Russian President Vladimir Putin will host a summit of BRICS leaders next week, at which he will seek support in his standoff with the West from the expanded group that now represents about a third of global economic output.
Russia says the leaders of Brazil, India, China, South Africa, Egypt, Ethiopia, Iran and the United Arab Emirates will attend the event, and Saudi Arabia – which has been invited to attend – will be represented by its foreign minister. do.
Here are some of the proposals Moscow will put forward:
BRICS Cross-Border Payments Initiative
An alternative payment system in national BRICS currencies that would include a new messaging system and a network of national commercial banks linked to each other through the BRICS central banks, eliminating the need to exchange local currencies through US dollars. Will go.
The system will be immune to external pressure and will use blockchain technology to store and transfer digital tokens backed by national currencies, making it more secure and reducing transaction costs. Its purpose is to keep trade flows between member countries running smoothly even if one or more members are denied access to the international financial system.
brix clear
Russia says an international settlement and depository infrastructure will increase cross-border trading in national securities. The idea is to allow all members to retain full access to BRICS financial markets, even if they are cut off from Western financial infrastructure.
brix reinsurance
The proposal is to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and major commodities between members when Western reinsurance companies, which dominate international trade, refuse to provide their services.
The issue is particularly relevant for Russia as Western countries have imposed price caps on their oil from 2022, blocking access to Western shipping and insurance services if oil is sold at more than $60 a barrel. Is.
BRICS Contingent Reservation System
An international financial facility aimed at supporting member countries in times of economic crisis that will serve as an alternative to financing from the International Monetary Fund (IMF).
brix grain trading exchange
The proposal calls for the establishment of a trading platform for grains and other major commodities with an associated pricing agency that will provide price data and market analysis. Currently, international prices of major commodities are determined on Western markets.
Collaboration on credit rating
Improved communication and experience-sharing between credit rating agencies of member countries with the use of artificial intelligence to help eliminate human bias. The measure will protect BRICS markets from being slammed by Western credit rating agencies.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)