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BRICS Explores Linking Fast-Payment Systems and CBDCs to…
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FinanceFeeds
The RBI earlier proposed that BRICS members examine connecting their CBDCs to facilitate international payments.
The initiative could eventually create government-backed digital settlement channels that bypass some of the intermediaries currently involved in moving money between countries.
If different BRICS CBDCs became interoperable, a transaction could potentially move directly between sovereign digital-currency systems rather than passing through several commercial correspondent banks.
Malhotra said the RBI continues working to encourage greater use of local currencies in trade and international payments.
Cross-border payments are one of the areas where blockchain-based stablecoins have gained traction because conventional international transfers can remain slow and expensive.