailand, and China, we are beginning to use our currencies, even if it starts with just 10% or 20% of the trade volume.' 'It makes a difference because we cannot keep complaining without executing our plans, both among ourselves and with our friendly neighbours,' he said at a business forum in Rio De Janeiro, Brazil, where he is attending a summit meeting of the BRICS grouping of developing economies. 'I believe that this attempt by BRICS will be of some significant success that would alter and cause a change in the course of the history of mankind. We often discuss similar issues within Asean. We must be cohesive and speak as one based on multilateral arrangements,' said Anwar. The prime minister said members of BRICS and Asean must continue to strengthen strategic cooperation, including enhancing cross-regional trade and investment for the shared benefit of developing countries. Anwar said emerging economies are gaining strength in areas such as aviation, technology, artificial intelligence and food innovation. The prime minister also called for an increase in trade among BRICS members and for the grouping to emerge as a strong and principled force in shaping a more balanced and just international order. Lamenting unilateral tariff measures and protectionist policies, Anwar expressed confidence that BRICS, whose members today account for nearly 40% of the global economy, holds vast potential to boost trade within the informal grouping. 'With that collective strength, we can engage the world safely, fairly, and justly, negotiating on equal terms with all partners in the multilateral system,' he said. He further emphasised the need for reform of international institutions, from the United Nations to the World Trade Organisation, the International Monetary Fund and the World Bank, 'towards a more democratic and just multilateral order'. Anwar said developing countries should no longer be regarded as peripheral players in the global system. 'We are not merely heirs of post-colonial history. We have now risen as a dignified force with our strengths in technology, trade, leadership, and the moral voice of the world,' he said. The BRICS group was initially established by Brazil, Russia, India and China, and later expanded to include South Africa, Egypt, Ethiopia, Iran, Saudi Arabia, the United Arab Emirates and Indonesia. Malaysia, Belarus, Bolivia, Kazakhstan, Cuba, Nigeria, Thailand, Vietnam, Uganda, and Uzbekistan have now been accepted as BRICS partner countries.
Zawya
03-06-2025
- Business
- Zawya
CBUAE and CBK sign MoUs to promote domestic currency usage and interlink payment and messaging systems
Abu Dhabi: His Excellency Khaled Mohamed Balama, Governor of the Central Bank of the UAE (CBUAE), and His Excellency Dr. Kamau Thugge, Governor of the Central Bank of Kenya (CBK), have signed Memoranda of Understanding (MoUs) to establish a framework supporting the use of local currencies in settling cross-border transactions and interlinking their payment and messaging systems. The signing ceremony was attended by the Assistant Governors of CBUAE and senior officials from both entities. Under the first MoU, the CBUAE and the CBK will strengthen cooperation between the United Arab Emirates and the Republic of Kenya to support the sustainable development of both financial markets. This agreement will also encourage the use of local currencies in settling cross-border commercial transactions. Under the second MoU, both parties will cooperate on payment systems by exploring opportunities of interlinking instant payment systems and national card switches, in compliance with the regulatory and supervisory frameworks. His Excellency Khaled Mohamed Balama, Governor of the CBUAE, said: 'The signing of these two MoUs reflects strong economic ties between the UAE and the Republic of Kenya. The use of local currencies in settling cross-border transactions, coupled with cooperation in linking instant payment systems, will broaden investment and commercial opportunities for both nations. This initiative paves the way for greater collaboration in the financial and banking sectors, and we look forward to working closely with our partners in Kenya to strengthen financial stability and achieve our mutual interests.' His Excellency Dr. Kamau Thugge, Governor of the CBK, said: 'The economic and cultural links between Kenya and the United Arab Emirates go back many decades. Our two peoples have always traded between themselves, and this has only strengthened in recent years. These two memoranda of understanding will help to further cement these ties, and ensure that our two countries forge ever-closer links in the financial and banking sectors in a scalable and sustainable manner. Settlement of transactions in our two respective currencies will speed up trade and lower the cost of transactions, yielding greater efficiencies in cross-border payments. Additionally, the rapid evolution of payment technology, in which Kenya has been a global leader, will also be enhanced by the interlinking of our two countries' payment systems. This cooperation will yield tangible benefits for both our citizens and investors in the two countries.'
Yahoo
23-05-2025
- Business
- Yahoo
Exclusive-Taliban in talks with Russia, China for trade transactions in local currencies
By Mohammad Yunus Yawar and Charlotte Greenfield KABUL (Reuters) - The Taliban administration is in advanced talks with Russia for banks from both sanctions-hit economies to settle trade transactions worth hundreds of millions of dollars in their local currencies, Afghanistan's acting commerce minister said. The Afghan government has made similar proposals to China, the minister, Haji Nooruddin Azizi, told Reuters on Thursday. Some discussions have been held with the Chinese embassy in Kabul, he said. The proposal with Russia, Azizi said, was being worked on by technical teams from the two countries. The move comes as Moscow focuses on using national currencies to shift reliance away from the dollar and as Afghanistan faces a stark drop in the U.S. currency entering the country due to aid cuts. "We are currently engaged in specialised discussions on this matter, considering the regional and global economic perspectives, sanctions, and the challenges Afghanistan is currently facing, as well as those Russia is dealing with. Technical discussions are underway," Azizi said in an interview at his office in Kabul. The Chinese foreign ministry and the Russian central bank did not immediately respond to requests for comment. Azizi added that annual bilateral trade between Russia and Afghanistan was currently around $300 million and that was likely to grow substantially as the two sides boost investment. His administration expected Afghanistan to buy more petroleum products and plastics from Russia, he said. "I am confident that this is a very good can use this option for benefit and interests of our people and our country,' Azizi said. "We want to take steps in this area with China as well," he said, adding Afghanistan had around $1 billion in trade with China each year. "A working team composed of members from the (Afghan) Ministry of Commerce and the Chinese embassy which is an authorized body representing China in economic programmes has been formed, and talks are ongoing." Afghanistan's financial sector has been largely cut off from the global banking system due to sanctions placed on some leaders of the ruling Taliban, which took over the country in 2021 as foreign forces withdrew. Rivalry with China and fallout from Russia's war in Ukraine have put the dollar's status as the world's dominant currency under fresh scrutiny in recent years. In December, Russian President Vladimir Putin questioned the need to hold state reserves in foreign currencies since they could easily be confiscated for political reasons, saying that domestic investment of such reserves was more attractive. The dollar has had a lock on commodity trading, allowing Washington to hinder market access for producer nations from Russia to Venezuela and Iran. Afghanistan since 2022 has imported gas, oil and wheat from Russia, the first major economic deal after the Taliban returned to power facing international isolation following 20 years of war against U.S.-led forces. Billions of dollars in cuts to aid to Afghanistan, accelerated this year by the United States, have meant far fewer dollars, which are flown in cash for humanitarian operations, are entering the country. Development agencies and economists say the Afghani currency has so far remained relatively stable but may face challenges in future. Azizi said that the stability of the currency and his administration's efforts to boost international investment including with the Afghan diaspora, would prevent a shortage of U.S. dollars in the country. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
