SCO Summit: Russian President Vladimir Putin has declared that Moscow and Beijing are “united in strengthening” the BRICS grouping, positioning it as a counterweight to Western economic influence. In an interview with China’s Xinhua News Agency ahead of the Shanghai Cooperation Organisation (SCO) Summit in Tianjin, the Russian leader said the bloc was becoming a “key pillar of global architecture.”
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“We are working closely with China within BRICS to expand its role as a key pillar of global architecture. Together, we advance initiatives aimed at expanding economic opportunities for member states, including the creation of common platforms for partnership in strategic sectors,” Putin stated.
He argued that BRICS nations were collectively resisting “discriminatory sanctions” imposed by Western powers, which he claimed were slowing down the socioeconomic growth of emerging economies.
This comes amid US sanctions and reciprocal tariffs on several countries including India.
Reform of global financial institutions
A major focus of Putin’s remarks was on global financial governance. He reiterated Moscow’s support for reforms to institutions such as the International Monetary Fund (IMF) and the World Bank, contending that the existing system heavily favours developed Western economies.
“Alongside our Chinese partners, we support the reform of the International Monetary Fund and the World Bank. We are united in the view that a new financial system must be based on openness and true equity, providing equal and non-discriminatory access to its tools for all countries,” he said.
Warning against the use of finance as an “instrument of neo-colonialism”, Putin urged for a new system that reflects the growing influence of emerging economies.
Notably, BRICS is strategically challenging the dominance of the US dollar by advancing initiatives to reduce dependency in global trade and finance. Member nations are actively exploring alternative mechanisms to settle cross-border transactions. One notable project is BRICS Pay, a blockchain-based payment system designed to facilitate seamless trade without the dollar. Additionally, the bloc is discussing the creation of a common currency, sometimes called the “BRICS Unit,” which could be backed by gold or a basket of national currencies. These moves reflect a long-term strategy to enhance financial sovereignty, strengthen economic cooperation, and create a multipolar global monetary framework.
BRICS role in global governance
Putin also praised China’s leadership role within the G20 and underscored efforts to align BRICS with broader interests of the Global South. He argued that BRICS nations, working alongside other developing countries, were reshaping the G20 agenda to address issues that matter most to the so-called “Global Majority.”
“Within the G20, together with like-minded nations, and especially BRICS members, we have redirected the agenda towards issues of real importance to the Global Majority, strengthened the format by including the African Union, and deepened the synergies between the G20 and BRICS,” he said.
His remarks reflect Moscow’s long-standing strategy of promoting alternative power blocs to Western-led institutions, particularly as Russia faces prolonged sanctions from the United States and Europe following its invasion of Ukraine.
Tianjin SCO summit
The comments come just ahead of the 25th Shanghai Cooperation Organisation (SCO) Summit, being hosted in Tianjin from 31 August to 1 September. The summit will bring together leaders of major Eurasian powers, including China President Xi Jinping and India Prime Minister Narendra Modi.
According to geopolitical experts, the SCO gathering will provide a stage for Russia to deepen its alignment with China while simultaneously testing its ability to engage constructively with India, which has maintained a delicate balance between its Western partnerships and its role in BRICS and the SCO.
Putin reached northern Chinese city of Tianjin on Sunday morning to attend the SCO summit hosted by counterpart Xi Jinping with around 20 other world leaders.