What Is BRICS Pay and Could It Challenge the SWIFT Payments System?
BRICS Pay has been described as a decentralized digital platform designed to enable international payments outside the US dollar, raising questions about its potential to compete with the Western-dominated SWIFT network.
A payments system known as BRICS Pay has been described as a decentralized digital platform intended to facilitate international transactions in currencies other than the US dollar, according to a report by Al Jazeera.
The initiative is associated with the BRICS grouping of major emerging economies, which includes Brazil, Russia, India, China and South Africa, among other member and partner states that have joined the bloc in recent years.
According to the report, BRICS Pay is positioned as an alternative to SWIFT, the Belgium-based messaging network that underpins the vast majority of global cross-border financial transactions and is dominated by Western financial institutions.
SWIFT has long been viewed as a critical piece of infrastructure for the global financial system, and access to it has at times been restricted as part of international sanctions, most notably against Russia following its full-scale invasion of Ukraine in 2022.
The development of alternative payment mechanisms such as BRICS Pay reflects broader efforts among some BRICS members to reduce reliance on dollar-denominated trade and Western-controlled financial infrastructure, Al Jazeera reported.
Questions remain about the scale of adoption of BRICS Pay, its technical architecture, and whether it could realistically achieve the scope and reliability required to rival SWIFT's established global network in the near term.
Sources
- What is BRICS Pay, and can it rival the West’s SWIFT payments system? — Al Jazeera — All
EGazette summarizes reporting from multiple sources; follow the links for the originals.
Related articles
Iran's Pezeshkian Reviews BRICS Achievements at Heads of Branches Meeting
Iranian president briefed parliament speaker and judiciary chief on outcomes of the country's BRICS engagement, state media reported.
Dangote Refinery's $1.6 Billion Share Offer Seen as Out of Reach for Many Nigerians
Africa's richest man, Aliko Dangote, is seeking $1.6 billion from investors to fund a major expansion of his oil refinery, but analysts say the offer may be unaffordable for ordinary Nigerians.
Venezuela's PDVSA Signs Energy Cooperation Deal with TotalEnergies Subsidiary
Acting President Delcy Rodriguez oversaw the signing of an agreement between state oil company PDVSA and TotalEnergies E&P New Ventures in Caracas, according to Anadolu Agency.
Fair Featuring Veteran-Owned Businesses and Craft Producers Held at Carpathian Economic Forum
Event brought together local artisans and businesses run by veterans as part of a wider regional economic gathering
Japanese agencies help employees quit without telling their boss directly
New intermediary services in Japan enable workers to end their employment in less than 15 minutes without having to face their managers directly.
Chiltern Railways becomes sixth train operator to enter UK public ownership
The London Marylebone-to-Birmingham operator is the latest to be nationalised as Labour presses ahead with plans to bring all major passenger rail services under public control by the end of 2027.
Comments
Loading comments…