Table of Contents
Introduction
As the world experiences increasing geopolitical tensions, international groupings like BRICS are becoming more crucial. The BRICS bloc—comprised of Brazil, Russia, India, China, and South Africa—recently expanded to include Egypt, Ethiopia, Iran, and the United Arab Emirates (UAE). Together, these nations represent nearly half of the world’s population and one-quarter of the global economy. Prime Minister Narendra Modi is currently attending the 16th BRICS Summit 2024 in Kazan, Russia, which marks the first gathering of the group since its expansion. In this blog, we’ll break down what BRICS is, its importance amid the current global tensions, and what the expansion means, particularly for India.
What is BRICS?
BRICS stands for Brazil, Russia, India, China, and South Africa, five large non-Western economies. The acronym was first introduced in 2001 by Goldman Sachs in a report predicting that these nations would become dominant players in the global economy over the next 50 years. BRICS was formalized as a political and economic grouping in 2009, and South Africa joined in 2011. The organization aims to serve as a counterbalance to Western-dominated global institutions like the International Monetary Fund (IMF) and the World Bank. BRICS countries collaborate on various issues, from trade and finance to development and climate change.
Origins and Evolution of BRICS
The idea for BRICS originated from a 2001 Global Economics Paper titled “The World Needs Better Economic BRICs.” Initially, BRIC referred to Brazil, Russia, India, and China—emerging markets with the potential to reshape the global economic landscape. The formal grouping took shape after a meeting in 2006 between the foreign ministers of Russia, India, and China on the margins of the UN General Assembly. South Africa was included in 2010, expanding the grouping to BRICS.
The first BRIC Summit was held in 2009 in Yekaterinburg, Russia, and since then, it has been an annual event where member nations meet to discuss issues related to global governance, trade, and security. The most recent wave of expansion came in 2023 when Egypt, Ethiopia, Iran, and the UAE joined the bloc. Saudi Arabia has accepted an invitation to join but has delayed its formal membership.
Importance of BRICS Amid Global Tensions
The significance of BRICS has only grown amid the mounting geopolitical tensions across the world, including the Russia-Ukraine war, tensions between the U.S. and China, and unrest in the Middle East. In a world where Western countries and institutions like NATO and the European Union play dominant roles, BRICS offers a platform for non-Western countries to have a say in global governance.
Counterbalance to Western Dominance
One of the primary objectives of BRICS is to provide an alternative to Western-dominated financial institutions like the IMF and World Bank. For years, these institutions have been criticized for imposing stringent conditions on developing countries seeking financial assistance. BRICS seeks to create a more inclusive world order by giving the Global South a stronger voice in global affairs. With the inclusion of new members, the bloc now represents a significant portion of the world’s population and economy, further strengthening its influence on the global stage.
Economic Cooperation
BRICS also provides a platform for economic cooperation among its member nations. For example, the group established the New Development Bank (NDB) in 2014 to finance infrastructure and sustainable development projects in member countries. The NDB is seen as an alternative to the World Bank, and its establishment reflects BRICS’ commitment to reshaping the global economic order.
Diplomatic Platform
BRICS serves as a crucial diplomatic platform where member countries can engage with one another on global issues without the influence of Western powers. For instance, Russia and China, both BRICS members, have faced increased pressure and sanctions from Western countries in recent years. In this context, BRICS allows these nations to pursue alternative partnerships and strategies, thereby maintaining their influence on global affairs.
What Does an Expanded BRICS Mean for India?
India has been a key player in BRICS since its inception and views the bloc as an essential platform for advancing its foreign policy objectives. The recent expansion of BRICS presents both opportunities and challenges for India, especially given its complex relationship with China and its focus on fostering stronger ties with Russia.
India’s Role in Multilateralism
India’s foreign policy has long emphasized multilateralism, and BRICS is an essential pillar of that approach. The inclusion of countries like Egypt, Ethiopia, and Iran aligns with India’s focus on strengthening ties with the Global South. Moreover, the expansion of BRICS allows India to broaden its economic and diplomatic reach across Africa and the Middle East, two regions that are increasingly important for India’s energy security and economic interests.
Meeting with China’s Xi Jinping
One of the most closely watched aspects of the 2024 BRICS Summit is the potential meeting between Prime Minister Modi and China’s President Xi Jinping. The two leaders last met at the BRICS Summit in South Africa in 2023, and tensions between India and China have simmered due to the ongoing border dispute along the Line of Actual Control (LAC). A meeting between Modi and Xi could signal a thawing of relations, especially after both nations agreed to disengage troops at the LAC recently.
For India, navigating its relationship with China is crucial, especially given its ambitions to become a global economic power. While the two nations are competitors in many areas, BRICS provides a platform for India and China to engage diplomatically and find common ground on issues like trade, climate change, and global governance.
Strengthening Ties with Russia
India’s relationship with Russia remains a cornerstone of its foreign policy, and the BRICS Summit provides another opportunity for Modi and Russian President Vladimir Putin to engage. With Russia facing increased sanctions and isolation from the West due to the Ukraine conflict, India’s role as a reliable partner becomes even more crucial. India continues to import large quantities of Russian oil, and the BRICS platform allows both nations to explore other areas of cooperation, including defense, technology, and trade.
Opportunities in Africa and the Middle East
The inclusion of Egypt, Ethiopia, and the UAE in BRICS opens up new opportunities for India in Africa and the Middle East. Both regions are key to India’s energy security and economic growth. India has already been strengthening its ties with African nations through initiatives like the India-Africa Forum Summit, and the BRICS expansion will further solidify those relationships.
Significance of BRICS Summit 2024 for India
The 16th BRICS Summit 2024 in Kazan is especially significant for India due to its diplomatic and strategic implications. As the world becomes more polarized, BRICS offers India a platform to engage with both allies and adversaries, from Russia and China to new members like Iran and Egypt.
The expansion of BRICS aligns with India’s vision of a more inclusive global order, where developing nations have a stronger voice. Prime Minister Modi’s participation in the summit underscores India’s commitment to multilateralism and its desire to play a leading role in shaping global governance.
Conclusion
The BRICS bloc has evolved into a critical player in global politics and economics, especially as the world faces increasing geopolitical tensions. The recent expansion of BRICS strengthens its role as a counterbalance to Western-dominated institutions and offers new opportunities for member countries like India to expand their diplomatic and economic reach. As Prime Minister Modi attends the 16th BRICS Summit in Russia, India stands to benefit from its participation in this increasingly influential grouping.
FAQS
Q1: What is the BRICS Summit 2024?
Ans: The BRICS Summit 2024 is the 16th annual meeting of the BRICS nations—Brazil, Russia, India, China, and South Africa—along with the newly added members Egypt, Ethiopia, Iran, and the UAE. Leaders will discuss key global issues, from economic cooperation to climate change and global governance.
Q2: What is the significance of the 2024 BRICS Summit?
Ans: The BRICS Summit 2024 is the first since the bloc’s expansion and is significant because it reflects the growing influence of non-Western economies. For India, the summit is especially crucial as Prime Minister Narendra Modi could meet Chinese President Xi Jinping and discuss critical regional and global issues.
Q3: What does an expanded BRICS mean for India?
Ans: An expanded BRICS opens new avenues for India in terms of trade, energy security, and strategic partnerships. It also aligns with India’s focus on multilateralism and strengthening ties with the Global South, as it now engages with more countries from Africa and the Middle East.
Q4: How important is BRICS for global governance?
Ans: BRICS serves as a counterbalance to Western-dominated institutions like the World Bank and IMF. It offers a platform for emerging economies to collaborate and voice their concerns about global governance, economic inequality, and development.
