Why China’s yuan is unlikely to see boost from Saudi entry to BRICS

News Snapshot:

April 28, 2023 As Saudi Arabia eyes entry into the BRICS group of nations, there are fears that the kingdom’s vast oil reserves alongside China’s economic power could be a blow to the US dollar. But past experiences in Pakistan, along with the yuan’s peg to the dollar, indicate these concerns may be overblown. Soon after Saudi Arabia formally joined the Shanghai Cooperation Organization (SCO) as a dialogue member in late March, it now appears Riyadh will be participating in the upcoming BRICS summit this August in an effort to formalize its inclusion in the economic bloc. Consisting of Brazil,...