Starting January 1, 2025, nine nations—Belarus, Bolivia, Indonesia, Kazakhstan, Cuba, Malaysia, Thailand, Uganda, and Uzbekistan—will officially join BRICS as partner countries. This significant development was announced by Yuri Ushakov, a Russian presidential aide, during a press briefing, as reported by WAM.
These countries have demonstrated a strong interest in attaining this status, with Moscow currently awaiting responses from four additional nations. As partner states, they will have the opportunity to propose initiatives but will not be involved in decision-making processes such as voting or document approval.
The framework for partner country participation was formally endorsed in the Kazan Declaration during the XVI BRICS Summit, where a list of invitees was finalized. This expansion highlights BRICS’ efforts to broaden its engagement with emerging economies worldwide.
Understanding BRICS: An Overview of the Coalition
BRICS, comprising Brazil, Russia, India, China, and South Africa, serves as a coalition of influential emerging economies striving to reshape the global economic and diplomatic landscape. Established in 2009, BRICS emerged from the belief that Western-dominated institutions no longer adequately represented the interests of developing nations.
The coalition has prioritized aligning members’ strategies, establishing new financial frameworks, and reducing dependence on the U.S. dollar, positioning itself as a counterweight to the Western-centric world order.
The Origins and Structure of BRICS
The term “BRIC” was coined in 2001 by economist Jim O’Neill in a Goldman Sachs report, predicting that Brazil, Russia, India, and China would challenge the dominance of G7 economies. Russia took the initiative to formalize this grouping, hosting the first BRIC summit in 2009. South Africa joined a year later at China’s invitation, expanding the group to BRICS.
Despite its influence, BRICS is not a formal organization but a loose alliance. It lacks a charter, secretariat, or common funding, operating instead through consensus and annual leadership summits hosted by member countries on a rotational basis.
A Platform for Expansion
The most recent expansion occurred at the 2023 BRICS summit, where six nations—Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE—were invited to join. The inclusion of additional partner states starting in 2025 signifies BRICS’ commitment to fostering broader cooperation among non-Western economies.
Strategic Focus Areas of BRICS
BRICS seeks to amplify the voice of emerging economies within international organizations. The group advocates for reforming institutions like the UN Security Council and creating stronger negotiating blocs. Unified stances on global issues, including conflicts in Ukraine, Gaza, and Afghanistan, further illustrate its intent to challenge Western dominance in multilateral platforms.
Economic Coordination and Policy Alignment
The 2008 global recession underscored the need for coordinated economic policies among BRICS nations. Since then, the bloc has focused on harmonizing tariff policies, addressing export restrictions, and enhancing investment strategies. Foreign direct investment inflows within BRICS nations have increased significantly over two decades, though growth has moderated recently.
Reducing Dollar Dependence
A key priority for BRICS is reducing reliance on the U.S. dollar in international transactions, which subjects members to potential Western sanctions. Initiatives include promoting trade in local currencies and exploring the feasibility of a common BRICS currency.
Creating Alternative Financial Systems
To reduce dependence on traditional financial institutions like the IMF and World Bank, BRICS established the New Development Bank (NDB) and the Contingent Reserve Arrangement (CRA). These initiatives aim to strengthen South-South cooperation and offer funding alternatives tailored to the needs of developing nations.
By expanding its membership and broadening its focus areas, BRICS continues to position itself as a significant player in the global economic and geopolitical arena. The addition of new partner countries reflects its growing influence and ambition to drive a more inclusive global order.
Published On: 24 Dec 2024
Source: https://economymiddleeast.com/news/brics-expansion-nine-new-partner-countries-set-to-join-in-january-2025/
