Sergey Lavrov: creation of new structures to support global economy is inevitable

Russian Foreign Minister Sergey Lavrov stated that the emergence of new structures aimed at supporting international economic, investment, and transport links is inevitable. This is occurring in circumstances where existing institutions no longer reflect the real state of affairs, the head of the foreign ministry noted in an exclusive interview with TV BRICS.

“For many years we have been advocating reform of these institutions (the International Monetary Fund, the World Bank, the World Trade Organisation) so that BRICS countries – which have been and remain the fastest-growing global economies and major trading powers – receive voices and rights commensurate with their real weight in the global economy, in international trade, and in global logistics,” Lavrov said.

The development of alternative financial instruments within BRICS countries is intended to expand economic cooperation among the group’s members and their partners.

"These include alternative payment platforms, mechanisms for settlements in national currencies, the creation of reinsurance opportunities for trade within BRICS and between BRICS and its partners, the establishment of a grain exchange, and the creation of a new investment platform. ... Naturally, together with our BRICS partners, we are interested in building an architecture that will not be vulnerable to unlawful actions"

Sergey Lavrov Minister of Foreign Affairs of Russia

The New Development Bank (NDB), established by BRICS, serves as one of the key elements of this new architecture. Over ten years of operation, the bank has approved around 120 projects with a total value of US$39 billion, directing funds to transport infrastructure, clean energy, water supply, and social programmes in Global South countries.

Among the NDB’s major projects are financing a transport corridor in India, the construction of an LNG terminal, and metro lines in China. Initiatives under discussion include the establishment of a clearing centre, the development of settlement systems in national currencies, and the introduction of a BRICS single currency.