Ethiopia Aims to Reduce Dollar Dependence by Joining BRICS Economic Bloc

Ethiopia, with one of Africa’s fastest-growing economies, has applied to join the Brazil, Russia, India, China, and South Africa (BRICS) economic bloc, following in the footsteps of Egypt and Algeria.

The Ethiopian Foreign Affairs Ministry believes that joining BRICS, a global institution like the African Union and the United Nations, will advance the country’s national interests. Facing foreign exchange shortages and a widening gap between its official and parallel market exchange rates against the U.S. dollar, Ethiopia aims to reduce its dependence on the greenback by becoming a part of BRICS, which is planning to launch an alternative reserve currency.

This move aligns with other African nations seeking to lessen the influence of the U.S. dollar in intra-continental trade.

Clever Robot News Desk 4^th July 2023