The day before yesterday (October 22), the 16th BRICS Leaders' Summit began in Kazan, Russia, with a special focus on economic issues. The event continues until tomorrow, the 24th.
One of the main Russian state TV channels, Piervy Kanal (Channel One), changed its programming to show a special series about the bloc's original members (Brazil, India, China, Russia and South Africa) and the meeting.
The narrative presented shows these countries as influential on the global stage, even more so than Western powers, and dedicates a chapter to Brazil, suggesting that the Lula government supports Russia in the conflict with Ukraine, accusing the USA and its allies of prolonging the war. .
However, Itamaraty reaffirms that Brazil condemns the Russian invasion, a position reiterated in international forums. President Lula, who had planned to participate in the meeting in person, had to cancel his trip after a domestic accident, but participates via video conference.
While the Russian government calls the ongoing conflict a “special military operation”, the US and Western allies classify it as a violation of Ukraine's sovereignty.
BRICS Pay: new payment system
One of the central themes of the summit will be the new BRICS payment system, BRICS Pay.
There are concerns from several experts and warnings about the impacts of this new system on the US dollar, proposing the possible weakening of the currency, which, although unbacked and issued when the FED sees fit, still dominates international trade.
BRICS Pay has been tested at events in Russia, allowing transactions with local currencies and reloadable cards.
During an event in Moscow, the Russian government announced that the app will be available in major app stores soon.
The new system is in the integration phase between member countries, including its new members, offering incentives such as cashback and airdrops to first users, a common practice in the world of cryptocurrencies.
Currently, 45% of the world's population lives in BRICS countries, and there are expectations that more nations will join the bloc. Some analysts believe BRICS Pay could redefine the new global financial order, potentially leading to dollar hyperinflation. China and Russia have already been experimenting with blockchain-based solutions, but it is not yet clear whether BRICS Pay will include tokenization or CBDCs.
Vladimir Putin, in turn, emphasized the importance of accelerating the efforts of the New Development Bank (NBD), led by Dilma Rousseff since 2023, and cited the possible creation of a common currency for the bloc.
Despite rumors about a gold-backed currency or a stablecoin linked to a basket of currencies, Putin stated that this discussion is still in its early stages and requires caution. He also highlighted the importance of developing an alternative system to SWIFT to promote financial independence of member countries amid international sanctions.