Kganyago highlights limitations, central bank debate as BRICS mulls common currency | Business

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South African Reserve Bank Governor Lesetja Kganyago said a single BRICS currency would spur other debates about the creation of a single central bank and where it would be situated. | News24_Business

The BRICS group of nations will discuss the feasibility of introducing a common currency, according to Minister of International Relations and Cooperation Naledi Pandor.South African Reserve Bank Governor Lesetja Kganyago said a single BRICS currency would For more financial news, go to the The BRICS group of nations will discuss the feasibility of introducing a common currency, according to the foreign minister of South Africa, which is preparing to host a summit of the bloc’s leaders.

One option is for the BRICS bloc — which comprises Brazil, Russia, India, China and South Africa — to adopt their own unit. The issue is likely be on the agenda of a meeting of the nations’ heads of state in Johannesburg on Aug. 22. BRICS represents more than 40% of the world’s population and almost a third of global economic output, making it one of the world’s most important economic blocs. Several other nations, including Saudi Arabia and Iran, have expressed an interest in joining its ranks.

Any move toward the creation of a single form of legal tender would spur other debates about the creation of a single central bank and where it would be situated, said South African Reserve Bank Governor Lesetja Kganyago.

 

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