The BRICS 2025 Summit took place from 6th July 2025-7th July 2025 in Rio de Janeiro, Brazil, with the participation of the member states, namely, Brazil, Russia, India, China, and South Africa, as well as the newly admitted countries Iran, Egypt, Ethiopia, and the United Arab Emirates. The summit focused on financial cooperation, trade in local currencies, global institutional reform, advancements in technological infrastructure, and geopolitical coordination.
One of the primary outcomes was the creation of a formal working group, tasked with evaluating the feasibility of a BRICS common currency for intra-bloc trade settlement. The group is expected to submit its first report by late 2026. While the currency would not serve as legal tender within member states, it is designed to function as a unit of account to facilitate trade and investment flows among BRICS members This follows ongoing efforts by member countries to reduce dependency on the U.S. dollar.
This decision follows a shift by BRICS countries toward settling bilateral trade in national currencies. According to data presented at the summit, 43.2% of trade between China and Russia in 2024 was conducted in yuan and roubles. India reported that over 18% of its oil imports from Russia were paid for in rupees, dirhams or roubles. Brazil and China reaffirmed an agreement signed in 2023 to expand settlement in yuan and roubles. The New Development Bank (NDB), headquartered in Shanghai, stated that 31.2 per cent of its total lending in 2024 was issued in local currencies.
Russia and the UAE signed a Memorandum of Understanding to expand oil and gas transactions denominated in national currencies. China announced plans to increase yuan based energy import contracts from Russia and Qatar. Brazil and South Africa signed a renewable energy cooperation agreement focused on solar and wind development, partially financed by the New Development Bank and supported by technical assistance from Chinese state owned enterprises.
A separate session was held on digital and technological cooperation. China and Russia presented a proposal for a BRICS Digital Infrastructure Framework, which would include regional data centres, common cybersecurity protocols, and independent cross-border payment systems. The proposal includes guidelines for limiting data dependence on U.S.-based platforms. A technical committee will begin assessment in the fourth quarter of 2025.
Technological sovereignty and digital cooperation were addressed through new proposals for a BRICS Digital Architecture Framework. China and Russia introduced plans for shared data centres, common cybersecurity protocols, and alternative financial messaging systems to SWIFT. India and South Africa supported further cooperation on digital identification, cross-border payment platforms, and fintech regulation.
The expansion of the bloc was described by Brazilian President Luiz Inácio Lula da Silva as a step towards making BRICS a more globally representative coalition. With the inclusion of Iran, Egypt, Ethiopia and the UAE, the bloc now accounts for over 46 per cent of the global population, more than 31 per cent of global nominal GDP, and over 40 per cent of global oil production. According to figures released at the summit, intra-BRICS trade rose to $7.3 trillion in 2024, with trade in national currencies accounting for 24.7 per cent of that total. This marked a 6.4 percentage point increase over 2023.
Following the conclusion of the BRICS 2025 Summit, former U.S. President Donald Trump proposed the imposition of a flat 10 per cent tariff on all imports from BRICS nations. The announcement, made during a campaign rally In Pennsylvania on 7 July, was framed as a direct response to what he described as a “coordinated economic assault” on U.S. interests. Trump also criticised the bloc's inclusion of Iran, arguing that BRICS is becoming a platform for states under U.S. sanctions to bypass Western controls. His tariff proposal is framed as a countermeasure against what he described as "state-managed economic aggression," particularly from China and Russia.
The BRICS 2025 Summit concluded with concrete steps toward reducing dependence on Western financial systems, expanding trade in local currencies, and reforming global institutions.
Dhanishtha De is a trainee journalist at Cult Current. The views expressed in the article are
her ownand do not necessarily reflect the official stance of Cult Current.