BRICS countries should wean themselves off 'dollar needle' - UVZ general director
MOSCOW. June 19 (Interfax-AVN) - The New Development Bank being formed by BRICS (Brazil, Russia, India, China and South Africa) should try not to use U.S. dollars in its settlements, Oleg Siyenko, general director of Russia's major tank and railway car manufacturer Uralvagonzavod (UVZ; MOEX: UVZD), has said.
"The new bank's charter capital is dollar-denominated. But at some point in the future we ought to wean ourselves off this 'needle', and we should protect our resources, value our work and stop depending on relations between countries. If we want to achieve results and see our economies develop further, we need to switch to mutual settlements and create reserves of a currency that would allow us to freely pay for our commodities and raw materials," Siyenko was quoted as saying at a BRICS business forum by the UVZ press service.
A press release containing Siyenko's remarks was seen by Interfax-AVN on Friday.
The UVZ general director also attended a Russia-India investment forum, where he also raised the possibility of creating a single currency for BRICS, the press service said.
"I call on you, our Indian partners, to begin working in order to enable us, BRICS member countries, to eventually start to use a national currency in our settlements. I do not know whether it will be called BRICS or will have another name, but, believe me, this will help us gain independence and make a huge step, even an 'athletic leap' in our mutual relations," he said.
Siyenko also reiterated the importance of Russia and India switching to settlements in rubles and rupees, a measure which, according to Siyenko, will open up new opportunities for Russian and Indian banks.
"Sanctions exist. We understand that. But they [sanctions] are making us even stronger," he added.
tm