The new development bank (NDB), commonly known as Brick Bank, has spent loans in local currency worth $2.1 billion. The alliance has loans totaling nearly $10 billion over time frame, of which around 22% have been paid in local currency.
BRICS Bank aims to increase its lending loans in local currency by the end of 2026 by 30%. This amounts to more than $3 billion in loans if the block moves according to the plan. The ideology of not using the US dollar completely on loans after the White House imposes sanctions on Russia.
The United States invaded Russia in February 2022 and fought a war against its neighbouring Ukraine. Sanctions were imposed by the Biden administration, but Trump has not revoked them, and sanctions remain in 2025. Therefore, BRICS Bank NDB has bypassed US sanctions and began issuing loans in local currency to financially support its member states.
NDB: BRICS Bank issues loans in Chinese yuan and South African Rand local currency
NDB Bank issues loans in both local currencies such as Chinese Yuan and South African Rands. The $1.8 billion worth of loans were loaned out at Chinese Yuan, but Rand was worth $284 million. The Indian rupee is also being the next local currency after NDB Bank loans.
The bank is in discussions to issue a loan in Indian rupee, which could be paid in 2026. Overall, national currencies line up for BRICS Bank loans. Countries in Africa and Southeast Asia accept the national currencies to save millions of foreign exchange charges. BRICS member Russia recently confirmed that it is working with the NDB Bank to manage the local currency finances.
