Premature to talk about common currency in BRICS - Russian deputy FM

MOSCOW. Oct 3 (Interfax) - There should be no illusion about a common currency in BRICS, as it is premature to talk about that, Russian Deputy Foreign Minister Sergei Ryabkov said.

"It would be too early to speak about any common currency in the strict sense of this term. The reason is the significant differences in the approaches of our states to regulation of the payment balance, national financial markets, and inflation targets," Ryabkov said at a press conference in Moscow on Thursday.

"For some time, our cooperation has been focused on strengthening the autonomy and financial sovereignty of the group members and the development of settlement and payment mechanisms that could be resistant to external risks and ensure the normal functioning and development of trade between BRICS members," he said.

The share of national currencies has reached 65% in Russia's export-import operations with BRICS members, he said.

"We should have no illusion or inflated expectations. The development of independent payment instruments is a highly complicated issue, which requires a thought-out approach," Ryabkov said.

As to the prospects of the New Development Bank, he said, "We are working on further strengthening of the potential of the New Development Bank."

The bank has been established by the developing world for developing countries, Ryabkov said, adding that its credit portfolio exceeds $32 billion and "the bank has posted substantial net profit."

"Indeed, we think it's important to draw new BRICS members into the New Development Bank activity. We will be working to enhance the bank's capacity for borrowings on the markets of developing countries and to reduce the risk of sanctions pressure on the New Development Bank operations, including through the more active use and crediting in currencies other than the U.S. dollar," he said.