|Introduction: Describe BRICS briefly.|
Body: What is its significance & how can new BRICS influence global economic and political dynamics?
Conclusion: Way forward.
BRICS is the acronym for the five fastest-growing nations of the world, namely Brazil, Russia, India, China, and South Africa. It was formed to encourage cultural, commercial, and political operations among BRICS nations. The BRICS nations are all leading developing or newly industrialized nations and have gained importance in the emerging and fairer multi-polar world order. Recently there has been a discussion to invite six countries — Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE — to join BRICS as full members.
What is the significance of BRICS in representing the interests of the Global South?
- Economic potential: The BRICS brings together five of the largest developing countries of the world, representing 41% of the global population, 24% of the global GDP, and 16 % of the global trade. This economic clout gives them the ability to advocate for the interests of the Global South in international economic forums and negotiations.
- Alternate economic governance model: Western powers have historically dominated international organizations and decision-making processes. These important non-Western economies can unite through BRICS to contest this dominance. It contributes to redefining the international economic order’s rules and norms and presents an alternative narrative to that of global economic governance.
- Voice of Global issues: BRICS represents the Global South’s voice collectively in international negotiations. These nations may strengthen their impact on the international scene by cooperating and promoting shared viewpoints on topics like trade, climate change, and development financing.
How BRICS 2.0 can influence global economic and political dynamics?
- Global Recognition of Grouping: The proposed countries if decided to join will make BRICS more representative of a larger share of the world population, global GDP, and international trade. This will increase its global recognition notwithstanding the negative view taken by the West.
- Increase political & economic clout: The new BRICS-XI will have more political clout as it will be more representative of different continents and will have nations with strategic locations like Iran & Ethiopia. The New Development Bank will be recapitalized with the assistance of Saudi Arabia and the UAE, increasing its ability to finance development initiatives.
- Cooperation on vital issues: The new BRICS 2.0 can engage on vital issues like UNSC membership for the original BRICS members — India, Brazil, and South Africa & finalizing on issue of BRICS currency in trade and financial transactions “between BRICS as well as their trading partners”, for “fast, inexpensive, transparent, safe and inclusive payment systems.”
New BRICS can offer fresh impetus to resolve border issues between India & China and, the Ukraine crisis while posing a challenge to India in balancing its ties with the West on the one hand and its active articulation and pursuit of the interests of the Global South on the other.