Context:
Recently, the Indian Prime Minister participated in the 16th BRICS summit that was hosted by Russia at Kazan.
Highlights from the 16th BRICS Summit
The 16th BRICS Summit was held from 22nd to 24th October 2024 under the theme: “Strengthening Multilateralism for Just Global Development and Security”.
The Indian Prime Minister called for a people-centric approach to tackle the uncertainties and challenges facing the world including conflicts, adverse climatic impacts, and cyber threats.
- He also highlighted the need for the early adoption of a Comprehensive Convention on International Terrorism (CCIT) at the United Nations to combat the menace of terrorism.
The Prime Minister urged BRICS to push for global governance reforms, and give primacy to the concerns of the Global South.
The Prime Minister invited BRICS countries to join various green initiatives undertaken by India including the International Solar Alliance, Coalition for Disaster Resilient Infrastructure, Mission LIFE and Green Credit initiative.
BRICS members expressed a desire to reduce their dependence on the US dollar and the SWIFT system.
- PM Modi called for greater financial integration among BRICS members and urged more countries to join India in doing trade in local currencies or locally developed payment mechanisms like Unified Payments Interface (UPI).
The summit concluded with the adoption of the “Kazan Declaration” which reaffirmed the BRICS members’ commitment to enhancing cooperation across three pillars: political and security, economic and financial, and cultural and people-to-people interactions.
One of the key highlights of the Summit was the first bilateral talk between PM Modi and Chinese President Xi Jinping in 5 years. Both leaders welcomed the agreement between their countries on patrolling along the LAC.
About BRICS
- The term “BRIC” was first coined by Goldman Sachs economist Jim O’Neill in 2001, highlighting the growth potential of Brazil, Russia, India, and China to challenge the dominance of G7 economies.
- Its inception was driven by Russia, with the first ministerial meeting taking place in September 2006 during the UN General Assembly.
- The first official BRIC summit took place in 2009 (Brazil, Russia, India and China), and South Africa joined in 2010, forming a five-country coalition that has persisted for over a decade.
- BRICS represents a combined population of approximately 3.5 billion, accounting for about 45% of the world’s population.
- Its collective economies are valued at over $28.5 trillion, roughly 28% of the global economy.
Expansion:
- The 2023 BRICS summit marked the next phase of expansion, with invitations extended to Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE.
- All accepted except Argentina, which opted for a pro-Western direction under its new president, while Saudi Arabia has accepted the invitation but delayed formal membership.
- Turkey has applied for membership, which would make it the first NATO member to join.