BRICS to Discuss Alternative Payment Platforms at Upcoming Summit

Russian Foreign Minister Sergey Lavrov announced that a report on alternative payment systems for BRICS nations will be presented at an upcoming summit in Kazan. The proposal, led by Brazilian President Lula da Silva, seeks to reduce reliance on traditional financial platforms. Lavrov emphasized the increasing use of national currencies in BRICS trade, particularly with China and India, and positioned the shift as part of a broader dedollarization trend, underlining the waning dominance of the U.S. dollar in global trade.

BRICS Nations Set to Discuss Alternative Payment Systems in Upcoming Summit

Russian Foreign Minister Sergey Lavrov reportedly said on Friday that a report outlining alternative payment systems for BRICS nations will be presented at the summit in Kazan that will take place from Oct. 22 to 24. The report, which aims to provide options for reducing reliance on traditional payment platforms, follows a proposal by Brazilian President Luiz Inacio Lula da Silva during the August 2023 BRICS summit.

Lavrov explained that “the order [on developing alternative payment systems] was recorded for the summit in Kazan, which will be held by Russian President Vladimir Putin,” Tass quoted him as saying. The Russian official noted that BRICS finance ministers and central banks are responsible for preparing the report. He detailed:

We must receive a report from the finance ministers and central banks of the BRICS member countries on how to create alternative payment platforms.

He also highlighted that Russia has significantly increased the use of national currencies in its trade relations with other countries. “With the People’s Republic of China, we carry out more than 90% of our trade in national currencies, without using the dollar. In trade relations with India, this figure reaches 60%,” he shared.

According to Lavrov, these initiatives are part of a larger trend towards dedollarization. He stressed that the U.S. dollar’s dominance is waning due to America’s economic policies, concluding:

We are beginning to switch to these forms of interaction with most countries. It is clear that the United States continues to print dollars and … continues its policy of economic pressure on other countries. But this era is already coming to an end.