The BRICS alliance, comprising Brazil, Russia, India, China, and South Africa, has emerged as a potential counterweight to US dominance in the global economic order. This year, the BRICS’ appeal has skyrocketed, with over 40 countries expressing interest in joining, and seven formally applying for membership. This surge is likely fueled by the BRICS’ focus on de-dollarization, a concept particularly attractive to developing nations seeking alternatives to US dollar dependence.
However, cracks may be appearing in the BRICS facade. While Russia and China seem enthusiastic about rapid expansion, India reportedly desires a more cautious approach. Sources suggest India is advocating for a five-year pause on new memberships, prioritizing internal consolidation after welcoming four new members – Egypt, Ethiopia, Iran, and the United Arab Emirates – in 2024.
India’s stance is rooted in a desire to preserve the “original essence of an equal partnership” within BRICS. Integrating too many countries too quickly could dilute the alliance’s focus and effectiveness. India likely believes a period of adjustment is necessary for the expanded BRICS to function smoothly.
This internal discord raises questions about BRICS’ future trajectory. Can the alliance maintain unity if its members have differing visions for its growth? India, additionally, stands out for its ambition to challenge the US dollar. The country is actively exploring launching a new reserve currency or facilitating trade in local currencies within BRICS. Whether other members are fully aligned with this goal remains to be seen.
The coming months will be crucial for BRICS. The alliance’s ability to navigate internal differences and forge a cohesive path will determine its effectiveness in challenging the global status quo and offering a viable alternative for developing nations.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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