The need to create an alternative global payment system within the framework of BRICS in the context of ensuring national interests
Authors
Natalia N. Azhogina
South-Russian Institute of Management of Russian Presidential Academy of National Economy and Public Administration
Автор
Ludmila V. Kitaeva
South-Russian Institute of Management of Russian Presidential Academy of National Economy and Public Administration
Автор
Keywords:
payment system,
BRICs,
monetary rent,
discriminatory institutions,
development goals of the countries of the global South,
sanctions,
cryptocurrencies,
world trade,
settlements between countries
Abstract
Introduction. The processes of globalization in the global economic system are associated with the aggravation of geopolitical tensions. The problems of protecting national interests are being actualized, the solution of which is related to the formation of conditions for fair exchange, which requires restructuring the existing system of international settlements. Purpose. The modern international financial system is in a state of turbulence, followed by an inevitable restructuring towards increasing the sovereignty of individual States and respecting national interests. The purpose of the study is to analyze the experience of building interstate mutual settlement systems in order to identify possible directions for the development of relations within the BRICS using intra-block settlement and investment instruments. Methods. The work is a logical continuation of the author's previously published research. The research methods are a structural analysis of the institutional organization of the global financial system, using a historical and logical approach, description, comparison, and establishment of cause-and-effect relationships in building a financial infrastructure that generates and redistributes monetary rent, which is an independent source of income for the issuing states of payment instruments and is not always appropriated by the owner-producer of the goods. Results. Possible options for organizing an alternative global payment system within the framework of BRICS are presented. It has been proven that the global economy is currently in the stage of a new transition. There are two alternatives to the new settlement infrastructure: the creation of a multicurrency basket of partner countries (such as ECU, euro, etc.), or the development of a new digital financial instrument as an absolutely unparalleled universal equivalent. The authors of the article tend to see disadvantages in the first approach due to the impossibility of implementation without taking into account the principle of regionalization, and are inclined to the need for a qualitatively new approach in the organization of modern payment systems based on the production and exchange sale of cryptocurrencies. Conclusions. For the countries that are members of the BRICS and are partners of this union, the most fair option, eliminating the mechanism of discrimination and capture of monetary rents by unfriendly entities, is to create a block payment instrument for mutual settlements within the union, based on the parity of the national economies of the union, like the euro, or a fundamentally new electronic or cryptocurrency, to invest in which will be produced by the countries included in the block.