• taanegl@lemmy.world
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    6 months ago

    As per the deal, 95 per cent of the $260 billion worth of trade will be settled in yuan.

    It’s like an economic visual of Putin’s balls in Xi Jinpeng’s grip. The other 5%? A blend of rubles and euros.

    In essence, BRICS is trying to make the yuan a world reserve currency. That’s how they’re going to “sanction proof” them selves, by leaning on Chinese economy, and tbh, since a crapton of manufacturing and fabrication already happens in China, it does make a lot of sense.

    Perhaps we’ll see the return of cold war era economic policies as a result. You can almost hear the liberals (neo or classical, take your pick - they both suck) begrudgingly press the button marked “Protectionism”.

    In any case, welcome to the CwaaS, or “Cold war as a Service”. Smack SWIFT and BRICS together, see what happens.

    • Buelldozer@lemmy.today
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      6 months ago

      since a crapton of manufacturing and fabrication already happens in China, it does make a lot of sense.

      Western manufacturing and fabrication is already pulling out of China; this action will accelerate that trend. It’s also a poor bet due to China’s slow motion demographic collapse.

      Frankly this could be implemented tomorrow and by the end of 2034 it would be dead; torn apart by internal conflict and China’s gradual economic decline.