RBI proposes linking BRICS digital currencies to ease cross-border payments, reduce dollar reliance
India’s central bank has proposed that BRICS nations link their official digital currencies to enable smoother cross-border payments for trade finance and tourism, according to two sources. The Reserve Bank of India (RBI) has recommended that the government place the proposal on the agenda of the 2026 BRICS summit, which India is set to host later this year, potentially introducing the idea formally for the first time.
The plan builds on a 2025 BRICS declaration from the Rio de Janeiro summit calling for improved interoperability between members’ payment systems. While the RBI has previously shown interest in connecting India’s e-rupee with other countries’ CBDCs to speed up transactions and expand the rupee’s international usage, it has maintained that these efforts are not aimed at de-dollarisation. All major BRICS members are still running pilot projects rather than fully launching their digital currencies.
Sources said the proposal would require consensus on interoperable technology, governance frameworks and mechanisms to handle trade imbalances—an issue that has affected past local-currency trade attempts. One option being explored is the use of bilateral foreign exchange swap arrangements between central banks, with periodic settlements. The initiative could also draw scrutiny from the U.S., which has warned against moves that bypass the dollar amid rising geopolitical and trade tensions.
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