Iran Proposes 10 Billion Dollar BRICS Reinsurance Fund

Iranian President Masoud Pezeshkian proposed a joint reinsurance company with 10 billion dollars in initial capital. The fund would cover major infrastructure and energy projects across BRICS member states. This move seeks to strengthen private sector confidence in cross-border investments. Pezeshkian delivered these remarks during the BRICS Business Forum in Delhi. The proposal highlights a strategic shift toward financial independence within the bloc.

The Iranian leader called for a wider use of national currencies in trade. He argued that diversifying payment channels reduces vulnerability to political shocks. Current international systems rely heavily on a limited number of currencies. Pezeshkian stated this concentration creates significant risks for member economies. He emphasized the need for mechanisms to manage currency risks and facilitate reciprocal settlements.

Diversifying Payment Channels Reduces Risk

Pezeshkian cited recent sanctions as evidence of systemic fragility. He described the current geopolitical environment as one of heightened uncertainty. Economic instruments are increasingly used to exert political pressure. Iran has experienced direct impacts from these measures in recent months. The president argued that economic security cannot be separated from national security. He stated that pressure on one country's financial system affects regional stability.

The proposal includes integrating trade infrastructure within BRICS. This involves digitalized customs procedures and reduced regulatory barriers. The goal is to facilitate joint private sector investment. Pezeshkian urged the New Development Bank to serve as a principal financing engine. He proposed dedicated credit lines and local currency financing to attract capital. These measures aim to create a more robust financial network for the bloc.

Shaping Digital Standards and Energy Links

The Iranian president also addressed the role of artificial intelligence. He stated that BRICS should participate in shaping digital economy standards. The bloc should not remain merely a consumer of technology. Pezeshkian called for stronger cybersecurity measures to protect critical infrastructure. He emphasized the need for technological capabilities alongside economic cooperation. This approach aims to ensure long term resilience in the digital sector.

Iran positioned itself as a key link in energy and transport supply chains. The country leverages its geographical location and energy resources. Pezeshkian proposed that the BRICS Business Council evolve into an executive engine. This shift would include measurable targets for intra BRICS trade growth. The council would also track the share of national currencies in trade. According to GN markets/fx (en-US), these targets aim to reflect cooperation in tangible economic outcomes.

Measurable Targets for Trade Growth

The proposed framework requires specific metrics for success. Pezeshkian called for tracking the volume of private capital mobilized. The focus is on contracts, factories, and ports. He stated that true strength comes from transforming capacities into networks. This network includes trade, investment, and joint financing. The initiative seeks to make BRICS a dominant force in the global economy. The success of these plans depends on sustained political and economic commitment.