The proposal remains in the preliminary discussion phase, with various technical frameworks under review to facilitate seamless monetary exchanges between Brazil, Russia, India, China, and South Africa. Malhotra emphasized that the push for interoperability aligns with broader efforts to internationalize the rupee and encourage the use of local currencies in international trade settlements.
BRICS Nations Evaluate Digital Payment Links to Slash Transaction Costs
Reserve Bank of India Governor Sanjay Malhotra confirmed that BRICS member states are actively exploring the integration of national fast payment systems and central bank digital currencies. This initiative aims to streamline cross-border financial transactions and significantly reduce the associated costs for participating economies as India prepares to host the 2026 summit.
Beyond payment infrastructure, the RBI is shifting its stance on emerging technologies within the banking sector. Addressing the integration of artificial intelligence, Malhotra urged Indian lenders to move beyond defensive containment strategies. He called for comprehensive audits of existing AI models and the implementation of robust, board-approved governance frameworks. While acknowledging global concerns regarding cyber risks and operational stability, the governor insisted that innovation and institutional safety must function as complementary pillars of a resilient financial architecture.
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