Emergence of BRICS
Through the two papers of Goldman Sachs in 2000s, BRIC emerged as a concept to represent the changes that were taking place in the international order. BRICS represents around 1/3rd of the global population and $ 14 trillion aggregate nominal GDP. It includes Brazil, Russia, India, China and South Africa as its member countries. This institution encompasses the fastest growing economies and indicates high growth potential and opportunities.
The 1st meeting of foreign ministers of the BRIC countries took place, in 2006. Afterwards, it began to exist as a mechanism through which member countries could exchange view, seek convergence, identify areas of cooperation and influence the international agenda. It acts as potential business, trade and commerce destination for the nations across the globe. In, April 2011, South Africa entered as the fifth member and a representative of the second largest continent of the world.
Reasons behind the BRICS emergence
Several assumptions prevail on the international level regarding the rise of BRICS as a multilateral grouping. Some of the attributes can be studied as:
More inclusive representation
The ‘2009 Joint Statement ’ made specific points about the need to reform international financial institutions to create greater voices and representation for emerging economies including a more transparent process of leadership selection. It gave challenge to the norm of World Bank President should be an American and IMF’s managing director as a European. The demand by India and Brazil in United Nation Security Council has also been supported by BRICS.
Enhanced political economy
The shared vision of cooperation among themselves and other developing countries has made them more assertive in influencing the world. Their Global GDP share has increased from 8.4% to 23.2% and FDI investments have risen to around 3 times in between 2006 to 2012.
Enhanced role in global governance
There has been a major role of developed nations in directing the world politics and economy. The emerging economies want to assert their presence and share via global representation. BRICS have reiterated the United Nations resolution of two state solutions for Israel and Palestine. It has also backed the stability in Afghanistan and Syria.
An economic alternative
The developed western economies have the most weight in the voting and quota shares in international financial institutions. To serve the purpose of their commitment towards global challenges of sustainable infrastructure and renewable energy, the BRICS came up with the establishment of New Development Bank (NDB) and Contingent Reserve Arrangement (CRA). The NBD has equal quota and voting, with share of $50 billion from each of the member country.
Shared challenges
The Two biggest economies of BRICS face the common challenge of high population and unemployment. Synergies around the food security, economic challenges for example in Russia and Brazil, political instability as in South Africa, climate change issues and terrorism threats moved these nations to come together and helped out in more synergistic ways.
A diversified base of cooperation
The BRICS has provided a common platform to finance ministers, central bank governors, national security advisors, Science and Technology ministers, agriculture ministers, business councils, Think Tank councils, a Parliamentary forum, to cultural festivals and friendship cities and local governments. It has created a unique cooperation mechanism to seek cooperation and to learn from each other.
An institution to cooperate not to retaliate
BRICS cannot be presumed to be an organization just to oppose the western nation ideology at first place rather it can be considered as a conservative global arrangement. It never went against any of the globally agreed phenomenon rather it reiterated them. In CRA’s disbursement of contingent money the same process has been followed as of IMFs. It reiterated the resolutions of United Nations in its meetings for example on terrorism. It is rather should be seen as demand of a place on table to negotiate the global affairs in an inclusive manner.
Challenges being a multilateral organization
So far, BRICS has rapidly expanded its diplomatic activities, advocated a larger voice in global economic and security forums for its member nations and created a brand new financial institution. It is less clear whether this grouping also provides durable common interests for a multilateral organization especially given the vast economic and political dissimilarities among its members.
The Might of China
Being a stronger member of the organization, China has superseded all other nations in terms of economy and military. The multiple standoffs with India have shown that the members have not trained their eyeballs on inherently divisive challenges. Given the authoritarianism of Russia and China, the three remaining countries also developed a dialogue forum name IBSA Dialogue Forum.
Internal turmoil
Countries such as Russia and Brazil are facing economic and political downturns. South Africa is also threatened by the political instability with in the nation. The internal rifts and downturns can impact the annual functioning of the organization.
Differences in internal political governance
The Countries like India, Brazil and South Africa are democratic in nature. Contrary to this, China and Russia are more authoritarian in governance. Despite being the differences in the forms of governance level, BRICS have not seen any confrontation on this front.
National Security
The member nations have put the national security on the priority list and condemned the terrorism with hard words. They have declared Jaish e Mohammed and Lahkar e Taiba as terrorist organizations. Since, China put multiple blockades on naming Masood Azhar, the master mind of Mumbai (India) terror attack, as a terrorist. This shows a rift between members on trivial matters.
Global Changes
The rising protectionism among western worlds, for example, the policies in US under Donald Trump and Brexit can be seen as a new challenge. This poses an existential question in front of the bloc, which represent and support a more multilateral world.
Centripetal ability
The economic clout of China raises a concern whether the remaining members would get a chance to represent them or would they just follow the footprints of China or India. To make the organization more functional and stable in a long go, the devolution of power and equal share among the members is must.
Conclusion
Since its inception, the BRICS has done fairly well on multiple fronts being on economic level, political level or member’s representation front. The need of the hour is to grow multilaterally and try to cooperate in a better way. The existence of multiple challenges raises concern but these challenges can be tackled easily without causing any disruption in its functioning.
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