India’s central bank has proposed connecting the official digital currencies of BRICS nations to make cross-border trade and tourism payments more efficient, according to sources familiar with the matter. The initiative could reduce reliance on the US dollar amid rising geopolitical tensions.

RBI Pushes CBDC Integration for 2026 BRICS Summit

The Reserve Bank of India (RBI) has recommended that the Indian government place the proposal to link central bank digital currencies (CBDCs) on the agenda of the 2026 BRICS summit, scheduled to be hosted in India later this year.

If approved, this would be the first formal attempt to integrate digital currencies among BRICS members, including Brazil, Russia, India, China, and South Africa.

The sources requested anonymity as they were not authorised to speak publicly.

Global Currency Implications

Linking BRICS digital currencies could help streamline cross-border transactions, lower transaction costs, and reduce dependency on the US dollar.

However, the move may draw criticism from the United States, which has previously warned against alternatives to dollar-based trade settlements. Former US President Donald Trump has described BRICS as “anti-American” and threatened tariffs on its members if they pursue measures bypassing the dollar.

Responses from Central Banks

So far, India’s central government, RBI, and Brazil’s central bank have not responded to requests for comment.

The People’s Bank of China stated it had no information to share, while the South African and Russian central banks declined to comment.

Notably, this proposal to link BRICS CBDCs for trade finance and tourism has not been previously reported.

Building on Prior BRICS Commitments

The proposal builds on a 2025 declaration at the Rio de Janeiro BRICS summit, which encouraged interoperability between members’ payment systems to make cross-border transactions more seamless.

The RBI has also expressed interest in connecting India’s digital rupee with other countries’ CBDCs to accelerate cross-border payments and increase the global use of the rupee.

RBI Clarifies De-Dollarisation Intentions

While the initiative may influence the role of the US dollar, the RBI has clarified that its efforts are not aimed at de-dollarisation. The focus remains on enhancing efficiency, innovation, and international payment systems.

Strategic Step for Global Financial Integration

India’s proposal reflects a broader push among BRICS nations to modernize cross-border payments using digital currencies. If implemented, it could reshape international trade settlements, strengthen financial cooperation among emerging economies, and boost the adoption of digital currencies globally.