The global economy is in a state of flux and the U.S. dollar's role in it is undoubtedly important. Recent developments indicate that the dollar's strength appears to be declining, possibly due to misinformation about the so-called de-dollarization and the BRICS summit for the world's leading developing economies. De-dollarization refers to the process whereby countries move away from the dollar as the primary reserve currency. It has been discussed at times of great geopolitical tension like when Russia and China announced their plans to shift away from the dollar in 2015. Despite this, there is limited evidence that countries have actually re-allocated their funds away from the dollar. In fact, the dollar's share of global foreign exchange reserves – the world's most important store of value – is still around 57 percent.

These facts will be highlighted at the fifteenth BRICS summit in South Africa in August. The group comprises Brazil, Russia, India, China and South Africa so acts as a ‘mini-G7’ for the developing world. The gathering of these influential emerging economies will be expected to discuss de-dollarization and other international economic issues and one of them being the war between Russia and The Ukraine. While de-dollarization will not be a major talking point at the summit, the event will promote economic cooperation between the BRICS countries and highlight the concerns that countries outside the U.S. are feeling about the role of the American dollar.

The issue of de-dollarization is complex and it is still unclear if the dollar's dominance will begin to ebbing away over time. There is certainly an increasing amount of trade and investment between BRICS countries, especially in the form of loans and acquisitions denominated in Chinese Renmimbi, yuarn or the Brazilian Real. While this does not necessarily signal the end for the dollar, it is understandable why many are speculating if BRICS countries will begin switching away from the world's reserve currency.

In conclusion, the debate surrounding the Dollar’s dominance seems to be heating up, and it is worth keeping an eye on its progress over the coming year. The BRICS summit gives us an insight into how the developing world is starting to re-evaluate the role of the dollar and while it is too soon to tell if de-dollarization is actually taking place, it is possible that the dollar's importance will start to wane over time.