Russian President Vladimir Putin proposed a BRICS digital investment platform to enhance investment in developing markets, particularly in South Asia, Africa, and Latin America.
BRICS Digital Asset Platform Objectives
At the Valdai Discussion Club’s plenary session in Sochi on Friday, Russian President Vladimir Putin deliberated on the potential establishment of a BRICS investment platform to assist in the development of emerging markets. Tass quoted him as stating:
We suggest creating a new investment platform of [BRICS countries], using electronic assets, developing them.
“The objective is to establish an electronic payment platform that will enable investors to invest in emerging markets, including South Asia, Africa, and Latin America,” the Russian leader explained.
The proposed system would enable streamlined investment in these regions by utilizing a digital framework to facilitate investments from BRICS nations into high-growth areas.
Egypt, Ethiopia, Iran, and the United Arab Emirates (UAE) were incorporated into the BRICS economic alliance on January 1, joining Brazil, Russia, India, China, and South Africa.
The objective of this expansion was to increase the group’s global economic and political influence. BRICS also extended partnership invitations to 13 additional countries during a recent summit in Russia, thereby expanding its international presence.
Putin emphasized that the regions targeted by this initiative are attractive for BRICS investment due to their strong demographic and economic potential. He expressed his opinion:
We think so because very strong demographic processes are taking place there: population growth, capital accumulation, the urbanization level is in sufficient there and it will definitely grow.
During the 16th BRICS Summit, which took place in Kazan, Russia from October 22-24, members deliberated on the expansion of the bloc’s global influence. This included the development of alternatives to Western-dominated payment systems in order to enhance financial independence.
Putin has also elucidated Russia’s position on the U.S. dollar, asserting that, despite the limitations on its use, the country does not intend to abandon the currency.
He criticized U.S. policies that restrict the use of the dollar, contending that they undermine American financial authority, despite acknowledging the dollar’s significance to Russia’s economy.
