Putin urges BRICS to explore BRICS Pay as alternative to SWIFT

Russia’s president asked BRICS members, including India, to consider a local-currency payment, depository and clearance system, alongside a reinsurance mechanism and grain exchange. The proposals remain future initiatives, but could eventually reshape cross-border settlement infrastructure.

— Source publishedSun, 13 Sept, 2026, 18:53 IST·First seen Sun, 13 Sept, 2026, 18:58 IST·Source The Hindu BusinessLine

What happened

Putin urged BRICS members, including India, to consider BRICS Pay, a payment, depository and clearance system using local currencies, alongside a reinsurance

Key facts

  • $1.2 trillion
  • $2.5 billion annually
  • 123 projects
  • nearly $40 billion
  • 49 per cent

What changed

Putin urged BRICS members, including India, to consider BRICS Pay, a payment, depository and clearance system using local currencies, alongside a reinsurance mechanism and grain exchange to reduce dependence on Western financial and commodity-market infrastructure.

Why this matters

Monitor BRICS Pay as a long-term option for reducing cross-border payment friction and currency-conversion exposure in BRICS markets, but treat it as non-operational for now.

What to watch

  • Formal BRICS agreement on governance, operating rules, capital structure, membership eligibility, and transaction standards for BRICS Pay.
  • Commitments from China, India, Brazil, Gulf members, or major state-owned banks to connect domestic payment systems or provide clearing liquidity.
  • Pilot volumes in trade-heavy corridors, especially China-Russia, India-Russia, China-Brazil, and Gulf-Asia commodity routes.
  • Creation of a BRICS clearinghouse, shared depository, settlement token, or multilateral FX liquidity facility.
  • Supplier contracts shifting from dollar invoicing to local currencies or offering discounts for non-dollar settlement.

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