Modern diplomacy said that the BRICS common currency and the new payment system to replace SWIFT will likely be introduced at the BRICS summit in Kazan, Tatarstan, Russia next October.
In an effort to determine a common determination to achieve these economic policy goals, BRICS has widely reviewed for many months the effectiveness and importance of newly designed mechanisms and a balanced approach to the Western-dominated US dollar system.
Strictly following the guidelines and resolutions adopted at the 15th BRICS Summit in South Africa, a number of initiatives under Russia have made significant progress and achievements.
The proposal of a common BRICS payment system will be the main topic of discussion at the upcoming summit, which will be the final event during Russia's BRICS presidency, said Viktoria Panova, head of an expert panel tasked with supervising Russia's presidency.
"Active efforts are being made to create a financial payment mechanism to make cooperation between BRICS countries easier, and maintain their sovereign trade and economic exchanges. This issue is at the top of the agenda because every member of the group considers it important" - expert Viktoria Panova said.
In late July, it was reported that BRICS members had developed a system similar to SWIFT, an international payment system that Russia had been disconnected from after conducting a military campaign in Ukraine. This mechanism will operate on the basis of the BRICS Bridge supernational payment platform.
Payments will be made in the national currencies of BRICS countries, while the New Development Bank (NDB) will act as a platform for integration, conversion and clearing payments.
As the BRICS continues to challenge the dominance of the US dollar in the global market, creating a payment system has become a top priority, this financial project is aiming to launch at the upcoming summit in 2024.
The new system would allow developing countries, especially in the Southern Hemisphere, to reduce their dependence on the US dollar while promoting the use of their own national currencies for trade payments.
The New Development Bank (NDB) was established by BRICS members in 2015 as an alternative to multilateral financial institutions, and has now welcomed four member states: Bangladesh, the United Arab Emirates (UAE), Uruguay and Egypt.
The NDB's founding members are BRICS founding members Brazil, Russia, India, China and South Africa.
