BRICS Cross-Border Payment System: Features, Benefits and Global Impact

BRICS Cross-Border Payment System: BRICS countries are accelerating discussions on ways to make international payments faster, cheaper and less dependent on complex intermediary banking networks, but there is an important distinction that readers need to understand: BRICS does not currently operate one single unified payment system or a common BRICS currency.

Instead, several related initiatives are developing at the same time. These include possible links between national fast-payment systems, greater settlement of trade in local currencies, exploration of interoperability between central bank digital currencies, or CBDCs, and the continued development of the BRICS Pay ecosystem.

Reserve Bank of India Governor Sanjay Malhotra said in August 2026 that BRICS members are discussing possible interconnections between their fast-payment systems and CBDCs as they seek to reduce the cost and improve the efficiency of cross-border transactions.

He made clear, however, that these options remain at the discussion stage.

This means claims that BRICS has already replaced SWIFT, launched a single digital currency or created one universal payment network for all member countries are inaccurate.

The broader objective is interoperability: allowing existing national financial systems to communicate more efficiently while countries retain control over their own currencies, monetary policies and financial regulation.

BRICS India 2026:
https://www.brics2026.gov.in/

BRICS Pay:
https://www.brics-pay.com/

Reserve Bank of India:
https://www.rbi.org.in/

BRICS Cross-Border Payment System: Key Highlights

What Is the BRICS Cross-Border Payment System?

The phrase “BRICS cross-border payment system” is often used as though it describes a single finished platform.

In reality, it refers to a broader collection of initiatives designed to improve financial connectivity between BRICS economies.

These initiatives can include:

• Connecting national instant-payment networks
• Enabling QR payments across borders
• Using national currencies for trade settlement
• Developing CBDC interoperability
• Improving correspondent banking links
• Developing B2B settlement mechanisms
• Reducing cross-border transaction costs

Is BRICS Launching One Payment System?

Not yet.

There is currently no single mandatory payment network through which every BRICS transaction must pass.

Instead, member countries are exploring how existing national systems can interact with one another.

This approach can allow countries to preserve:

• Their own currencies
• Central-bank control
• Domestic payment systems
• Financial regulations
• Data-governance frameworks

What Did RBI Governor Sanjay Malhotra Say?

In August 2026, RBI Governor Sanjay Malhotra said cross-border payments are an area of significant interest for BRICS because of the scope to reduce costs.

He said several options remain under discussion, including:

• Linkages between fast-payment systems
• Connections between central bank digital currencies

The key phrase is “discussion stage.”

That means there is not yet a fully operational BRICS-wide CBDC or instant-payment network.

India's Proposal to Link BRICS CBDCs

Earlier in 2026, the Reserve Bank of India proposed exploring links between the digital currencies being developed or piloted by BRICS central banks.

The idea is that interoperable CBDCs could eventually make certain international payments:

• Faster
• Cheaper
• More direct
• Easier to settle

However, major technical and regulatory questions would need to be resolved before such an arrangement could operate at scale.

What Is a CBDC?

CBDC stands for Central Bank Digital Currency.

It is a digital form of sovereign currency issued by a country's central bank.

Unlike private cryptocurrencies, a CBDC represents official central-bank money.

India's Digital Rupee

India has been running pilots of its central bank digital currency, commonly called the e₹ or digital rupee.

The RBI has been testing applications including:

• Retail payments
• Programmability
• Offline functionality
• Potential cross-border use cases

How Could CBDCs Improve Cross-Border Payments?

Traditional international payments can pass through several institutions before the recipient receives the money.

An interoperable CBDC framework could potentially simplify portions of that process.

Possible advantages include:

• Faster settlement
• Reduced intermediary costs
• Improved transaction transparency
• Potential 24-hour settlement
• Reduced settlement risk

Why CBDC Interoperability Is Difficult

Different countries can design digital currencies differently.

Important questions include:

• Technology compatibility
• Exchange rates
• Capital-control rules
• Cybersecurity
• Transaction privacy
• AML requirements
• KYC standards
• Settlement finality

What Are Fast-Payment Systems?

Fast-payment systems allow money to move between accounts almost instantly.

India's UPI and Brazil's Pix are prominent examples of modern instant-payment infrastructure.

The BRICS discussion involves exploring whether such national platforms can be connected or made interoperable across borders.

What Would Fast-Payment Interlinking Mean?

Imagine an Indian user making a payment to a merchant or business in another participating country.

Rather than relying on a traditional multi-day bank-transfer process, linked payment infrastructure could potentially:

1. Receive the payer's instruction.
2. Convert or settle the required currency.
3. Route the payment through connected domestic systems.
4. Credit the recipient rapidly.

The exact design would depend on agreements between central banks, payment operators and regulators.

What Is BRICS Pay?

BRICS Pay is a payment ecosystem developed within the framework of the BRICS Business Council.

It is intended to connect payment infrastructure across participating BRICS+ economies.

Its stated objectives include:

• Cross-border payments
• National-currency settlement
• Lower transaction costs
• Payment interoperability
• Reduced dependence on unnecessary intermediaries

Is BRICS Pay the Same as an Official BRICS Currency?

No.

BRICS Pay is a payment mechanism or infrastructure concept.

It does not require consumers or businesses to abandon their domestic currencies.

A payment platform and a currency are fundamentally different things.

BRICS Pay Retail Payments

The consumer-to-business, or C2B, model is designed to let international travellers and consumers make QR-code payments using familiar payment methods.

The idea is to make payment abroad feel closer to making a domestic QR payment.

How BRICS Pay Retail Payments Can Work

The planned user experience is broadly:

1. Open the BRICS Pay application.
2. Scan a compatible merchant QR code.
3. Review the merchant and payment amount.
4. Confirm the payment.
5. The system processes payment through connected payment-service infrastructure.

Where Is BRICS Pay Available?

BRICS Pay describes its rollout as phased rather than universally available across every BRICS member at once.

Its published development roadmap refers to:

• Initial foreign-tourist payment services
• Integration with payment infrastructure in selected markets
• Broader BRICS+ integration
• Later potential CBDC integration

Users should check the current application and official BRICS Pay information for country availability because rollout status can change.

BRICS Pay B2B

BRICS Pay is also developing a business-to-business settlement model for companies conducting international trade.

The B2B concept focuses on:

• National-currency settlement
• Payment gateways
• Multi-currency transactions
• Reducing correspondent-bank complexity
• Faster international settlement

What Is Multilateral Netting?

One feature described in BRICS Pay's B2B framework is multilateral netting.

Instead of settling every international obligation independently, multiple amounts can potentially be offset against one another.

For example:

If companies in several countries owe money to one another, the system could calculate the net amounts that ultimately need to be transferred.

This can reduce:

• Number of settlements
• Liquidity requirements
• Transaction volume
• Operational costs

What Is Local Currency Settlement?

Local currency settlement means businesses conduct international transactions using their own national currencies rather than automatically using a third currency such as the U.S. dollar.

For example, trade might involve:

• Indian rupees
• Russian roubles
• Chinese yuan
• Brazilian reais
• South African rand

depending on the countries and arrangements involved.

India-Russia Local Currency Payments

A current example shows that local-currency trade settlement is already more than a theoretical concept.

In September 2026, the head of Sberbank's India operations said that approximately 96% of India-Russia bilateral trade was being conducted using the two countries' national currencies.

According to the same report:

• 22 Russian banks were involved in bilateral settlement infrastructure.
• 17 Indian banks were participating.
• About 90% of transactions were completing within 10 minutes.
• More than half reportedly completed within one minute.

This is a bilateral India-Russia arrangement and should not be confused with a universal BRICS-wide payment network.

Why Local Currency Trade Is Growing

Countries can have several motivations for using local currencies:

• Reduce currency-conversion costs
• Reduce dependence on third currencies
• Lower settlement risk
• Strengthen domestic currency use
• Improve payment resilience
• Facilitate bilateral trade

Does BRICS Want to Replace the U.S. Dollar?

The answer is more complicated than many headlines suggest.

BRICS members have repeatedly supported greater use of national currencies and alternative payment channels.

However, this does not mean that every member has agreed on a policy to abolish or immediately replace the U.S. dollar in international finance.

Member countries have different:

• Economic structures
• Currency regimes
• Trade relationships
• Foreign exchange policies
• Political priorities

Is BRICS Creating a Common Currency?

There is currently no agreed common BRICS currency project.

Russian officials have repeatedly clarified that BRICS is not presently planning a single shared currency.

The current emphasis is instead on:

• National currencies
• Payment connectivity
• Settlement infrastructure
• Investment platforms

BRICS Currency vs BRICS Payment System

Common Currency

Would involve creating a shared monetary unit used by multiple countries.

Payment System

Provides infrastructure for moving money between people, businesses and financial institutions.

A payment network can handle multiple currencies without creating a new one.

Why BRICS Prefers Interoperability

Interoperability can be politically and technically easier than creating a single currency.

Countries can retain:

• Monetary sovereignty
• Domestic interest-rate policy
• Exchange-rate policy
• Central-bank authority

while still improving international payment connectivity.

BRICS and the G20 Cross-Border Payments Roadmap

BRICS declarations have repeatedly recognised the importance of making international payments:

• Faster
• Cheaper
• More transparent
• More inclusive
• Safer

Earlier BRICS declarations also supported studying the interlinking of payment systems and expanding settlement in local currencies.

What Problems Exist in Traditional Cross-Border Payments?

International bank transfers can involve:

• Correspondent banks
• Foreign exchange conversion
• Multiple compliance checks
• Different national operating hours
• Messaging fees
• Intermediary fees

The result can be higher cost and slower settlement.

What Is Correspondent Banking?

Correspondent banking allows one bank to provide services for another bank, especially when the second bank does not have a direct presence in a country.

A cross-border transfer may pass through several correspondent institutions before reaching its final destination.

Why Correspondent Banking Can Be Expensive

Each intermediary may perform:

• Compliance checks
• Currency conversion
• Transaction processing
• Settlement

These additional steps can generate fees and delays.

Potential Benefits of a BRICS Payment Network

1. Lower Transaction Costs

Direct connectivity between national payment systems could reduce the number of intermediaries involved.

2. Faster Settlement

Instant-payment infrastructure could potentially shorten settlement from days to minutes or seconds in eligible transactions.

3. Greater Local Currency Use

Businesses could potentially settle more transactions without converting both sides through a third currency.

4. Financial Resilience

Multiple payment channels can reduce dependence on any single network.

5. Trade Facilitation

Simpler payments can lower friction for exporters and importers.

6. Tourism Payments

QR interoperability can make it easier for travellers to pay merchants abroad.

7. Support for Smaller Businesses

Lower transaction costs can be particularly useful for SMEs where bank charges represent a larger share of payment value.

Potential Benefits for Indian Businesses

Indian exporters and importers could potentially benefit through:

• More settlement currency options
• Reduced conversion costs
• Faster receipt of funds
• Less payment friction
• Improved access to BRICS markets

Potential Benefits for Tourists

A traveller could potentially pay through a familiar QR-based interface without:

• Opening a local bank account
• Carrying large amounts of cash
• Obtaining a special local payment card

Actual availability will depend on country integration and regulation.

Potential Benefits for Merchants

Merchants could gain:

• More international customers
• Faster payment confirmation
• Lower payment friction
• Reduced dependence on cash

Could BRICS Payments Help SMEs?

Small and medium-sized businesses often face proportionally high banking fees on relatively small international transactions.

Lower-cost cross-border infrastructure could make smaller-value trade more viable.

Potential Impact on International Trade

Payments are an important part of trade infrastructure.

A company may find a foreign customer but still face obstacles if:

• Payments are slow
• Currency conversion is expensive
• Banking channels are limited
• Settlement is uncertain

Improved payment connectivity can reduce those barriers.

Potential Impact on the U.S. Dollar

Greater national-currency settlement could reduce the need for dollars in some bilateral transactions.

However, the U.S. dollar remains deeply embedded in:

• Global trade invoicing
• Foreign exchange markets
• Commodity markets
• Central-bank reserves
• International borrowing

A BRICS payment initiative would therefore not automatically eliminate dollar use.

Does Less Dollar Use Mean De-Dollarisation?

The term “de-dollarisation” describes efforts to reduce dependence on the U.S. dollar in some areas of international finance.

It can include:

• Local-currency trade
• Alternative reserves
• Non-dollar lending
• Alternative payment channels

The process is gradual and does not necessarily imply complete abandonment of the dollar.

What Is SWIFT?

SWIFT is a global financial messaging network used by banks and financial institutions to exchange payment instructions and other financial messages.

It is important to understand that SWIFT primarily provides financial messaging rather than functioning as a currency itself.

Will BRICS Pay Replace SWIFT?

No such replacement has been established.

BRICS payment initiatives could potentially provide additional settlement or messaging channels for certain transactions.

That is different from saying SWIFT has already been replaced.

Could Multiple Networks Coexist?

Yes.

Global banks and businesses can use multiple:

• Payment systems
• Messaging networks
• Settlement currencies
• Correspondent relationships

Financial infrastructure does not always operate on a winner-takes-all basis.

Challenges Facing a BRICS Payment System

1. Different Regulations

Every country has its own banking and payment laws.

2. Currency Convertibility

Some currencies are more freely convertible internationally than others.

3. Trade Imbalances

If one country exports far more than it imports, it can accumulate large quantities of the partner country's currency.

4. Cybersecurity

A multinational payment network could become an attractive target for cyberattacks.

5. Data Sovereignty

Countries may disagree on where financial data should be stored and processed.

6. Technical Compatibility

National payment networks may use different technology standards.

7. Governance

Members need rules covering disputes, access, liabilities and system changes.

Why Trade Imbalances Are a Major Challenge

Suppose Country A imports much more from Country B than it exports.

If all trade is settled in Country A's currency, businesses or banks in Country B can accumulate large balances they may not easily spend.

This can limit the attractiveness of local-currency settlement.

How Can Trade Imbalances Be Managed?

Possible mechanisms can include:

• Currency swaps
• Investment of accumulated balances
• Multilateral netting
• Expanded imports
• Foreign-exchange conversion

What Is a Currency Swap?

A central-bank currency swap can allow participating central banks to exchange currencies under agreed conditions.

Swap arrangements can help provide liquidity during cross-border settlement.

Cybersecurity Risks

Fast payment systems process transactions rapidly, meaning cyber defences must also respond quickly.

Potential threats include:

• Account takeover
• Payment fraud
• Malware
• Distributed denial-of-service attacks
• Infrastructure compromise

AML and KYC Requirements

Cross-border payment systems must comply with rules designed to prevent:

• Money laundering
• Terrorist financing
• Fraud
• Sanctions violations where applicable
• Identity misuse

BRICS Pay states that its payment-service framework incorporates AML and KYC checks.

What Is AML?

AML stands for Anti-Money Laundering.

Financial institutions use AML controls to identify suspicious transactions and prevent illicit use of the banking system.

What Is KYC?

KYC stands for Know Your Customer.

It involves verifying customer identity and related information according to applicable regulations.

Why Data Privacy Matters

Cross-border payment systems process sensitive information including:

• Customer identity
• Account information
• Merchant data
• Transaction history
• Location data in some services

Countries must agree on how this data is handled.

India's Cautious Approach to Payment Connectivity

India has expanded UPI internationally but also applies security and data-protection scrutiny to proposed payment connections.

This illustrates that faster connectivity will not automatically override national-security, privacy and anti-fraud concerns.

Why BRICS Payment Connectivity Is Geopolitically Important

Financial infrastructure is not only technical.

It also affects:

• Trade policy
• Economic sovereignty
• Sanctions exposure
• Currency influence
• International financial power

BRICS and Financial Multipolarity

BRICS frequently promotes the concept of a more multipolar international economic system.

In payments, that can mean encouraging several interoperable systems rather than dependence on a single financial channel.

Does This Make BRICS an Anti-Western Payment Bloc?

That interpretation is disputed.

BRICS officials often frame payment initiatives as tools for:

• Efficiency
• Resilience
• Local currency use
• Trade facilitation

Some Western policymakers, however, view alternative financial infrastructure through the lens of sanctions and dollar influence.

Both perspectives form part of the broader geopolitical debate.

Could BRICS Pay Affect Visa and Mastercard?

Cross-border QR systems can compete with traditional card networks for some retail transactions.

If a traveller can pay directly through a mobile application linked to national payment infrastructure, merchants and consumers may have another option alongside cards.

This does not mean global card networks will disappear.

Why QR Payments Matter

QR technology can allow merchants to accept digital payments without expensive specialised card terminals.

This can be attractive in emerging markets with widespread smartphone use.

India's UPI as a Model

India's Unified Payments Interface demonstrates how instant bank-to-bank payments can scale across a large population.

UPI has also expanded internationally through country-specific partnerships and acceptance arrangements.

This experience makes India an important participant in discussions on fast-payment interoperability.

Brazil's Pix

Brazil's Pix is another major instant-payment system.

Brazil has been exploring potential international connectivity, including discussions with the European Central Bank regarding a possible future connection between Pix and Europe's TIPS instant-payment infrastructure.

This demonstrates that payment interlinking is a broader global trend, not something limited to BRICS.

Why BRICS Payment Integration Could Take Years

Building a multinational financial network involves more than installing software.

Countries must agree on:

• Technical standards
• Regulation
• Exchange mechanisms
• Dispute resolution
• Cybersecurity
• Data protection
• Governance

Possible Future BRICS Payment Architecture

A future system could theoretically contain several layers:

1. National fast-payment systems
2. Interoperability gateways
3. Currency-conversion mechanisms
4. Compliance systems
5. Cross-border settlement infrastructure
6. CBDC connectivity where available

This is a conceptual description rather than confirmation of a final BRICS design.

Could BRICS Use Blockchain?

Various cross-border settlement proposals globally have examined distributed-ledger technology, but BRICS payment integration does not require all transactions to use blockchain.

Conventional payment infrastructure can also provide instant settlement.

BRICS Pay and Stablecoins

BRICS Pay's B2B materials mention possible transitional use of stablecoins as bridge assets within its own settlement architecture.

This should not be confused with an official BRICS-wide sovereign stablecoin or a common BRICS currency.

What Is a Stablecoin?

A stablecoin is a digital token designed to maintain a relatively stable value, often by linking its value to a currency or another asset.

Its legal treatment differs across jurisdictions.

India's Position on Stablecoins

The Reserve Bank of India has generally expressed caution about private stablecoins and has emphasised the potential role of sovereign digital currencies.

This difference illustrates why a multinational payments architecture requires negotiation between countries with varying regulatory preferences.

Could the Digital Rupee Be Used Abroad?

Cross-border use is one of the potential areas being explored.

If compatible arrangements are eventually developed, a digital rupee could potentially interact with another country's CBDC or payment infrastructure.

No universal BRICS-wide e₹ payment facility should currently be assumed.

What Would Consumers Notice?

If cross-border payment interoperability succeeds, consumers may eventually notice changes such as:

• Faster transfers
• More QR acceptance abroad
• Lower fees
• Clearer currency conversion
• More payment choices

What Would Businesses Notice?

Businesses could potentially see:

• Faster settlement
• Reduced working-capital delays
• Lower banking charges
• More currency options
• Better payment tracking

Impact on Banks

Banks may need to adapt by:

• Integrating APIs
• Updating compliance systems
• Managing more currencies
• Strengthening cyber controls
• Providing faster settlement services

Impact on Central Banks

Central banks would remain central to:

• Monetary sovereignty
• Payment-system regulation
• Currency stability
• CBDC design
• Financial supervision

Could BRICS Payment Systems Change Global Finance?

Potentially, but the effect will depend on adoption.

A payment system becomes important only if:

• Banks connect to it
• Businesses use it
• Consumers trust it
• Regulators approve it
• Liquidity is sufficient
• Transactions are reliable

Technology Alone Is Not Enough

A payment platform can be technically impressive but still fail if users face:

• Poor exchange rates
• Low merchant acceptance
• Complex onboarding
• Limited bank participation
• Regulatory barriers

What Success Would Look Like

A successful cross-border payment arrangement would ideally provide:

• Predictable fees
• Fast settlement
• Strong security
• Transparent exchange rates
• Easy merchant acceptance
• Regulatory compliance
• Reliable dispute resolution

What to Watch at BRICS 2026

Key issues to watch include:

• Fast-payment interoperability
• CBDC connectivity
• Local currency trade
• BRICS Pay expansion
• Financial messaging infrastructure
• Payment standards
• Cybersecurity cooperation

Will BRICS Announce a Common Currency in 2026?

There is currently no basis for treating a common BRICS currency as an agreed 2026 launch.

Recent official comments continue to focus on payment infrastructure and national-currency settlement rather than monetary union.

BRICS Payment System vs Euro

The European Union's euro represents a shared currency used by euro-area countries.

The BRICS payment discussion is fundamentally different.

BRICS members are exploring ways to transact while retaining separate sovereign currencies.

Why Creating a Common Currency Would Be Much Harder

A common currency could require deep coordination over:

• Monetary policy
• Inflation
• Interest rates
• Fiscal policy
• Banking regulation
• Currency reserves

BRICS economies currently have very different economic structures, making payment interoperability a much more practical near-term objective.

BRICS Cross-Border Payment System: Advantages

• Potentially lower costs
• Faster international settlement
• Greater local-currency use
• Reduced intermediary dependence
• Improved trade connectivity
• More payment options for tourists
• Potential SME benefits
• Greater financial-system resilience

BRICS Cross-Border Payment System: Risks

• Cybersecurity threats
• Financial crime
• Governance disputes
• Currency volatility
• Trade imbalances
• Technical incompatibility
• Data-security concerns
• Political tensions

BRICS Cross-Border Payment System: Current Reality

Official and Useful Links

BRICS India 2026:
https://www.brics2026.gov.in/

BRICS Pay:
https://www.brics-pay.com/

BRICS Pay Retail:
https://www.brics-pay.com/BRICS-Pay-C2B

BRICS Pay B2B:
https://www.brics-pay.com/BRICS-Pay-B2B

Reserve Bank of India:
https://www.rbi.org.in/

Ministry of External Affairs:
https://www.mea.gov.in/

BRICS Payment System Important Search Points

Readers searching for BRICS payment system, BRICS cross border payment system, BRICS Pay, BRICS currency, BRICS common currency, BRICS digital currency, BRICS CBDC, BRICS Pay India, UPI BRICS payments, local currency BRICS trade, BRICS SWIFT alternative, BRICS payment system features, BRICS payment system benefits and BRICS payment global impact should remember:

• BRICS does not currently operate a single unified payment network.
• There is no agreed common BRICS currency.
• BRICS members are discussing fast-payment system interlinking.
• CBDC connectivity is also under discussion.
• BRICS Pay is developing retail and B2B payment infrastructure.
• Local-currency settlement is already expanding in some bilateral relationships.
• India and Russia provide one current example of substantial national-currency settlement.
• The main goals are lower cost, faster settlement, interoperability and resilience.
• Cybersecurity, regulation, trade imbalance and governance remain major challenges.

FAQs

What is the BRICS cross-border payment system?
It refers to several initiatives intended to improve payment connectivity between BRICS economies, including fast-payment links, local-currency settlement, CBDCs and BRICS Pay.

Has BRICS launched one unified payment system?
No. Multiple initiatives are under development or discussion.

What is BRICS Pay?
BRICS Pay is a payment ecosystem developed within the BRICS Business Council framework for cross-border retail and business payments.

Is BRICS Pay a new currency?
No. It is payment infrastructure, not a single sovereign currency.

Does BRICS have a common currency?
No agreed common BRICS currency currently exists.

Will BRICS replace the U.S. dollar?
BRICS members are promoting national-currency settlement, but that does not mean the dollar has been or will immediately be replaced across global finance.

Are BRICS countries linking CBDCs?
Potential CBDC interoperability is under discussion, but there is no fully operational BRICS-wide CBDC network yet.

Are BRICS fast-payment systems being connected?
Possible interlinking is under discussion among members.

What are the main benefits?
Potential benefits include lower transaction costs, faster settlements, greater local-currency use and improved cross-border trade efficiency.

What are the major challenges?
Regulatory differences, currency convertibility, trade imbalances, cybersecurity, governance and technical interoperability.

Can tourists use BRICS Pay?
BRICS Pay is developing and rolling out C2B QR-payment functionality in stages. Availability depends on the country and current rollout.

Is BRICS Pay a SWIFT replacement?
No fully established replacement of SWIFT has occurred. BRICS initiatives can provide additional payment and settlement channels.

Why are local currencies important?
They can reduce dependence on third-currency conversion and potentially lower transaction costs.

What is an example of local-currency settlement?
India-Russia trade is a current example where a very large share of bilateral trade is being settled using the two countries' national currencies.

What role does India play?
India is promoting greater international use of the rupee, expanding payment connectivity and has proposed exploring BRICS CBDC links.

Conclusion

The BRICS cross-border payment initiative is better understood as an evolving financial ecosystem than as one finished payment network.

BRICS countries are exploring several pathways at once: linking national fast-payment systems, increasing settlement in national currencies, connecting future CBDCs and developing BRICS Pay for retail and business transactions.

The potential benefits are significant. Faster settlement, lower fees and reduced dependence on multiple intermediaries could make trade and tourism payments easier across some of the world's largest emerging economies.

But implementation is difficult. BRICS members have different currencies, regulations, capital controls, technology systems and economic interests. Cybersecurity, governance, data protection and trade imbalances must also be addressed.

The most important fact for readers is that BRICS has not created a common currency and has not yet launched one universal payment system replacing existing global financial infrastructure.

What is happening is more gradual: national systems are being strengthened, bilateral local-currency payments are expanding, BRICS Pay is developing new services and central banks are studying how faster and more interoperable cross-border settlement could work.

If these different initiatives eventually connect at scale, their long-term impact could be significant — not necessarily by replacing the existing global financial system, but by giving businesses, banks and consumers additional ways to move money internationally.