According to a report from the Revista Forum, India is set to put forward a policy at the BRICS summit to launch a new payment system similar to the Brazilian PIX for cross-border transactions among member nations. This will not be a common currency like the euro, but could mandate central banks to settle transactions directly with each other. The move will make the bloc no longer rely on the US dollar for trade and cross-border settlements.
“As India prepares to host the BRICS summit later this year, the focus will be on a payment system that connects national digital currencies,”stated the Asia Times.“At the summit, a crucial agenda item signals a potential shift. Developing a BRICS payment system based on interoperable central bank digital currencies (CBDCs).”If the payment system similar to PIX receives the nod, the US dollar will be in jeopardy.
For the uninitiated, the Brazilian PIX is a payment service launched by the central bank for real-time money transfers. It includes payments between companies and government entities within seconds using QR codes or identifiers called PIX Keys. The payments can also be transferred between people, bridging retail, businesses, and government entities together. India could pitch a similar PIX payment mode to BRICS nations, making business and government transactions easier.
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India will host the upcoming 2026 BRICS summit in New Delhi, and the schedule is yet to be finalized. The 11-member bloc will sit together at the table and discuss various financial matters that benefit the grouping and its respective nations. The summit will be closely watched by the West and the US, due to its multipolar financial nature. Trump had threatened the alliance with increased tariffs if they walked down the path of de-dollarization and sidelined the dollar.
Source: Watcher Guru
