De-dollarization Takes Center Stage at BRICS Parliamentary Forum

Iran’s Parliament Speaker, Mohammad Baqer Qalibaf, highlighted the significance of a recent national currencies swap agreement between Tehran and Moscow as a successful example of cooperation aimed at reducing reliance on the US dollar.

On Thursday, Vyacheslav Volodin, Chairman of the Russian State Duma, emphasized the declining status of the dollar as a global reserve currency. Volodin noted that sovereign countries, particularly BRICS members, are shifting away from the "toxic" dollar to ensure their financial security, according to Tass news agency.

"Last year, the dollar's share in export-import transactions within BRICS was only 28.7%," Volodin stated. He highlighted that the US and Western nations have used the dollar and international payment systems as political tools, which has backfired.

"Washington and Brussels tried to halt the development of our countries with illegitimate sanctions and trade wars, but these efforts failed," Volodin said. "The United States lost its economic leadership, and attempts to weaken the European Union were ineffective."

Volodin also noted the growing number of BRICS members as evidence of a demand for a multipolar world order. "The increase in BRICS participants confirms the demand for a multipolar and fair world order," he said. "More countries are striving to strengthen their sovereignty and cultural identity, and this process is irreversible."

Iran’s Parliament Speaker, Mohammad Baqer Qalibaf, emphasized at the plenary meeting that de-dollarization would reduce US pressure on emerging economies. He cited the national currencies swap agreement between Tehran and Moscow as a successful example of cooperation in de-dollarization.

"The recent financial agreement between Iran and Russia is a successful example of cooperation in de-dollarization," Qalibaf stated.

Last week, Mohammadreza Farzin, Governor of the Central Bank of Iran, announced that the swap agreement allowing Iran and Russia to trade in local currencies was finalized.

Qalibaf urged BRICS parliaments to deepen cooperation in creating routes for money transfers and developing trade corridors for goods and services exchange.

He reiterated Iran's support for a multilateral world system and the importance of strengthening relations with BRICS countries.

"The current world system has failed to resolve regional and international disputes and end wars and inequalities," Qalibaf said. "Iran values strengthening relations with BRICS members and sees the BRICS Parliamentary Forum as crucial for developing international relations and establishing a new world order."

The 10th BRICS Parliamentary Forum began on Thursday at Tavrichesky Palace in St. Petersburg and will continue on Friday.

BRICS, initially formed by Brazil, Russia, India, China, and South Africa, represents about 40% of the global population and a quarter of the world's GDP. Iran officially joined BRICS this year, along with Egypt, Ethiopia, the UAE, and Saudi Arabia.

In a Telegram post, Volodin highlighted BRICS' growth into one of the world's largest economic centers over the past 15 years. "BRICS has become one of the largest economic centers, with members improving their positions despite challenges and sanctions," Volodin said. He pointed out that BRICS' share in global GDP on a purchasing power parity (PPP) basis has grown to 36.8%, surpassing the G7's 29%.

This year, Russia holds the rotating chairmanship of BRICS, with the main event being the BRICS summit scheduled for October 22-24 in Kazan.