Egypt is expected to discuss promotion of bilateral trade in local currencies with BRICS countries in the upcoming meeting in Kazan, Russia.
The 2024 BRICS summit will be held from Oct 22 to 24, which is the first gathering since the group's expansion in January this year when Iran, Egypt, Ethiopia, Saudi Arabia and the United Arab Emirates joined the initial five members of Brazil, Russia, India, China and South Africa.
After Egypt officially joined BRICS, one of its main targets has been to support members' drive for de-dollarization.
Some in the Egyptian business community have welcomed the move to reduce dependence on the U.S. dollar.
"One of the main obstacles we face in trade is the lack of access to U.S. dollars. Using local currencies will ease the process for us when we trade with other countries," said Ahmed al Zayat, member of Egyptian Businessmen Association.
The central banks of China and Egypt had signed a currency swap agreement totaling 18 billion yuan (about 2.57 billion U.S. dollars). Egypt also inked similar deals with other countries.
"Besides Egypt, many countries are beginning to use local currencies. You can't completely eradicate dollars but they should not be the main currency of trade. In 2022, to reduce dependence on dollars, the Egyptian central bank became the top gold buyer worldwide to replace dollars with gold," said Assem Mansour, head of Market Research Department, EW Markets.
Trade with BRICS members accounts for about a third of Egypt's total trade at over 31 billion U.S. dollars. Currency swap deals are set to foster trade and investment ties even further.
Agreements with China and other BRICS nations are considered by Egypt as the first step of a long term strategy to gradually remove the U.S. dollar from most of its trade transactions worldwide.
Egypt to discuss promotion of bilateral trade in local currencies with BRICS countries
Egypt to discuss promotion of bilateral trade in local currencies with BRICS countries
【导语】 国际人士表示，习近平主席在二十国集团领导人第十九次峰会上发表的重要讲话就推动全球发展、完善全球治理提出一系列切实举措，进一步凝聚国际共识，促进各国携手推动世界发展和新目标的达成 International leaders and analysts expressed strong support for Chinese President Xi Jinping's recent speeches at the 19th G20 summit, highlighting his proposals for enhancing global development and governance.
At Session I of the 19th G20 Summit on Fight Against Hunger and Poverty held in Rio de Janeiro on Monday, Xi said that China is ready to work with all parties to build a just world of common development, and outlined China's eight actions for global development.
Canadian economist Mark Kruger noted that the eight actions, such as providing zero-tariff treatment for products from least developed countries that have diplomatic relations with China and supporting the G20 in promoting cooperation to benefit the Global South, are pivotal for addressing global poverty and combating climate change, which are among the top priorities of the G20.
【同期】加拿大经济学家柯马克 "I think it's very good that President Xi has come up with these eight actions, because they can enable China to position itself as a country who is interested in rules-based trade and investment, sustainable development and international cooperation. All climate change and the poverty reduction practical steps that President Xi has taken among his eight actions can do a lot to help global poverty. In Peru, we now see this opening of the port of Chancay. And the Peruvian officials say that this port, which was part of the Belt and Road Initiative and which was created with Chinese investment, will turn Peru into the Singapore of south America. China is supporting the G20 road map to increase investment in clean energy in developing countries. And the investment that China has made in wind power and solar power have drastically reduced the cost of these technologies, making them competitive now with fossil fuels and making it much easier for developing countries to embrace these technologies," he said.
In his speech, Xi stressed the importance of increased resources in trade, investment and development cooperation, and the strengthening of development institutions. He called for more bridges of cooperation, and less "small yard, high fence" to improve living standards and modernization in developing countries.
Gustavo Girado, director of the Center for Sino-Latin American Research Studies in Argentina, expressed his admiration for Xi's metaphor.
【同期】阿根廷中拉研究中心主任古斯塔沃·吉拉多 在我看来 习主席的讲话已经指明了世界从现在起应努力的方向。因此 发展中经济体应该认识到，中国已成为在全球事务中维护他们利益的“代言人”。习近平主席曾多次提到“小院高墙”这个形象的比喻，这表明了这些“高墙”对于发展中经济体发展进步造成的困难性，习主席通过这一比喻，号召发展中经济体团结起来找到共赢的合作机制，寻求共同的后盾就能在谈判体系中拥有更大的政治力量，在发达经济体面前发出共同的声音，克服阻碍我们进步的“高墙” "In my view, President Xi's speech has pointed out the direction the world should strive for from now on. Therefore, developing economies should recognize that China has become their advocate in global affairs. Xi's repeated use of the metaphor 'small yard, high fence' illustrates the difficulties these fences pose for the progress of developing economies. Through this metaphor, President Xi calls for solidarity among developing economies to find win-win cooperation mechanisms, to seek a common backing to gain greater political power in negotiations, to speak with a common voice in front of the developed economies, and overcome the 'high fences' that impede our progress," Giraldo said.
At Session II of the 19th G20 Summit on Monday, Xi called for building a world economy characterized by cooperation, stability, openness, innovation, and eco-friendliness, which is believed to show China's strong will to help foster a fair and reasonable global governance system.
【同期】巴西里约天主教大学校长安德森Anderson Pedroso 习主席的讲话 表明了中国致力于建设开放型和合作型世界经济的立场，这样的表态积极正面，因为我们生活在一个全球化时代，所有国家相互依存并基于共识来搭建桥梁，这一讲话涉及到经济金融贸易以及生态环境等多个重要方面，发出的呼吁旨在推动达成国际共识，如今中国拥有全球影响力，与很多国家在多个领域达成了战略合作关系 "Xi's remarks reflect China's commitment to building a world economy characterized by cooperation and openness. This statement is positive and proactive. We live in a globalized world where all countries are interdependent and build bridges based on consensus. The speech covers many important aspects, including economic, financial, trade, and ecological issues, with a call to promote international consensus. Today, China holds global influence and has reached strategic cooperation with many countries in various fields," said Anderson Pedroso, president of the Pontifical Catholic University of Rio de Janeiro.
Saudi political commentator Khalid noted that Xi's address articulated China's vision, particularly regarding global financial governance reform. He stressed the need for increased representation of developing countries in international organizations like the World Bank and the International Monetary Fund (IMF).
【同期】沙特学者政治评论员哈利德11.19 沙特 我们有很多发展中国家和一些发达国家。发达国家需要关注帮助发展中国家。发展中国家需要在国际组织中增强话语权。世界银行 国际货币基金组织 和所有国际组织应该公平无歧视地向世界上所有国家和所有国家人民提供服务 但是现在我们发现 世界南北差异显著 ，现行的国际制度和体系加深了这种差异 "There are many developing countries, as well as developed ones. Developed nations need to pay more attention to helping developing countries, which in turn need to enhance their voice in international organizations. The World Bank, IMF, and all other international organizations should provide services fairly and without discrimination to all nations and their people. However, we currently see significant disparities between the Global South and North, with existing international systems exacerbating this divide," Khalid said.
Vitaly Mankevich, president of the Russian-Asian Union of Industrialists and Entrepreneurs, asserted that under Xi's proposed concepts and initiatives, China will continue to play a leading role in global development, driving the shared progress of partner countries.
【同期】俄罗斯亚洲工业家与企业家联合会主席维塔利·曼科维奇 我们认为，中国将继续承担全球经济火车头的角色。习近平主席提出的一带一路倡议基于全球发展的考量，旨在与邻国及伙伴国家开展基础设施建设合作，发展同发展中国家的免关税贸易，特别是在同非洲国家的贸易中。这说明，每个伙伴都可以从对华合作中得到好处，并使本国商品进入中国市场。在习近平主席提出的人类命运共同体理念中，最重要的概念是人。人将推动世界发展，人将促进新目标的达成。在这一过程中，中国是全球的焦点。 "We believe that China will continue to be the locomotive of the global economy. President Xi's Belt and Road Initiative is based on global developmental considerations, aiming to cooperate on infrastructure projects with neighboring and partner countries and to develop tariff-free trade with developing nations, especially in trade with African countries. This illustrates that every partner can benefit from cooperation with China and gain access to the Chinese market. The most important concept in Xi's vision of a community with a shared future for mankind is the people. People will drive global development and facilitate the achievement of new goals. In this process, China is the focal point of the world," Mankevich said.
Global observers praise Xi Jinping's G20 speech on global development
