BRICS Summit: What exactly is BRICS?

The BRICS group of nations decided to expand with the inclusion of six new members

Hyderabad: At the end of the three-day BRICS summit, the BRICS group of nations on Thursday decided to expand with the inclusion of six new members — Argentina, Ethiopia, Egypt, Iran, Saudi Arabia and the UAE. The new membership will be effective from January 1, 2024.

The 15th edition of its annual BRICS Summit was held at Johannesburg in South Africa between August 22 and 24 where the leaders of the BRICS countries — Brazil, Russia, India, China and South Africa — met to achieve their foreign policy objectives and expand their influence within the group and across the globe. This is also the first in-person meeting since the Russian invasion of Ukraine in 2022.

---

The decision on expansion of the five-nation grouping was announced by South African President Cyril Ramaphosa. At a media briefing along with the BRICS leaders, Prime Minister Narendra Modi said admitting these countries will give new energy and direction to the grouping.

What is BRICS?

Conceived as ‘BRIC’, a brainchild of Goldman Sachs economist Jim O’Neill in 2001, the alliance took form with the inclusion of South Africa in 2010, eventually morphing into the BRICS we recognise today.

This coalition stands as a potent alliance of Brazil, Russia, India, China, and South Africa, driven by a shared vision to redefine the global economic landscape by 2050.

The BRICS covers a total population of over 3.21 billion people, with India, Russia, and China considered as the emerging superpowers of the world.

Growing impact

BRICS is now surpassing the GDP contribution of the G7 countries. This coalition now represents nearly one-third of the world’s economic strength, a remarkable achievement highlighted by its annual summit, hosted this year in Johannesburg, South Africa, where the member country leaders have gathered.

During the summit, amidst discussions about various pressing global issues, significant attention was focused on reducing the global dependency on the US dollar.

Over 40 nations are actively seeking membership in BRICS, with 22 of them having already submitted their applications. This increasing momentum serves as evidence of BRICS’ growing impact on the global stage, positioning it to shape the future landscape of finance.

Countries to be part of BRICS

Further, BRICS has decided to admit six new countries as members — Argentina, Iran, the United Arab Emirates, Saudi Arabia, Ethiopia and Egypt. This move holds the potential to open the doors for numerous interested countries to align with a coalition committed to championing the interests of the “Global South”.