Putin for creating parallel SWIFT system to break dollar dominance

Putin said BRICS nations should focus on use of national currencies, new financial instruments and creation of an analogue of SWIFT

Russian President Vladimir Putin has said the multi-nation BRICS group should explore a SWIFT-like cross-border payments system immune to Western sanctions as well as use national digital currencies in financing investment projects to end US dollar dominance.

Ahead of the 16th annual summit of leaders of BRICS to be hosted by Russia, Putin also said the time has not come yet for a common BRICS currency but added that the 10-nation bloc is exploring the use of digital currencies for which his country is working with India and other nations. Russia wants to circumvent the global financial system by creating a new payments system based on a network of commercial banks linked to each other through the BRICS central banks.

Advocating a cautious approach in creating a new reserve currency due to differences in the structure and quality of the economies of the BRICS member states, Putin said these countries should focus on the use of the national currencies, new financial instruments and the creation of an analogue of SWIFT.