Abstract

The world is experiencing a growing trend toward moving away from the US dollar as the primary currency because of economic shocks and pandemic effects and escalating international conflicts. Multiple nations have started to use their own currencies for trade while diversifying their foreign reserves as a result of these developments. The document studies how the rising de-dollarization trend affects economic and trade connections between BRICS nations and Arab states. Several Arab states show interest in joining BRICS along with their existing trade connections which creates new opportunities to decrease their dependence on US dollar transactions. The BRICS New Development Bank (NDB) together with digital currencies and electronic payment systems play essential roles in this transition process. The study analyses de-dollarization drivers and the development of BRICS-Arab trade relations and CBDCs and BRICS PAY platforms for establishing a versatile global trade system.

Keywords: De-dollarization, BRICS, Arab States, Bilateral trade, Digital currency, CBDC, Multipolarity