From the margins to the centre, Pg13

Key Highlights:

• BRICS now accounts for 35% of the global economy and nearly 50% of the world’s population, surpassing the G7’s 30% share.
• The bloc aims to reduce dependency on the U.S. dollar, and increase Global South representation in global institutions.
• The summit showed consensus on key issues like Gaza and Iran, and included condemnation of the Pahalgam terror attack.
• BRICS introduced a new “partner countries” category, expanding participation beyond its core members.
• Initiatives like the New Development Bank (NDB) and Contingent Reserve Arrangement (CRA) offer alternatives to Western-dominated institutions.
• Trade within BRICS has outpaced the G7, indicating a shift in global economic flows.
• Internal contradictions and national interest conflicts continue to challenge the bloc’s unity.

Detailed Insights:

• The Global South refers to post-colonial nations in Asia, Africa, and Latin America that aim to counter global inequality through South-South cooperation.
• BRICS emerged from an acronym coined in 2001 and has since evolved into an intergovernmental institution representing Global South interests.
• Foundational initiatives like the Bandung Conference (1955) and Non-Aligned Movement (NAM) laid the ideological groundwork for such cooperation.
• BRICS seeks to reform global governance by enhancing UNSC representation for India and Brazil and reducing Western economic hegemony.
• The China-led Belt and Road Initiative (BRI) is a major South-South project but has sparked concerns of debt dependency.
• BRICS members often hold divergent foreign policy orientations (e.g., India-U.S. ties vs. Russia’s conflict with the West), which complicate consensus.
• The U.S. has reacted with tariff threats to BRICS attempts to challenge the dollar's dominance.
• India’s 2026 presidency of BRICS with the theme "Building Resilience and Innovation" may play a balancing role, though its border tensions with China and Quad participation pose strategic dilemmas.
• The emergence of the G20 illustrates Western efforts to absorb rising powers into existing frameworks while retaining decision-making control.
• BRICS risks becoming a multipolar elite club unless it prioritises democratic development and people-centric agendas for the Global South.

Scientific/Technical Concepts Involved:

• South-South Cooperation: Collaborative strategies among developing countries to promote development and reduce dependency on the Global North.
• New Development Bank (NDB): A BRICS-initiated multilateral bank that provides funding for infrastructure and sustainable development projects.
• Contingent Reserve Arrangement (CRA): A BRICS framework for providing financial support to members during balance of payment crises.
• Reserve Currency: A foreign currency held in significant quantities by central banks for international transactions (currently dominated by the U.S. dollar).