Speaking at the Doha Forum, India’s External Affairs Minister, Dr. S. Jaishankar, emphasized that India has no interest in undermining the US dollar.
Mr. Jaishankar was responding to the recent threats from US President-elect Donald Trump, who warned of imposing 100% tariffs on BRICS nations if they move towards de-dollarization or attempt to replace the dollar with another currency.
Minister Jaishankar clarified India’s position amidst discussions on the economic policies within the BRICS framework. ‘India has never been for de-dollarization. Right now, there is no proposal to have a BRICS currency,’ Jaishankar stated at the forum, underlining that the United States remains India’s largest trading partner. He added, ‘We have no interest in weakening the dollar at all,’ highlighting the strategic and economic ties between India and the US.
This declaration by Mr. Jaishankar is significant, especially in the context of ongoing global economic reconfigurations where countries are exploring alternatives to the US dollar for trade. The External Affairs Minister’s comments are seen as an effort to dispel misconceptions and clarify India’s stance after some reports suggested that India was moving away from dollar-centric transactions.
The minister also reflected on the personal relationship between Prime Minister Narendra Modi and President-elect Trump, attributing it to the strengthening of ties between the two countries during the first Trump administration. He reminded the audience of the revival of the QUAD (Quadrilateral Security Dialogue) during Trump’s tenure as an example of positive collaboration.
Mr. Jaishankar’s remarks also come at a time when there’s a growing conversation within BRICS about using local currencies for trade to reduce dependency on the dollar, but he made it clear that these discussions do not equate to an intent to weaken the US currency. Instead, he pointed out that India is focusing on finding ways to facilitate trade with partners facing dollar shortages without any aggressive policy against the dollar.