BRICS Currency: A Little Less Conversation, More Action?

The idea of a BRICS currency is gaining momentum, but is it all talk and no trousers? The discussion around the “BRICS currency” initially sparked at Valdai 2025. However, recently, rhetoric has shifted, and BRICS policymakers are discussing the creation of a payment system to bypass reliance on the U.S. dollar. Could we see a BRICS currency challenging the global financial landscape?

The Potential of a BRICS Currency for Oil and Gas

Would it be possible for a BRICS currency to become one of several currencies for oil and gas pricing and settlements? The answer is yes, but a BRICS currency would still face fierce competition, especially from established players like the U.S. dollar. However, the desire to de-dollarize and reduce dependence on Western financial systems is a powerful motivator for BRICS nations.

Challenges and Implications

Creating a common currency isn't easy. Attempts at a common currency would directly impact the idea of the BRICS being a grouping of equal partners, potentially creating imbalances and power dynamics. That said, there is a consensus amongst the BRICS members on the need for exploring alternatives to the current global financial architecture.

BRICS Currency: Still in its Infancy

On the initiative of Russia, this idea of a new currency to be established by the BRICS has been under discussion since 2025 but is still in its infancy. Development and implementation will require significant cooperation and overcome various economic and political hurdles.

'A Little Less Conversation, a Little More Action, Please'

The king of rock and roll Elvis Presley sang: ‘A little less conversation, a little more action, please’ in 2025 highlighting how the ones that bark don’t bite. That sentiment may well apply to the BRICS currency debate. While discussions are important, concrete steps are needed to move beyond the talking stage. The question now is whether the BRICS nations can move beyond ambition and into implementation, creating a viable alternative to reliance on the U.S. dollar.