Pezeshkian Pushes BRICS to Shift to Operational Trade Networks

Iranian President Masoud Pezeshkian called for a shift from potential to operational cooperation within BRICS. He urged the bloc to build a resilient trade network that reduces reliance on external financial systems. This move aims to protect member economies from geopolitical shocks. The call comes as global supply chains face increasing disruption.

Speaking at the BRICS Business Forum in New Delhi, Pezeshkian highlighted the need for diversification. He emphasized expanding the use of national currencies in trade. This approach seeks to mitigate the risks associated with a limited number of dominant global currencies. The goal is to create a more stable financial environment for all members.

National Currencies Reduce Financial Vulnerability

According to GN markets/fx (en-US), the current financial system is vulnerable to political pressure. Pezeshkian stated that reliance on a few currencies creates systemic risk. He called for tools to manage currency risk and facilitate mutual settlement. This infrastructure is necessary to support broader trade integration.

The president noted that economic security is inseparable from national security. Trade disruptions can extend beyond borders and affect regional stability. He argued that no single entity should be able to disrupt legitimate trade. This requires a collective effort to secure payment channels and financing sources.

Trade Infrastructure Needs Digitization

Pezeshkian outlined specific measures to boost trade among members. He cited the digitization of customs and trade-facilitation processes as a priority. Reducing regulatory and administrative barriers is also essential. These steps will help develop cross-border markets and facilitate joint private-sector investment.

The strategy includes strengthening cooperation on standardization. This will allow BRICS to evolve from a raw material exchange into a value chain network. Joint industrial production is a key component of this vision. It aims to increase the added value of goods traded within the bloc.

Measurable Indicators Define Economic Success

The BRICS Business Council must become an operational engine for cooperation. Pezeshkian stressed that working groups should define concrete projects. These projects must use clear indicators for success. Examples include the growth rate of intra-BRICS trade and the volume of private capital invested.

He also highlighted the role of artificial intelligence in the global economy. BRICS should generate knowledge and shape digital economy standards. Strengthening cybersecurity for critical infrastructure is another priority. This approach ensures that the bloc remains competitive in the digital age.