The ongoing efforts and discussions reflect BRICS’ strategic move towards establishing a new economic reality, one that is less reliant on Western financial systems and more aligned with the economic interests and sovereignty of its member nations.
The BRICS economic bloc is actively considering Iran’s proposal to link the national payment systems of all member countries, as disclosed by Russian Deputy Foreign Minister Andrey Rudenko. This initiative aims to create a robust, sanctions-resistant financial infrastructure, boosting the bloc’s financial sovereignty. Discussions are focused on integrating financial markets, facilitating payments in national currencies, and developing new mechanisms for mutual financial settlements.
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In an interview with TASS, Rudenko highlighted Tehran’s suggestion, drawing parallels with the integration of Russia’s Mir and Iran’s Shetab electronic banking systems. He noted the proposal’s potential to establish a resilient and independent payment infrastructure, which could significantly enhance the financial autonomy of BRICS nations. Despite the ongoing deliberations, it is still premature to finalize any specific parameters.
Recent talks between the Central Bank of Iran Governor Mohammadreza Farzin and Bank of Russia Governor Elvira Nabiullina in St. Petersburg further underscored this collaborative effort. They focused on integrating the Mir and Shetab payment systems to facilitate trade using national currencies, thereby reducing reliance on the U.S. dollar and countering sanctions. The monetary contract signed on July 6 aims to bolster financial cooperation and economic resilience by promoting the use of local currencies in trade.
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Meanwhile, World Bank Executive Director for Russia, Roman Marshavin, projected that BRICS countries are poised to dominate the World Bank and the International Monetary Fund (IMF) due to inevitable macroeconomic and demographic shifts away from Western dominance. Marshavin emphasized the importance of patient, strategic efforts and cooperation with friendly nations to expedite this transition, resisting provocations from those supporting the existing global order.
Additionally, Alexander Babakov, Deputy Chairman of the Russian State Duma, stressed the necessity of developing a BRICS counterpart to the SWIFT messaging system. This new system would reduce dependence on Western financial institutions and streamline settlements outside the dollar-dominated framework. Babakov highlighted the benefits of a native banking interconnection system, which would not only facilitate trade but also provide high security and data protection to prevent cyber-attacks and unauthorized access to financial information.
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The ongoing efforts and discussions reflect BRICS’ strategic move towards establishing a new economic reality, one that is less reliant on Western financial systems and more aligned with the economic interests and sovereignty of its member nations.
