Politics · India Bureau
India pushes BRICS to adopt local currencies, strengthen payment ties
India's commerce minister has called for BRICS nations to conduct mutual trade in local currencies and establish linked payment systems to reduce dependency on traditional global financial channels. The push also seeks to simplify market access and deepen cooperation in digital trade and critical minerals.
LSN India ·
India is advocating for a significant shift in how BRICS member nations conduct commerce with each other, urging the bloc to move away from dollar-based transactions and establish interconnected payment infrastructure using local currencies.
Commerce Minister Piyush Goyal outlined the proposal as part of a broader agenda to strengthen economic ties within the five-nation grouping, which also includes Brazil, Russia, China and South Africa. The move would reduce reliance on conventional international settlement mechanisms and facilitate smoother cross-border transactions among member states.
Beyond currency measures, Goyal emphasized the need for BRICS nations to streamline regulatory procedures and remove barriers to market access for each other's goods and services. He highlighted digital trade, critical minerals sourcing, and the development of resilient supply chains as priority areas requiring deeper multilateral cooperation.
The initiatives align with India's broader economic strategy to strengthen South-South cooperation and reduce the bloc's vulnerability to external economic pressures. The proposals are expected to be discussed at upcoming BRICS forums as the grouping seeks to enhance its collective economic influence and self-sufficiency.