What is BRICS?

BRICS is an acronym for a bloc of major emerging economies: Brazil, Russia, India, China, and South Africa. Originally called "BRIC" (without South Africa), the term was coined by economist Jim O’Neill to describe countries expected to become dominant economic powers in the 21st century. South Africa joined in 2010, expanding the group to BRICS

. As of 2024, BRICS has expanded to include additional members such as Egypt, Ethiopia, Iran, Saudi Arabia, and the United Arab Emirates, reflecting its growing influence and ambition on the global stage

Purpose of BRICS

The main purpose of BRICS is to foster cooperation among leading emerging economies to promote their collective economic growth, political influence, and development. The alliance aims to:

• Encourage economic, political, and social cooperation among member countries

• Boost trade, investment, and sustainable development, especially in emerging and developing economies

• Provide an alternative to Western-dominated global institutions like the International Monetary Fund (IMF) and World Bank, often advocating for reforms to make these institutions more inclusive

• Support the use of national currencies in trade to reduce dependence on the US dollar

• Advocate for a multipolar world order, ensuring more balanced global governance and equity

• Address global challenges together, such as poverty, unemployment, climate change, and sustainable development

Principles and Functioning

BRICS operates on the principles of:

• Non-interference: Respect for each country’s sovereignty.
• Equality: No member is dominant over others.
• Mutual benefit: Shared economic growth and development

BRICS cooperation is structured around three main pillars:

• Political & Security: Addressing global security and diplomatic issues.
• Economic & Financial: Enhancing trade, investment, and financial stability.
• Cultural & Social: Promoting collaboration in education, science, and health

Key mechanisms include:

• Annual Summits: Held since 2009, rotating among member countries

• New Development Bank (NDB): Established in 2015 to fund infrastructure and sustainable development projects in emerging economies

• Contingent Reserve Arrangement (CRA): A financial safety net for members facing balance of payments crises

Global Impact

BRICS represents about 41% of the world’s population and contributes roughly 25% to global GDP , making it a significant force in global affairs

. The group seeks to challenge traditional Western dominance in international economic and political systems, offering a platform for emerging economies to influence global decision-making

. In summary, BRICS is an intergovernmental alliance of major emerging economies with the purpose of promoting mutual growth, reforming global governance, and enhancing the voice and influence of developing nations on the world stage