A year ago, the BRICS group seemed to be on the verge of a profound realignment of the global financial balance of power. With its expansion to 10 members (including the United Arab Emirates, Egypt, Ethiopia and Iran) and the potential entry of Saudi Arabia, ambitious plans sounded to dethrone the U.S. dollar once and for all. In Rio de Janeiro, Donald Trump 2.0's rhetoric about "economic warfare" with 100 % import tariffs fell silent faster than could be expected, Xi Jinping absent the summit and Putin hid behind a webcam. Still, the group is growing, and there has been hard work behind the scenes on alternatives to the current dollar-oriented system.
BRICS countries now represent over 40 % of global GDP in purchasing power parity versus 28 % for the G7 and are recording a collective growth rate of about 4 %, versus 3.3 % globally. Trade settlement in local currency increased from 65 % to about 90 % in two years. Their share in Swift payments also increased to 6.4 %, and in interbank settlements to 15 %. Technologically, to this was added the MBridge platform, developed by the Bank for International Settlements and now transferred to central banks, which reached the minimum viable product stage in mid-2024. Under Brazil's presidency, Brics Pay is expected later this year, with a processed speed of 20,000 messages per second more than forty times Swift's capacity.
Washington reacted violently. Immediately after his election, Trump demanded via his social media channel a binding commitment that no BRICS country would issue a new common currency or peg any other means of payment to an alternative reserve currency, under threat of 100 % import tariffs. This ultra-hard position shows how dollar hegemony acts as a geopolitical weapon. At the same time, China, Russia and their partners are diversifying their reserves. China has reduced its U.S. government bonds from over 1 trillion to about $700 billion, while Russia settles oil at huge discounts in rupees.
For Suriname, as a small open economy with a heavy reliance on dollar financing and imports, these developments present both risks and new opportunities. Now that it is established that geopolitics can determine the value of currencies, it pays to convert foreign exchange reserves partly into gold or partner country currencies. Bilateral barter already practiced by India and Russia could redeem exported commodities or future oil and gas revenues in alternative currencies starting in 2028, reducing vulnerability to dollar tariffs.
In addition, joining new infrastructures such as MBridge or Brics Pay can enable Surinamese banks to settle future international payments outside of Swift. A preliminary study of the technical and legal conditions for integration will accelerate participation once the systems go live. The concept of its own Central Bank Digital Currency (CBDC) also deserves exploration, with it the Central Bank of Suriname will increase its monetary sovereignty and be able to facilitate domestic payments more securely and cheaply.
BRICS' own path to a multipolar financial system is arduous and patient, but undeniably under construction. For Suriname, the key lies in combining these international trends with a tight, transparent and socially responsible domestic policy agenda. In this way, the country can no longer lean solely on the omnipotence of the dollar, but actively participate in building a more diversified monetary landscape.
