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| Photo Credit: Abdulrahman Shalhoub |
It was earlier in the news noted that Brazil, Russia, India, China and South Africa (BRICS) Summit will be holding in Johannesburg, South Africa for the 3023 Summit, beginning from 22 to 24 August, 2023.
Yesterday being 22nd August 2023, Brazil, China, Russia, and South Africa - The BRICS began the annual Summit schedule for this this 2023.
In the Summit, China, Russia and South Africa found an opportunity in the move to transform the club of major emerging economies that has being defined as being "loose". This is in a bid to reduce the weight that has been placed on the West and it's institutions. Brazil and India however were more of skeptis in the move.
The BRICS leaders participating in the three-day Summit taking place in South Africa's Johannesburg this week all have been futuristic on the perspective of the global economy.
The leaders of the BRICS countries, Brazil, Russia, India, China, and South Africa, will in the 15th annual Summit hosted by South Africa's President from August 22 to 24 have talks on investment, infrastructure, climate change, and de-dollarization.
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| Photo Credit: Abdulrahman Shalhoub |
China 's own president, Xi Jinping, was welcomed by his South African host and President Cyril Ramaphosa, as were India’s Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva. Russia’s President Vladimir Putin joined the summit via video conference.
The Saudi delegation has the following dignitaries; the Deputy Minister for International Multilateral Affairs Abdulrahman Al-Rassi; Director General of the Office of the Minister of Foreign Affairs Abdulrahman Al-Dawood; and Director General of International Organizations Shahir AlKhonaini.
One common interest unites all countries of the BRICS, and that is their shared economic potential and their desire to play a more prominent role in the global economy. It is without a doubt too that they are also united by their common challenges, such as poverty, inequality and climate change.
The BRICS cover up to 40 percent of the world's population. This could be owing to the fact that the have some of the world's most populated countries among them. The BRICS nations have a shared goal for global recognition.
"As we celebrate the 15th anniversary of BRICS, trade between BRICS countries totaled $162 billion last year," Ramaphosa told assembled leaders on the opening day of the summit.
"Foreign investment has played an important role in the BRICS economy. We need to reaffirm our position that economic growth must be underpinned by transparency by inclusiveness. It must be comparable with the multilateral trading system that supports a developmental agenda."
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| Photo Credit: Abdulrahman Shalhoub |
India's Prime Minister Modi noted what he described as his country's economic achievements and its potential to become a global growth engine.
In his words
“Despite turbulence in the global economic situation, India is the fastest-growing major economy in the world,” Modi told forum delegates. “Soon, India will be a $5 trillion economy. There is no doubt India will be the growth engine of the world.”
According to analysts, given the speed at which the economic development of these countries grow, they solely believe that government of the West cannot refrain the BRICS nations from having a greater say in the management process of global financial and political order.
One of the key issues lkely to be discussed at this year's summit is the possibility of expanding the BRICS bloc to include new members. Almost 40 countries have already expressed interest in joining the bloc which began live as four nations in 2009 but expanded the following year to include South Africa.
In a social media broadcast from Johannesburg on Tuesday, Brazil's President Lula said the BRICS bloc aims to organize the developing Global South — not to rival the US, G7 or G20. These potential new members include Saudi Arabia, Egypt, Indonesia, Pakistan, the UAE, and Turkiye. According to officials, some 50 heads of state and government will attend this week’s summit.
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The countries that are interested in joining are all major emerging economies with growing global influence. They are also all located in the Global South, which is the term used to describe the countries of Africa, Asia, and Latin America.
Addressing the summit on Tuesday, via video conference, Russia's President Putin said the BRICS countries speak for the "global majority."
In his words he said;
"We cooperate on the principles of equality, partnership support, respect for each other, and this is the essence of the future-oriented strategic course of our association, a course that meets the aspirations of the main part of the world community, the so-called global majority".
If the BRICS decides to expand, it would cause a potential major shift in the global political and economic landscape, challenging the US and European preeminence in world affairs that has prevailed since the end of the Second World War.
However, there are challenges that need to be addressed before the BRICS can expand.
Analysts believe that in order to find success in the expansion, BRICS will need to ensure that all members are committed to one goal and objectives; avoid creating a bloc that is seen as a rival to the West; and ensure that the expansion does not dilute the influence of existing members.
Another issue that is likely to be discussed at the summit is the possibility of de-dollarizing the global economy. This is the idea of moving away from the US dollar as the dominant currency in international trade and finance.
“BRICS is a vitally important forum which plays an important role in the reform of global governance and in the promotion of multilateralism,” said Cyril Ramaphosa, President of South Africa.
The issue of de-dollarization has garnered mass interest in recent years, as some countries have become concerned about the US government's ability to impose sanctions on them. China and Brazil recently agreed to manage their trade relationship in their own currencies.
However, de-dollarization is a more complex and challenging issue that would require a significant shift in the global financial system, and it is not clear whether it is actually feasible. Nonetheless, the dialogue alone might signal a sea change in the global power balance.
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