A China-led regional organization that covers more than half of Eurasia intends to transition to settlements in the currencies of its members. While the plan is to abandon the U.S. dollar in mutual payments, participating nations are yet to consider a common currency.The Shanghai Cooperation Organization is preparing to move away from the U.S. dollar and switch to settlements in the national currencies of its member states.
“The process is far from simple because, unfortunately, the dollar as a world reserve currency is too deeply embedded, including in national currency systems,” Logvinov remarked. To completely abandon the dollar, “there is still a lot to be done and quite a long way to go,” he elaborated.
China, Russia, India, Pakistan, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan hold full membership at the moment while over a dozen other countries, including Iran,Despite the planned departure from dollar settlements, the introduction of a single currency is not yet being considered by SCO members, Grigory Logvinov noted. “As for the introduction of some kind of single SCO currency, this is not yet the case, and such a goal has not yet been set,” he explained.