BRICS Nations Commit to Local Currency Growth for Economic Stability

BRICS leaders, in the Kazan Declaration, affirmed their dedication to fortifying financial cooperation and expanding local currency use to enhance economic stability. They stressed the need to reform the international financial architecture and welcomed the BRICS Interbank Cooperation Mechanism to explore innovative financial practices for development.

At the conclusion of the BRICS Summit, member nations underscored their commitment to enhancing economic stability through strengthened financial cooperation and increased use of local currencies, as outlined in the Kazan Declaration. The declaration, 'Strengthening Multilateralism for Just Global Development and Security', was welcomed by global leaders eager to bolster cross-border financial practices.

Addressing the need for a more inclusive and equitable international financial system, BRICS leaders advocated for reforms and highlighted the strategic use of local currencies to reduce economic vulnerabilities. This included encouraging settlements in local currencies and strengthening correspondent banking networks, especially amid the BRICS Cross-Border Payments Initiative (BCBPI).

The New Development Bank (NDB), pivotal in promoting infrastructure and sustainable development, received praise for expanding local currency financing. Leaders emphasized the importance of innovative investment tools to support sustainable development goals and advocated for a coordinated global approach to managing debt, leveraging the G20 Common Framework for Debt Treatment.

(With inputs from agencies.)