The BRICS nations—comprising Brazil, Russia, India, China, and South Africa—have intensified their call for greater representation of emerging markets and developing economies in the International Monetary Fund (IMF) and World Bank. During a recent meeting in Mumbai, finance ministers and central bank governors from these countries emphasized the need for a more inclusive and equitable global financial system.
The expanded BRICS bloc is actively working to strengthen financial cooperation amid rising geopolitical tensions and economic fragmentation. The group criticized unilateral tariffs and trade measures, highlighting their adverse impact on global trade and economic stability.
Enhancing Cross-Border Payment Systems
The BRICS nations have been exploring ways to enhance cross-border payment systems to facilitate smoother trade and investment. They endorsed the use of local currencies for transactions and encouraged further work on developing fast, low-cost, and secure payment mechanisms. The BRICS Payment Task Force has been examining the interoperability of payment and messaging systems across member countries.
Despite these efforts, the group stopped short of announcing a common BRICS currency or a unified payments system. The statement acknowledged that there is no one-size-fits-all approach to promoting local-currency settlements, respecting the national priorities of each member.
Criticism of Unilateral Trade Measures
BRICS members expressed serious concerns about the unilateral imposition of trade and finance-related actions, including tariffs and non-tariff measures. These actions, they argued, distort trade and are inconsistent with World Trade Organisation (WTO) rules. The group reaffirmed its support for an open, transparent, and rules-based multilateral trading system with the WTO at its core.
The remarks come in the context of the USA’s trade and tariff policies, which have disrupted global trade. In April 2025, US President Donald Trump announced a package of reciprocal global tariffs on several countries, including BRICS members. Although these tariffs were struck down by the US Supreme Court in February, additional tariffs were imposed from July 24.
Reforming Bretton Woods Institutions
The BRICS grouping renewed its call for the reform of the Bretton Woods institutions, emphasizing that their governance structures should reflect the transformation of the global economy since their establishment. The bloc called for a greater voice and representation for emerging-market and developing economies in the IMF and World Bank, including changes to quota and voting shares.
The group urged the IMF to implement the quota increases agreed under its 16th General Review of Quotas and to develop approaches for meaningful quota realignment under the 17th review. They also stressed that any new quota formula should protect the shares of the poorest members and that voluntary financial contributions should not influence quota allocation, governance representation, or voting power.
BRICS members also called for a merit-based, inclusive, and transparent process for selecting the leadership of the IMF and World Bank, with greater regional diversity and representation from developing economies.
Under India’s 2026 BRICS chairship, members have continued work on the bloc’s cross-border payments initiative, examining interoperability between payment and messaging systems. The BRICS Payment Task Force has discussed promoting trade settlements and investment using members’ local currencies.
The group encouraged further work to develop cross-border payment mechanisms that are fast, low-cost, accessible, efficient, transparent, and secure. The statement highlighted the progress made by BRICS central banks, which have held numerous meetings and produced several reports and technical papers during India’s chairship.
The bloc backed a greater role for the New Development Bank (NDB) in financing development and infrastructure projects across BRICS and the Global South. Members encouraged the bank to mobilize resources, expand local-currency financing, strengthen project-preparation facilities, and diversify funding sources.
They also welcomed the progress of the BRICS Multilateral Guarantees initiative, which aims to mobilize private capital, improve the creditworthiness of projects, and reduce financing costs. The group stated that technical work would continue on a proposed New Investment Platform, with members supporting a phased, consensus-based, and member-driven approach that respects national sovereignty and differing regulatory frameworks.
The ministers welcomed the establishment of the BRICS Task Force on Growth and Development, which focuses on shared challenges facing BRICS and other emerging-market economies. The task force has examined development finance, digital public infrastructure, artificial intelligence, structural reforms, climate finance, and sustainable development.
Members also welcomed the launch of the BRICS-NDB Knowledge Portal, developed with the New Development Bank, to share development experiences, policy innovations, and best practices across member countries. India proposed hosting a BRICS Risk Lab at the GIFT City International Financial Services Centre in Gujarat as part of efforts to strengthen insurance and reinsurance capacity among BRICS countries.
