BRICS Begins Creation of New Digital Payment Platform

Russia’s Finance Ministry along with the Central Bank of Russia will propose several new financial initiatives to BRICS. The proposal aims to improvise and change the international monetary and global financial system as we know it. Russia will particularly focus on creating a new digital BRICS Bridge payment platform which will be a multisided option to the US dollar. The development is currently in draft and could be proposed at the next summit in October 2024.

Also Read: 25 Countries On The Waitlist To Join BRICS

The proposal will not only create a new BRICS digital platform but will also contain a set of financial initiatives and recommendations. The multisided digital payment platform aims to grow as an alternative settlement without the need for the US dollar. Russia will take the first step of de-dollarization by convincing the bloc to accept a new BRICS Bridge payment platform.

Read here to know how many sectors in the US will be affected if BRICS ditches the dollar for trade. The US dollar will have a hard time sustaining its dominancy as developing countries are ending reliance on the currency.

Also Read: BRICS To Take Loans in Chinese Yuan, Ditch US Dollar

BRICS: A New Digital Payment Platform On the Cards

The Russian Finance Ministry and the Bank of Russia confirmed that a BRICS Bridge payment platform is on the cards. The development could see the light by the end of this year in 2024.

Also Read: BRICS to Launch a Single Currency Similar to Euro?

“By the end of the year, the Russian Finance Ministry and Bank of Russia will draft a report for BRICS”. The draft will talk about “improving the international monetary and financial system which will contain a set of initiatives and recommendations”.

“Developmental work based on the report will result in a number of practical initiatives. With the BRICS Bridge platform potentially becoming one of them. The issue is about creating a multisided digital payment platform. It will help bring the financial markets of the BRICS member states closer and increase mutual trade turnover,” said the Ministry.