NEW DELHI: BRICS countries have stepped up efforts to promote trade settlements and investments in local currencies, with the grouping’s finance ministers and central bank governors calling for practical solutions to facilitate cross-border payments while respecting national priorities.
BRICS Finance Ministers and Central Bank Governors said in a statement on Thursday that the BRICS Payment Task Force was studying the interoperability of cross-border payment and messaging channels and ways to promote trade settlements and investments using BRICS local currencies.
BRICS called for continued work on cross-border payment mechanisms to make payments among member countries faster, cheaper, more accessible, efficient, transparent and safe. The statement did not propose a common BRICS currency.
The push for local-currency settlements comes as BRICS members seek to strengthen financial cooperation amid rising trade fragmentation, protectionism and policy uncertainty. The finance chiefs also supported further technical discussions on settlement and depositary infrastructure. A workshop held during India’s BRICS chairship examined differences in legal, institutional, regulatory and technical frameworks governing settlement and depositary systems across member countries.
The statement also highlighted progress in customs cooperation, including convergence on a BRICS Customs Mutual Administrative Assistance Agreement. Members in a position to do so have given in-principle approval and expressed willingness to sign the agreement, subject to completion of domestic approval processes.