BRICS Payment System Set to Launch, Ushering in a New Era of Global De-Dollarization‌

 

Date：[2024/8/20]
 

Amid profound shifts in the global economic landscape, the BRICS Payment System (BAPSS) is poised to officially launch in October 2024, marking a substantial step forward in the global de-dollarization process. As a formidable competitor to the SWIFT system, the BRICS Payment System aims to reduce reliance on the US-dominated international payment system and provide a more equitable, efficient, and secure payment environment for global trade.
‌Background and Significance‌

Since the United States has frequently leveraged dollar hegemony to impose financial sanctions on other countries, many nations around the world have begun seeking alternative solutions. The emergence of the BRICS Payment System addresses this need. Not only does it enable cross-border payments and settlements without the use of the US dollar among BRICS member countries, but it has also attracted 159 countries, including Western developed nations, to join, covering over 80% of the world's nations, demonstrating its significant international influence and appeal.

The launch of the BRICS Payment System represents a major innovation in the financial sector and a crucial milestone in the transformation of the global economic structure. It signifies the growing role of BRICS countries in global economic governance and contributes to the diversification and decentralization of the global financial system.
‌System Functions and Features‌

The BRICS Payment System employs distributed ledger technology, leveraging digital currencies issued by central banks of various nations to facilitate secure, efficient, and transparent cross-border transactions. The system supports direct settlements in multiple currencies, eliminating the cumbersome process of currency conversion in traditional cross-border payments and significantly reducing transaction costs and risks. Additionally, the BRICS Payment System boasts high flexibility and scalability, adapting to the evolving needs of the global economy.
‌International Response and Future Outlook‌

The announcement of the BRICS Payment System has sparked strong international reactions. Governments and businesses from various countries have expressed their support and eagerness to join the system, aiming to enjoy more convenient and secure international payment services. With continuous improvement and expansion, the BRICS Payment System is poised to become a vital infrastructure in the global financial landscape, injecting new vitality into economic development.
Looking ahead, the BRICS Payment System will continue to uphold the principles of openness, inclusiveness, and cooperation, actively engaging in dialogue and collaboration with other international payment systems to jointly advance the improvement and development of the global financial governance system. Meanwhile, BRICS countries will leverage this opportunity to strengthen internal cooperation and coordination, collectively addressing global economic challenges, and advancing the construction of a community with a shared future for mankind.