BRICS member-states discuss creating a single digital currency

• BRICS countries have discussed the possibility of creating a single cryptocurrency.
• The digital currency may be based on a unified payment system for the member-states.

The member countries of the BRICS block (Brazil, Russia, India, China and South Africa) are considering the creation of a cryptocurrency-based single payment system. The idea was proposed by the Russian Direct Investment Fund (RDIF), a member of the BRICS business council.  

According to the head of RDIF Kirill Dmitriev, the Fund participated in the discussions centered around the creation of a single cryptocurrency for settlements between member-states. The cryptocurrency-based settlements would be processed by the BRICS payment system, known as BRICS pay. The system is supposed to shield the countries from sanctions and absorb the shocks from geopolitical developments.

According to Dmitriev, a single payment system will serve as an incentive for increasing the share of settlements in national currencies, which will ensure a stable economic partnership between the BRICS countries, which form more than 20% of the global influx of foreign direct investment.

Apart from that, BRICS members intend to create an alliance to develop artificial intelligence solutions.

Namely, China and India are interested in creating an AI-focused alliance. By joining forces, the countries will be able to consolidate their efforts and implement unified standards in the industry.

The international organization BRICS was founded in 2006. It includes countries with rapidly developing economies and large markets. Countries cover 43% of the world’s population.

Notably the EU is also calling for the creation of its own digital currency.