BRICS Cautious on De-dollarisation, Focusing on Payments Over Currency

The BRICS nations have cautiously approached de-dollarisation, focusing on interoperable payment systems and local currency settlements. A joint statement from their meeting emphasizes pragmatic solutions for efficient cross-border payments and voluntary cooperation.

The leaders of Iran and Russia advocate for reducing reliance on the US dollar due to vulnerabilities to political shocks and sanctions. Iranian President Masoud Pezeshkian argued that expanding the use of national currencies in trade among members is crucial, along with establishing instruments for managing currency risks.

Russian President Vladimir Putin also emphasized the need to build a 'new, sustainable platform for global growth' amidst attempts to restrict international trade through sanctions. The joint statement explicitly asks the New Development Bank to expand local-currency financing and diversify its funding sources.