The upcoming BRICS Summit in New Delhi will focus on local-currency trade and alternative cross-border payment mechanisms, but BRICS remains far from challenging the US dollar’s global role.
Pakistan’s formal application for BRICS membership has stalled, with India’s position identified as a key obstacle despite Pakistan’s outreach to Russia and China and its purchase of a stake in the BRICS-backed New Development Bank.
The BRICS Summit opened in New Delhi on Friday with extensive security measures at the summit venue, hotels, routes, and key sites.
BRICS negotiators are finalizing the Delhi Declaration ahead of the New Delhi summit, with one paragraph on the Iran war and attacks on the UAE still unresolved.
Pakistan’s application for BRICS membership remains stalled because India opposes it, despite backing from Russia and China, under the bloc’s consensus-based admission process.
At the 18th BRICS summit in New Delhi, Iranian President Masoud Pezeshkian called on BRICS to prevent obstruction of legitimate trade and deepen operational cooperation, including expanded use of national currencies.
Business leaders and global experts said India’s growth, entrepreneurship and digital infrastructure can deepen trade and investment cooperation with BRICS economies.
BRICS is promoting local-currency trade and interoperable payment systems, but not explicitly calling for de-dollarisation or a common currency. For India, rupee settlement may support exports and reduce dollar-sanction exposure, while trade imbalances and dollar dominance remain challenges.
India can show BRICS that not committing to power blocs may be a good idea in the long term
