India’s Tightrope Walk on BRICS Finance

Source: Business Standard | Original Published At: 2026-09-04 17:08:02 UTC

Key Points

• The BRICS summit scheduled for September 12-13 in New Delhi will test India's ability to navigate cross-border payment initiatives and currency arrangements among BRICS members.
• India's central bank says cross-border payments are an area of interest for BRICS, with options under discussion including central bank digital currencies and linkages to fast payment systems.
• India has promoted a NEXUS-like instant payment network for BRICS while seeking to avoid dependence on the China-led mBridge CBDC project.
• mBridge links central bank digital currencies of China, Hong Kong, Malaysia, Thailand, the United Arab Emirates, and Saudi Arabia, and its commercial launch is reported to be imminent.
• China's Cross-Border Interbank Payment System is described as an alternative to SWIFT that supports yuan settlement and is used heavily by Russia and Iran.
• China is also expanding yuan-denominated gold settlement and offshore gold vault arrangements, which could indirectly support the international use of the yuan.
• The global financial system is moving toward multiple currencies and parallel payment systems, while the dollar retains an edge due to the depth of U.S. financial markets.