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BRICS Finance Ministers and Central Bank Governors Meeting [Prelims Bits]

13 Sep 2026

Tags: Prelims   Current events of national and international importance

Source: The Hindu

  • Context: BRICS Finance Ministers and Central Bank Governors (FMCBG) expressed concern over unilateral tariffs and non-tariff measures that distort trade and called for a rules-based multilateral trading system with the World Trade Organization (WTO) at its core.
  • Called for practical solutions for cross-border payments using BRICS local currencies, while respecting national priorities.
  • BRICS Payment Task Force (BPTF): Working on interoperability of payment and messaging systems and facilitating faster, cheaper, safer and more efficient cross-border payments.
  • BRICS Task Force on Growth and Development: Established under India’s BRICS chairship to address shared growth and development challenges of emerging economies.
    • Two workstreams:
      • Resilience, Innovation and Cooperation
      • Sustainability
  • Discussed reforms of multilateral lending institutions, including the World Bank and International Monetary Fund (IMF).
  • FMCBG: Key BRICS platform bringing together finance ministers and central bank governors.
  • BPTF: Focuses on improving cross-border payment connectivity and local-currency settlements among BRICS members.
  • BRICS supports an open, transparent, inclusive, non-discriminatory and rules-based global trading system with the WTO at its core.
  • India established the Growth and Development Task Force during its BRICS chairship.

Prelims Question

Q1. With reference to the BRICS Finance Ministers and Central Bank Governors (FMCBG) mechanism, consider the following statements:

  1. The BRICS Payment Task Force seeks to improve interoperability among payment and messaging systems for cross-border transactions.
  2. Promotion of local-currency settlements necessarily requires BRICS members to adopt a common currency.
  3. The BRICS Growth and Development Task Force was established under India's BRICS chairship to address development challenges of emerging economies.
  4. The FMCBG discussions include reforms of institutions such as the World Bank and International Monetary Fund.

Which of the statements given above are correct?

(a) 1, 3 and 4 only
(b) 1 and 2 only
(c) 2, 3 and 4 only
(d) 1, 2, 3 and 4

Answer: (a) 1, 3 and 4 only

Explanation:
 Statements 1, 3 and 4 are correct. The Payment Task Force focuses on payment-system interoperability and efficient cross-border payments. Local-currency settlement does not imply creation or adoption of a common BRICS currency, making statement 2 incorrect.

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