🚨 ON-CHAIN ALERT: Japan and India Establish Bilateral Payment System in Local Currencies
Japan and India are set to announce a framework for direct payment between the yen and rupee, allowing businesses to trade across borders without converting to the US dollar. This marks the first time a key US ally and a core BRICS member have included a currency cooperation agreement in a high-level leader statement.
The proposed framework enables non-resident Japanese individuals to open accounts at Indian banks, facilitating direct transactions between financial institutions without using the US dollar as an intermediary. By eliminating the need to convert to dollars, this system reduces foreign exchange costs and transaction fees, while also significantly shortening processing times.
The system is expected to be applied to major commercial banks in both countries, aiming to support Japanese businesses expanding into the Indian market and encourage private capital flows into infrastructure, production, and bilateral supply chains. The Japanese Ministry of Finance aims to sign a memorandum of cooperation with the Reserve Bank of India by the 2026 fiscal year, turning the political commitment into a practical operational framework.
#halvingjobs #Geopolitics #CurrencyDiversification
Japan and India are set to announce a framework for direct payment between the yen and rupee, allowing businesses to trade across borders without converting to the US dollar. This marks the first time a key US ally and a core BRICS member have included a currency cooperation agreement in a high-level leader statement.
The proposed framework enables non-resident Japanese individuals to open accounts at Indian banks, facilitating direct transactions between financial institutions without using the US dollar as an intermediary. By eliminating the need to convert to dollars, this system reduces foreign exchange costs and transaction fees, while also significantly shortening processing times.
The system is expected to be applied to major commercial banks in both countries, aiming to support Japanese businesses expanding into the Indian market and encourage private capital flows into infrastructure, production, and bilateral supply chains. The Japanese Ministry of Finance aims to sign a memorandum of cooperation with the Reserve Bank of India by the 2026 fiscal year, turning the political commitment into a practical operational framework.
#halvingjobs #Geopolitics #CurrencyDiversification