MUMBAI (Realist English). Finance ministers and central bank governors of the BRICS countries, following a meeting held on September 10 in Mumbai under India’s chairmanship, adopted a joint statement reiterating calls for urgent reform of the International Monetary Fund and the World Bank.
The Core Demands: Quotas, Votes and Leadership Posts
The joint statement emphasises that the Bretton Woods institutions, created after the Second World War, must better reflect shifts in the global economy.
BRICS financial chiefs called for an increase in the quotas and vote shares of developing countries in the IMF, as well as broader representation in the leadership of both institutions.
“We reiterate our call for improved governance procedures, including a transparent and inclusive merit‑based selection process that would enhance regional diversity and the representation of developing countries in the leadership of the IMF and the World Bank,” the statement reads.
On IMF reform, the meeting participants called for the immediate entry into force of the quota increase agreed under the 16th General Review of Quotas, and for the development of approaches for a “significant redistribution of quotas” under the 17th Review.
Regarding the World Bank, it was noted that the 2025 shareholding review is a key instrument for strengthening the institution’s legitimacy and correcting the historical under‑representation of developing countries.
40% of Global GDP vs. One‑Third of Votes
The BRICS position rests on a fundamental mismatch between the group’s economic weight and its influence in international financial institutions.
As Russian Foreign Minister Sergey Lavrov previously noted, BRICS countries collectively produce about 40% of global GDP, yet do not have comparable influence, while the G7, which accounts for less than a third of global output, continues to determine the policies of the Bretton Woods institutions.
“It is unacceptable that the so‑called G7, which accounts for less than a third of world production, continues to determine the policies and practices of the Bretton Woods institutions, while the BRICS countries, which provide about 40% of global GDP, do not have comparable influence,” Lavrov said at the BRICS ministerial meeting in New Delhi.
Payment Integration: Local Currencies and System Linkages
In addition to IMF and World Bank reform, BRICS financial chiefs supported continued negotiations on payment system compatibility and settlements in national currencies.
However, the final Mumbai statement did not announce the creation of a single BRICS payment system — the parties limited themselves to supporting further discussions.
India’s Trade and Industry Minister Piyush Goyal, speaking at the BRICS Business Forum, urged members to trade in national currencies and integrate instant payment systems. India has already linked its Unified Payments Interface (UPI) with 11 countries worldwide.
“I urge BRICS members and partner countries to link our payment systems, trade in each other’s national currencies, make digital trade global, and together build the future of new technologies,” Goyal said.
Russian Minister of Economic Development Maxim Reshetnikov reported that the share of the dollar and euro in settlements for Russian exports has fallen from 85% three years ago to 11% currently. “The alternative international financial system has become our key lever. Today it connects thousands of banks in many countries,” he noted.
Russia’s Position: Not De‑Dollarisation, But National Interests
Kremlin spokesman Dmitry Peskov, commenting on the summit agenda, stressed that the transition to national currencies is not a deliberate de‑dollarisation policy. According to him, Russia conducts 90% of financial operations with BRICS countries in national currencies.
“The use of national currencies is not a de‑dollarisation policy. We are simply doing what is best for national interests,” Peskov said, adding that some countries use their currencies as a tool of political pressure.
Iran’s Position: Accelerate Expansion of the New Development Bank
The Central Bank of Iran, in turn, urged BRICS to focus its financial track on practical projects: cross‑border payment solutions, connectivity of fast payment systems, and cooperation in central bank digital currencies.
Iran also called for accelerating the consideration of new members’ applications to join the New Development Bank (NDB) and for reforming IMF governance in favour of developing economies.
Expert Commentary: “Trump Is Accelerating De‑Dollarisation”
Economist Jeffrey Sachs, in an interview with CNBC‑TV18, said that US pressure on BRICS countries could, on the contrary, accelerate their efforts to reduce dependence on the dollar. “The US made a serious mistake, which it continues to this day — it militarised the dollar,” Sachs noted.
According to him, the technology for creating a multi‑currency BRICS payment system already exists, and trade between India and Russia is increasingly conducted in national currencies. “If there was ever an invitation to complete the creation of non‑dollar payments, it is indeed Donald Trump’s threat,” the economist stressed.
What Next: Leaders’ Summit in New Delhi
The meeting of financial chiefs took place ahead of the BRICS leaders’ summit, which will be held in New Delhi on September 12–13. As analysts note, the main intrigue of the summit remains the possibility of agreeing on a final joint declaration amid disagreements between Iran and the UAE over the Middle East conflict.
Kremlin spokesman Dmitry Peskov expressed hope that the necessary wording would be found, noting that Russia is ready to assist in normalising relations between Iran and the UAE if required.
