he BRICS, an acronym originally referring to Brazil, Russia, India, China, and South Africa, recently held their 15th summit in Johannesburg, South Africa. This meeting marked a crucial step in the group’s evolution, with the announcement of the membership of six new countries: Argentina, Ethiopia, Egypt, the United Arab Emirates, Saudi Arabia, and Iran. This expansion not only signifies the assertion of BRICS’ power and attractiveness but also an attempt to reaffirm the group as a viable alternative to the G7.
The enlargement of the BRICS poses a significant challenge for the group. With diverse economies, political regimes, and diplomatic statuses, integrating new members could potentially dilute the group’s identity and cohesion. However, this expansion is also an opportunity worth exploring in more detail.
Indeed, the bolstering of the group’s demographics with the addition of new members is undeniable. The BRICS now represent over 40% of the world’s population, making them a significant force to reckon with on the international stage. This demographic diversity also provides a strong foundation for economic and trade cooperation among member countries, thereby stimulating overall global growth.
Furthermore, the inclusion of oil and gas-rich countries enhances the BRICS’ ability to influence the global economy, particularly in the energy sector. The abundant energy resources of these countries could potentially enable greater energy independence for the group while creating new opportunities for commercial partnerships in the natural resources sector.
Nevertheless, it’s important to emphasize that the enlargement of the BRICS requires thoughtful consideration and careful management. Ensuring that new members share the group’s fundamental values and common objectives is vital. Close coordination and effective decision-making mechanisms will need to be established to ensure that new voices are heard while preserving stability and operational efficiency.
Towards International Economic De-dollarization One of the key objectives of BRICS expansion is to work towards the de-dollarization of the international economy. For instance, the United Arab Emirates has established trade relations with India where oil is purchased in Indian rupees. Similarly, China buys oil from Saudi Arabia using its own national currency.
These movements indicate a growing trend to move away from the US dollar as the global reserve currency, thereby strengthening the economic autonomy of the BRICS.
With this enlargement, the BRICS are positioning themselves more and more as an alternative to the G7. While some BRICS members maintain good relations with the United States, they seek to diversify their alliances and not be confined to an exclusive bilateral relationship with the US.
The membership of Saudi Arabia and the United Arab Emirates, for example, demonstrates a willingness to diversify diplomacy beyond traditional Western relationships.
