WASHINGTON (Pakistan Point News / Sputnik - 16th May, 2019) Having mutual payments in national currencies is a priority task for BRICS, Head of BRICS Office at Russia's Ministry of Foreign Affairs Mikhail Kalugin told Sputnik.
"This [the issue of mutual settlements in national currencies] is a very important issue, the leaders of five countries regularly address it during the summits," Kalugin said on Wednesday. "The work is underway, and Central Banks are discussing the possibilities of such settlements in national currencies, looking at the mechanisms."
Kalugin stressed that initially the work will be in bilateral formats, for example, about calculations, the payments between Russia and India in national currencies, or between Russia and China.
"But for a five-sided dialogue, everything should mature. When the conditions for this will be created, we, of course, will be ready to explore the possibilities that such mechanisms provide. This is a priority task, but, I repeat, it must be approached gradually, step by step," Kalugin stressed.
Kalugion confirmed that mutual settlements in national currencies can be a good tool for overcoming the consequences of sanctions.
"As a diplomat, I will tell you, of course, this is a good tool," he added. "But to create a working tool, takes years, gradual steps towards this. This is the goal and these steps will be taken. We are conducting these consultations. But no one wants to create artificial mechanisms. Mechanisms that do not work. So, I do not exclude that in 5-10 years of mutual trade of BRICS in national currencies may increase significantly."
Kalugin spoke on the sidelines of "Doing Business With the BRICS" Conference organized by the Eurasia Center and the Eurasian Business Coalition.
The seventh annual conference brought together various experts and officials from Brazil, Russia, India, China and South Africa seeking to expand trade, direct investments and business opportunities, as well as open communication.
