India will propose a central bank digital currency (CBDC) for cross-border payments at the BRICS summit on September 12-13. The Reserve Bank of India (RBI) suggested linking digital currencies of all member central banks for trade. The plan could cut billions in transaction fees by eliminating the US dollar and its conversion rates. Finance ministers will meet in early September to discuss the way forward. The mechanism would be exclusive to member nations, making the bloc self-reliant. BRICS has been exploring CBDCs for over three years, and the 2026 summit in New Delhi could mark a breakthrough.
India is set to pitch a central bank digital currency (CBDC) at the upcoming BRICS summit on September 12 and 13, as reported by a source close to the development. The Reserve Bank of India (RBI) proposed linking the digital currencies of all member central banks for trade and transactions early in January.
The proposal could shift how the alliance settles cross-border transactions. Finance ministers of all member nations will meet in early September to discuss the CBDC path.
“The BRICS Finance Ministers and Central Bank Governors (FMCBG) track is expected to meet again in early September to provide greater clarity on the possible way forward on CBDC and fast payment system linkages that could be adopted at the BRICS Summit,” a source tracking the matter said.
The CBDC payment system can save the alliance billions in transaction fees. Conversion rates will no longer apply, as the bloc sidelines the US dollar for trade.
The digital currency will be available only to member nations, and the mechanism will block other currencies. This makes the 11-member bloc self-reliant and independent of external payment services.
The US dollar would be the hardest hit if the plan proceeds. BRICS has been eyeing a CBDC for over three years, and the 2026 summit could deliver a breakthrough.
India is hosting the 18th summit in New Delhi next month. World leaders, finance ministers, and diplomats will attend the high-level meeting.
All eyes are on the summit, as the alliance aims to realign payment settlements. Several developing countries could join the mechanism if it succeeds in global markets.
