Pezeshkian Proposes BRICS Reinsurance Company With US$10 Bln Capital

By Shakir Husain

HYDERABAD, Sept 12 (Bernama) -- Iran President Masoud Pezeshkian, in New Delhi to attend the BRICS leadership, on Friday proposed the setting up of a reinsurance company of the group with an initial capital of US$10 billion.

He floated the idea in a speech at the BRICS Business Forum on Friday to cover the risks of major infrastructure and energy projects and to boost private sector confidence, according to a video posted by the Iranian Embassy on its X page.

Pezeshkian also called for promoting the use of national currencies for trade settlement among BRICS members.

He said "since the current financial system is vulnerable to political shocks due to its concentration on a limited number of currencies," the New Development Bank, set up by the BRICS group of nations, must become the principal engine for financing infrastructure and energy projects in member countries through dedicated credit lines and funding in local currencies.

The business event was attended by Indian Prime Minister Narendra Modi and Russian President Vladimir Putin.

Modi in his speech said global trade can advance only "when sea lanes are secure, supply routes are open and seafarers are safe."

"Therefore, India is a staunch supporter of freedom of navigation and safety of seafarers," he said.

The Indian leader also raised the matter of shipping safety in his bilateral meeting with Pezeshkian as the two discussed the West Asia conflict situation.

Modi "underscored the need for continued efforts to ensure lasting peace and stability in the region, safeguarding freedom of navigation and commerce, and the safety and well-being of seafarers," India's External Affairs Ministry said in a statement.

The BRICS leadership summit will be held on Saturday and Sunday in the Indian capital.

-- BERNAMA