Overview
- Reuters-cited sources say India has asked to table a proposal to connect BRICS central bank digital currencies for trade and tourism payments.
- If taken up, it would be the bloc’s first formal exploration of direct CBDC linkages, with other BRICS authorities declining or not commenting publicly.
- Officials frame the effort as efficiency-focused rather than de-dollarisation, though any reduction in dollar use is expected to draw scrutiny from Washington, where President Donald Trump has threatened tariffs.
- Key hurdles include agreeing technical standards, governance, compliance, and ways to settle imbalances, with bilateral FX swap lines under discussion.
- All core BRICS run CBDC pilots—India counts about 7 million e-rupee retail users—while the bloc’s recent expansion adds coordination complexity.