BRICS Bank Shifts Strategy: Now 25% of Loans Denominated in Local Currencies

Dollar dominance takes another hit as the BRICS Bank pivots hard into local currencies.

The move signals a quiet revolution in global finance—or at least an attempt to shake loose from Western monetary hegemony.

With a quarter of all lending now bypassing traditional reserve currencies, the bank’s playing the long game. Whether this accelerates de-dollarization or just creates more forex headaches remains to be seen.

Bonus jab: Because nothing says 'financial independence' like relying on currencies that swing 10% before breakfast.

BRICS Bank Disburses 25% Loans in Local Currencies

Only 75% of all loans lent by the NDB cover the US dollar and other Western currencies. Apart from disbursing 25% of loans in local currencies, 40% of the BRICS bank’s lending supports long‑term sustainable infrastructure and energy projects. The finance is devoted to sustainable projects in partnership with national development institutions.

Rousseff stressed that by 2025, the BRICS bank aims to disburse 30% of all loans in local currencies. An increase of 5% makes a big difference as national tenders are inching towards dominance. The US dollar will be used less for loans and repayment adding to its deficit. If the US cannot fund the dollar overseas, its economy could face a massive beating.

The importance of environmental sustainability is at the heart of the economic strata for NDB, revealed Rousseff. She said that the strategies areand the BRICS bank is working closely to fulfil the policies. NDB is also expanding as new ‘Partner Countries’ are involved in the funding and financing. It is lending loans to various emerging economies making it easier for them to use local currencies for the transactions.