India has called on BRICS member and partner countries to strengthen economic cooperation by promoting trade in local currencies, linking payment systems and building more resilient supply chains amid growing global economic uncertainty.

External Affairs Minister S. Jaishankar, addressing the BRICS Business Forum in New Delhi, said the grouping needs greater economic resilience while remaining connected to global markets. He said the international political and economic environment is undergoing significant changes, with geopolitical conflicts, pandemics and climate-related disruptions contributing to increased uncertainty.

Jaishankar stressed the importance of strengthening the ability of BRICS economies to withstand external economic shocks while maintaining competitiveness and connectivity. He highlighted reliable logistics, predictable business conditions, diversified commercial relationships and transparent trade and investment practices as key components of economic resilience.

The minister also identified digital public infrastructure, artificial intelligence, financial technology and advanced manufacturing as areas where BRICS countries could expand cooperation.

India Advocates Trade in Local Currencies

Commerce and Industry Minister Piyush Goyal also urged BRICS countries and partner nations to increase the use of national currencies for international trade and explore ways to connect their payment systems.

Goyal said stronger payment connectivity could make cross-border transactions faster and more efficient while reducing dependence on traditional international payment arrangements. He highlighted India’s Unified Payments Interface (UPI) as an example of digital payment infrastructure that could contribute to greater financial connectivity among BRICS economies.

Goyal called for BRICS members to explore linking their payment systems, increasing trade settlements in national currencies and expanding digital commerce.

The proposal comes as BRICS countries seek to deepen financial and economic cooperation at a time of heightened geopolitical tensions and global economic uncertainty.

Focus on Stronger Supply Chains

Goyal also called for greater market access among BRICS countries, particularly in areas involving raw materials and critical minerals.

He said supply chains could become more resilient if countries increased two-way trade and reduced excessive dependence on a limited number of suppliers. Simplifying regulations, speeding up customs procedures and reducing unnecessary trade barriers could help lower the cost of international commerce.

The minister also highlighted the services sector and called for greater movement of professionals between BRICS economies. Cooperation on professional qualifications could make it easier for skilled workers to provide services across member countries.

Agriculture and food security were also discussed. Goyal encouraged BRICS nations to support agricultural technology startups and work together on technological solutions that could benefit farmers.

Russia Proposes BRICS Grain Exchange

Russia has also proposed creating a BRICS grain exchange as part of efforts to strengthen agricultural cooperation within the grouping.

Russian Economic Development Minister Maxim Reshetnikov said Russia has significantly increased the use of national currencies for international trade. He noted that the share of the US dollar and euro in Russian export settlements has fallen sharply in recent years.

Reshetnikov argued that a BRICS grain exchange could improve food security and provide member countries with an additional mechanism for agricultural trade.

The proposal is significant because BRICS countries include some of the world’s major agricultural producers and consumers. A dedicated trading mechanism could potentially increase cooperation in grain markets and strengthen food-security arrangements among participating countries.

Digital Payments Become a Key Area

India’s push for local-currency trade is closely connected to its broader emphasis on digital financial infrastructure.

The country has promoted UPI as an example of how technology can make payments quicker, cheaper and more accessible. India has encouraged BRICS members to explore greater interoperability between national payment systems.

Improved payment connectivity could make it easier for businesses to conduct cross-border transactions without relying entirely on traditional financial channels.

However, developing such systems across multiple countries would require significant coordination. Differences in financial regulations, banking infrastructure, currency arrangements, data protection rules and payment technologies could present challenges.

India Seeks Deeper BRICS Economic Cooperation

India’s proposal is part of a wider effort to expand economic cooperation within BRICS.

The grouping has increasingly discussed ways to improve cross-border payments, strengthen financial cooperation, expand trade and build more resilient supply chains.

Greater use of local currencies could give member countries additional options for settling international transactions. It could also reduce exposure to fluctuations and disruptions in traditional international payment systems.

However, local-currency trade is unlikely to immediately replace the US dollar’s dominant role in global commerce. Instead, the immediate objective is to create additional mechanisms that allow BRICS countries to conduct more trade using their own currencies.

India’s approach also focuses on practical economic cooperation rather than simply creating an alternative financial system. Improving payment connectivity, expanding market access, strengthening supply chains and encouraging digital trade could provide tangible benefits to businesses across BRICS economies.

As the grouping continues to expand its economic agenda, discussions over local currencies, digital payments, critical minerals, agriculture, technology and supply-chain resilience are expected to remain important areas of cooperation.