India’s Global South Push vs China

• India pushes for a stronger Global South voice through BRICS at the 18th Summit.
• BRICS focuses on local currencies instead of a common currency as part of de-dollarization. 
• India-China ties and China’s AI push could shape the BRICS bloc’s future.

 As tensions between major powers continue to reshape international trade, BRICS is reportedly seeking a bigger role in the global economy. Amid these shifts, India is pushing for stronger representation of the Global South, while maintaining its strategic ties with both China and the West.

India Pushes for a Stronger Global South Role Through BRICS

At the 18th BRICS Summit, which was held in New Delhi on September 12-13, 2026, leaders from BRICS countries discussed ways to strengthen economic and political cooperation.  Leaders like Indian Prime Minister Narendra Modi, Chinese President Xi Jinping, Russian President Vladimir Putin, South African President Cyril Ramaphosa, and Iranian President Masoud Pezeshkian took part in the meeting.

Notably, the meeting focused on strengthening cooperation in trade, finance, technology, food and energy security, healthcare, and supply chains. India hosted the summit under the theme “Building for Resilience, Innovation, Cooperation and Sustainability.”

Notably, India is using BRICS as a platform to push for a stronger voice for developing countries. The country believes that the emerging economies should have a greater role in decisions that affect the global economy. India is pushing for reforms in global institutions, including the UN, IMF, World Bank, and WTO. Nonetheless, India doesn’t aim to turn BRICS into an anti-Western bloc. Instead, it intends to build a more balanced global order where the Global South has more influence.

Local Currencies Take Centre Stage in BRICS

Significantly, the main focus of BRICS is to reduce the growing reliance on the US dollar. The BRICS nations currently do not intend to launch a common currency. Instead, they are focusing on using local currencies for cross-border trade. This could improve payment connections between these countries.

It is worth noting that China has been supporting this approach. India is also a supporter, as it could help the country to reduce dependence on Western financial systems. The move could also help India to reduce exposure to currency fluctuations and make trades with BRICS partners easier and more efficient. However, it could not be an immediate shift, but only a gradual process.

India-China Ties Show Signs of a Cautious Reset

India and China are now taking initiatives to improve their strained connection. The visit of Xi Jinping to India is an example of how the countries are attempting a cautious reset after years of tensions. However, not all issues have been resolved, with border concerns and strategic mistrust continuing to remain important.

US Trade Pressure Gives India and China a Reason to Cooperate

Interestingly, the current US trade policies are adding another layer to the relationship between India and China. Both countries are facing pressure from US President Donald Trump over tariffs and trade policies. This gives both countries more reasons to cooperate and explore areas of mutual economic deals. Although this doesn’t mean India and China will suddenly become close allies, it could encourage them to find common ground, especially through BRICS.

China Pushes AI Cooperation Across BRICS

Interestingly, China is attempting to make artificial intelligence (AI) a bigger part of BRICS cooperation. The country focuses on open-source AI, shared infrastructure, and training programs. This initiative could give BRICS countries more opportunities to develop and use AI-related tools. Thus, the nations could gain access to the technology without relying on Western companies.

How Could BRICS Moves Impact Global Markets?

It is important to note that the BRICS nations’ focus on de-dollarization could have a broader impact on the global market. If the countries increase the use of local currencies, the demand for dollar-based transactions will decline. This, in turn, could increase investor demand in safer assets like gold.

Greater cooperation among BRICS countries could also support regional trade and payment networks. Demand for critical minerals could also gain more attention, with countries focusing on building more resilient supply chains. It could also create more opportunities for Asian equities and emerging-market currencies.

Related: India Eyes Global Rupee Role as BRICS Discusses CBDC Payment Network