TL;DR

• India’s central bank has proposed linking BRICS central bank digital currencies to ease cross-border trade and tourism payments
• The idea may be formally discussed at the 2026 BRICS summit, which India is set to host
• According to Reuters, this would mark the first official consideration of CBDC interoperability within the BRICS bloc
• Talks are still at an early stage and depend on agreements around technology, governance, and settlement
• India’s e-rupee has already reached 7 million retail users since launching in December 2022

India’s central bank is quietly pushing a new idea that could reshape how BRICS nations handle cross-border payments. According to a Reuters report, the Reserve Bank of India (RBI) has proposed linking the digital currencies of BRICS member states to make trade and tourism payments faster and cheaper. The proposal, cited by two anonymous sources, would place central bank digital currency interoperability on the agenda for the 2026 BRICS summit, which India is scheduled to host. 

If accepted by the Indian government and other BRICS partners, the move would represent the first formal discussion of CBDCs within the bloc, which includes Brazil, Russia, India, China, and South Africa. While BRICS leaders have spoken broadly about improving cross-border payment systems in the past, this would be the first time digital sovereign currencies are explicitly part of that conversation. The idea itself is straightforward. Rather than creating a single shared BRICS currency, the proposal focuses on linking existing national digital currencies so they can interact with one another. That could allow businesses and travelers to move value across borders without relying as heavily on correspondent banks, intermediaries, or slow settlement systems.

However, Reuters notes that discussions remain at an early stage. Any progress would depend on agreements covering technology standards, governance frameworks, and settlement mechanisms. In other words, the political signal may be emerging, but the technical and institutional groundwork is still far from settled.

Building on Earlier BRICS Payment Talks

The RBI’s proposal builds on several years of discussion within BRICS around payment infrastructure and financial cooperation.

At the 2025 BRICS summit in Brazil, member countries signaled interest in improving payment interoperability, particularly for trade and tourism. Those talks reflected a shared frustration with the cost and complexity of cross-border settlements, especially when transactions involve multiple currencies and financial systems. Linking CBDCs would be a natural extension of those efforts. Even without a unified currency, interoperability could reduce friction by allowing national digital currencies to settle directly with one another. 

For exporters, importers, and travelers, that could mean fewer intermediaries, lower fees, and faster confirmation times. For India, the proposal also aligns with its broader push to internationalize its digital payments infrastructure. The country has already exported elements of its Unified Payments Interface (UPI) to other markets. Extending similar thinking to the e-rupee is a logical next step, particularly within a bloc that represents a significant share of global trade and population.

Reuters reported that India’s digital currency, known as the e-rupee, has attracted a total of 7 million retail users since its launch in December 2022. That level of adoption gives the RBI a stronger footing to argue that its CBDC is ready to play a role beyond domestic pilots.

At the same time, India has publicly signaled interest in connecting the e-rupee with other central bank digital currencies to speed up settlement. The BRICS framework offers a relatively contained environment to explore that idea without immediately exposing it to global financial markets.

What Linked BRICS CBDCs Could Mean

If BRICS nations move forward with CBDC interoperability, the implications would extend beyond technical upgrades. It would mark a shift in how major emerging economies think about sovereign digital money and cross-border coordination. That said, the proposal stops well short of creating a common BRICS currency. Each member would retain control over its own digital unit, monetary policy, and issuance rules. The focus would be on connectivity, not unification.

The challenges are significant. Interoperability requires agreement on messaging standards, settlement finality, foreign exchange handling, and legal responsibility when transactions fail or disputes arise. Governance questions loom large as well. Who operates shared infrastructure? How are rules enforced? And how are risks distributed among participants? There is also the issue of uneven readiness. While some BRICS members have advanced CBDC pilots, others are still testing basic functionality. Aligning timelines and technical capabilities across five very different financial systems will not be simple.

Still, the proposal reflects a broader global trend. Central banks around the world are experimenting with ways to modernize cross-border payments, and CBDCs are increasingly part of that conversation. By raising the idea at a BRICS summit, India is positioning the bloc as an active participant in shaping that future, rather than a passive observer.

What Comes Next

For now, the RBI’s recommendation remains just that, a recommendation. Whether it becomes an agenda item in 2026 will depend on political buy-in from both India’s government and its BRICS partners. But even at this early stage, the signal is clear. India sees CBDC interoperability not as a theoretical exercise, but as a practical tool for trade, tourism, and financial cooperation.

As discussions evolve, the BRICS bloc could become an important testing ground for how sovereign digital currencies interact on the international stage, one link at a time.

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