The global economic bloc, known as the BRICS Group countries, which includes Brazil, Russia, India, China and South Africa, seeks to enhance its efforts to develop a cross -boundary and independent financial infrastructure system.
The current BRICS BRICS PACS group’s efforts, the Brics Pay Group, a decentralized payment system aimed at facilitating trade using national currencies, and 95% of trade between Russia, China in ruble and yuan, which greatly reduces dependence on the US dollar.
With the increase in financial pressure, US President Donald Trump threatened to impose definitions of 100% on the BRICS Group countries, pushing them towards alternative financial systems.
Ripple’s XRP was designed to facilitate the operations across the border effectively, as it takes 3 to 5 seconds to settle the payments, which is fastest compared to systems like Swift that may take from one to three days.
Reducing dependence on the dollar is one of the main goals, as BRICS countries are looking for alternatives to systems such as Swift and traditional banking systems.
The Russian Finance Minister, Anton Celuanov, recently confirmed that Moscow is working to develop financial tools within the framework of the BRICS group, including a boundary payment system.
According to the Russian government news agency “TASS”, Silwanov said that the new system can benefit from national currencies, digital technologies and digital financial assets, stressing the importance of building a strong financial infrastructure to enhance trade and economic growth between the BRICS Group countries.
Geopolitical considerations may push the BRICS Group countries to prefer to prefer pushing systems under their control rather than relying on a special entity such as Ripple, as in Russia’s development of its SPFS and China system for the CIPS for border payments, which reduces dependence on Swift.
In addition, organizational obstacles, such as India’s cautious position on digital currencies, can hinder the XRP.
As Russia and China are already operating alternative systems, the need to adopt the Ripple XRP is further.
The BRICS Group countries may choose a hybrid payment system that combines digital currencies for the central banks of local transactions, gold -backed digital assets for stability, and possibly Ripple XRP to quickly settle the border operations.
This approach allows BRICS countries to maintain financial sovereignty while taking advantage of the efficiency of blockchain technology.
It is expected that the 17th summit of the BRICS Group countries will be addressed next July in Rio de Janeiro, Brazil, these topics. As Brazil takes over the presidency of the BRICS Group in 2025, the summit will focus on enhancing cooperation between the global southern countries and reforming global governance.
The summit agenda is expected to include discussions on the payment system, which may push towards the adoption of the widest digital currencies, with the possibility of expanding to include countries such as Egypt, Ethiopia, Iran, and the United Arab Emirates, which joined the group in 2024.