The BRICS Ministers of Foreign Affairs convened on June 10 in Nizhny Novgorod, Russia, emphasizing the imperative of leveraging local currencies in trade transactions within the BRICS member states. This strategic stance not only bolsters economic resilience but also reinforces financial sovereignty among the participating nations.

During their meeting, the Ministers reaffirmed their unwavering commitment to the multifaceted BRICS strategic partnership, encompassing political collaboration, security measures, economic initiatives, financial strategies, and cultural exchanges.

One pivotal agenda item discussed by the ministers centered on the concerted effort to promote the utilization of domestic currencies in inter-BRICS trade dealings. This approach is designed to reduce dependency on major global currencies like the U.S. dollar, fostering a more self-reliant economic framework.

A joint statement issued after the meeting underscored the paramount importance of increasing the adoption of local currencies in both trade and financial transactions among BRICS countries. This strategic move aligns with paragraph 45 of the Johannesburg II Declaration, which tasked finance ministers and central bank governors within the BRICS coalition to assess and address issues related to local currencies, payment mechanisms, and platforms. The outcome of these deliberations will be reported back to BRICS Leaders, emphasizing a collaborative and forward-thinking approach to financial integration.

The BRICS Ministers also deliberated on broader global financial architecture and prioritized discussions around food security. Additionally, they collectively condemned acts of terrorism, advocated for peaceful resolution of conflicts, and pledged support for peace initiatives in Africa.

Originally comprised of Brazil, Russia, India, China, and South Africa, the BRICS economic bloc has expanded its membership to include Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the United Arab Emirates (UAE). This expansion signifies a growing alliance focused on bolstering economic cooperation and reducing reliance on dominant global currencies.

The strategic emphasis on local currency utilization within BRICS trade is multi-faceted, aiming not only to mitigate exchange rate risks but also to lower transaction costs and promote stability within the financial systems of member nations. This concerted effort reflects a collective vision of economic autonomy and mutual benefit within the BRICS community.

By prioritizing domestic currencies in trade transactions, BRICS countries are strategically diversifying their economic interactions, fostering stronger intra-bloc ties, and fortifying their resilience against external economic fluctuations. This strategic maneuver aligns with broader global trends of seeking financial autonomy and reducing dependency on traditional currency paradigms.