BRICS vs G7: A new world order emerges?
It aspires to reduce reliance on Western institutions like the World Bank and IMF, potentially replacing them with the BRICS Bank.
SHAH ALAM – A new international bloc, BRICS, is challenging the dominance of the established Group of Seven (G7) nations. BRICS comprises Brazil, Russia, India, China, and South Africa, representing emerging economies with significant global influence.
BRICS: A Counterweight to the West?
Formed in 2001, BRICS aims to create a more balanced international order. It aspires to reduce reliance on Western institutions like the World Bank and IMF, potentially replacing them with the BRICS Bank. This shift would involve using local currencies for global trade instead of the US dollar. According to news outlet TRT World, they are expected to see BRIC dominate the world by 2050, where the first summit was in 2009 to officiate its effectiveness as international non-Western involvement in global financial institutions.
BRICS Expands: Strength in Numbers?
The bloc has grown beyond its founding members. Recent additions include Egypt, Ethiopia, Iran, Saudi Arabia, and the United Arab Emirates. With over 30 countries expressing interest, the term "BRICS Plus" has emerged. Membership applications from Argentina and others highlight the bloc's growing appeal.
Can BRICS Deliver?
BRICS boasts a significant portion of the world's population (over 45 per cent) and GDP (around 32 per cent).
This surpasses the G7's GDP by 7 per cent. However, internal conflicts between members like India-China border disputes and regional rivalries like Egypt-Ethiopia water disagreements raise questions about the bloc's cohesion.
The Future of BRICS
The upcoming October summit in Russia will be a test for BRICS. Can the group overcome internal differences and present a united front? Will it be able to effectively challenge the established global order? Only time will tell if BRICS can deliver on its ambitious goals.
