BRICS: The Rising Powerhouse Challenging the Global Order
🌍 BRICS is an acronym for Brazil, Russia, India, China, and South Africa — a group of five major emerging economies that cooperate for mutual growth and global influence .
🔑 Key Points:
- Brazil,
Russia, India, China – formed the original BRIC in
2006.
- South
Africa joined in 2010, making it BRICS.
- Together,
they represent:
- Over 40% of the world's population
- Around 25% of global GDP
- Significant influence in world politics and trade
🛠️ Main Objectives:
- Promote peaceful cooperation
- Support economic development
- Reform global financial institutions like the IMF and World Bank
- Create alternatives like the New Development Bank (NDB)
BRICS is seen as a voice of the Global South, promoting multipolarity in global governance.
🕰️ Historical Context of BRICS:
- 💡 Origin of the Idea (2001):The term "BRIC" was first coined by economist Jim O'Neill of Goldman Sachs in a research paper.He predicted that Brazil, Russia, India, and China would become key global economic players by 2050 .
- 🤝 Formal Grouping (2006):The BRIC countries began formal diplomatic coordination in 2006 on the sidelines of the UN General Assembly.Their first official meeting was held in 2009 in Yekaterinburg, Russia 🇷🇺.
- 🌍 Addition of South Africa (2010):South Africa joined the group in 2010, making it BRICS.This move extended the group’s reach into Africa, reinforcing its global south identity .
- 🏗️
Formation of BRICS Institutions:
- In
2014, BRICS established the New Development Bank (NDB) and
a Contingent Reserve Arrangement (CRA) to challenge the dominance
of Western-led financial institutions like the IMF and World
Bank .
- Annual
BRICS Summits have been held since 2009, rotating among member
countries.
- 🌐 Strategic Shift:Over the years, BRICS has evolved from being just an economic bloc to a political and strategic coalition, addressing global governance reforms, climate change, and development .
🌍 BRICS Members (As of 2025):
Initially BRICS had 5 core members, but as of
2024–2025, the group has expanded to include more countries.
🏛️ Original Members
(Founding BRICS):
- Brazil
- Strong
in agriculture, energy, and natural resources.
- Voice
of South America in BRICS.
- Russia
- Major
energy exporter (oil & gas) and a military power.
- Brings
Eurasian influence.
- India
- Fast-growing
service & tech economy with a large young population.
- Strategic
location in South Asia.
- China
- World’s
second-largest economy.
- Strong
in manufacturing, trade, and global diplomacy.
- South
Africa
- Added
in 2010 to represent the African continent.
- Rich
in minerals and a regional leader.
✨ New BRICS+ Members (Joined in
2024):
In 2024, BRICS expanded to form BRICS+ by inviting new
countries to join:
- Saudi
Arabia
- Major
oil power and influential in the Middle East.
- Iran
- Key
regional power with vast energy reserves.
- Ethiopia
- Symbolic
representation of East Africa; strategic location in the Horn of Africa.
- Egypt
- Bridge
between Africa and the Middle East with Suez Canal's strategic
value.
- United
Arab Emirates (UAE)
- Global
financial hub and energy powerhouse.
- Argentina
(Initially invited but status unclear due to political changes)
📌 Total Members
(Confirmed as of mid-2025):
🏛️ Major Institutions of BRICS
BRICS has built its own institutions to strengthen
cooperation, promote development, and offer alternatives to
Western-led structures like the IMF and World Bank. Here are the key ones:
1. 🏦 New Development Bank
(NDB)
- Established:
2014 (BRICS Summit in Fortaleza, Brazil 🇧🇷)
- Headquarters:
Shanghai, China 🇨🇳
- Purpose:
- Fund
infrastructure and sustainable development projects in BRICS &
other developing countries.
- Provide
an alternative to the World Bank and IMF, with fairer
terms.
- Members:
Includes BRICS countries + new members like Bangladesh, UAE, Egypt, and
Uruguay.
✅ Example Project: Funding
renewable energy, roads, water management, etc.
2. 💰 Contingent Reserve
Arrangement (CRA)
- Established:
2014
- Purpose:
- Provide
financial support during crises, like balance of payment issues or
currency instability.
- Acts
as a safety net, especially during global shocks (similar to IMF).
💡 Example: If a
BRICS country’s currency falls sharply, CRA offers emergency swap facilities.
3. 🧠 BRICS Think Tanks
Council (BTTC)
- Purpose:
- Foster
research collaboration among academic and policy institutions of
BRICS nations.
- Develop
common policy perspectives on global issues.
4. 👩🎓 BRICS
Academic Forum & BRICS Universities League
- Purpose:
- Promote
educational exchange, joint research, and academic cooperation.
- Encourage
student and scholar mobility within BRICS nations.
5. 📺 BRICS Media Forum
- Purpose:
- Create
an alternative media narrative to counter Western media dominance.
- Strengthen
information exchange and cooperation among news agencies.
6. 🛠️ BRICS Innovation
Network & Business Council
- Purpose:
- Support
startups, SMEs, and innovation across member nations.
- Facilitate
trade, investment, and digital transformation.
India’s Role in BRICS 🌍🤝
India plays a central, constructive, and balancing role
in BRICS, contributing diplomatically, economically, and strategically to shape
a multipolar world order.
🧭 1. Founding &
Strategic Pillar
- India
is a founding member of BRICS (since 2006).
- Acts
as a bridge between the East (China, Russia) and the West (democratic
norms, global south).
- Promotes
a rules-based international order, inclusive development, and reform of
global governance.
💡 2. Thought Leadership
& Initiatives
India has initiated several key proposals in BRICS:
- BRICS Counter-Terrorism Strategy
- BRICS Startup Forum for tech innovation
- BRICS Vaccine R&D Centre during the COVID-19 pandemic
- Digital Health and Fintech cooperation
🏦 3. Economic &
Financial Contribution
- India
is a major contributor to the New Development Bank (NDB).
- Promotes
inclusive finance, infrastructure development, and digital economy in the
Global South.
🗣️ 4. Voice of the Global
South
- India
champions the causes of developing nations, particularly in Africa and
Asia.
- Actively
pushes for UNSC reform and IMF quota redistribution.
- Organizes
events like the "Voice of Global South Summit" to link BRICS
with non-member nations.
🕊️ 5. Diplomatic Balancer
- Maintains
strong ties with both Russia and the West, playing a balancing role.
- Ensures
BRICS remains non-aligned, focusing on development, peace, and cooperation
— not confrontation.
⚙️ 6. Hosting & Leadership
- India
hosted BRICS Summits in 2012, 2016, and 2021.
- Promoted
themes like:
- "BRICS@15:
Intra-BRICS Cooperation for Continuity, Consolidation and Consensus"
(2021)
- Digital
inclusion, green economy, and resilient supply chains.
🌐 Multidimensional Impact of BRICS
BRICS has a wide-reaching impact on global systems,
affecting various dimensions beyond just economics. Here's a breakdown of its multidimensional
impact:
1️ Economic Impact 💰
- 25%
of global GDP and 40% of world population – a major global economic force.
- Promotes
South-South trade 🛳️ and investment in
infrastructure through the New Development Bank (NDB).
- Push
for de-dollarization and alternative payment systems to reduce dependency
on the US dollar 💱.
- Supports
local currencies in trade settlements, building a multipolar financial
order.
2️ Political & Diplomatic
Impact 🏛️
- Acts
as a counterbalance to Western-dominated institutions like the UN, IMF,
and World Bank.
- Pushes
for reform of global governance, including UN Security Council reform.
- Provides
a platform for strategic dialogue among major powers (India-China-Russia)
despite bilateral differences.
- Strengthens
Global South unity on climate, trade, and development issues.
3️ Social & Developmental
Impact 👥
- Focus
on poverty alleviation, inclusive development, education, and healthcare.
- Launched
initiatives like:
- BRICS
Women’s Business Alliance 👩💼
- BRICS
Vaccine R&D Centre during COVID-19 💉
- BRICS
Academic Forum for knowledge exchange 🎓
4️ Technological & Scientific
Impact 🔬
- Encourages
cooperation in space research, AI, digital health, and smart agriculture 🚀🌾.
- India
leads in digital public infrastructure, fintech, and startup ecosystems
within BRICS.
- Promotes
open science, innovation sharing, and technology transfer.
5️ Environmental Impact 🌱
- Supports
climate change action, green technology, and renewable energy transitions.
- Launched
the BRICS Green Fund for climate resilience 🌿.
- Advocates
for equity in climate finance and technology access for developing
nations.
6️ Security Impact 🛡️
- Joint
efforts on counter-terrorism, cybersecurity, and peacekeeping.
- India
helped develop the BRICS Counter-Terrorism Strategy.
- Promotes
peaceful multilateral dialogue rather than military alliances.
⚠️ Challenges Faced by BRICS
While BRICS is a powerful bloc, it faces several internal
and external challenges that affect its cohesion, effectiveness, and global
influence.
1️ Internal Political Differences
➡️ Challenge: Maintaining
unity despite contrasting national interests.
2️ Economic Disparities 💰
➡️ Challenge: Creating equitable
economic cooperation among unequally developed members.
3️ Expansion Dilemma (BRICS+) ➕
➡️ Challenge: Balancing expansion
with efficiency and shared vision.
4️ Lack of Institutional Strength
🏦
➡️ Challenge:
Strengthening institutional capacity and governance structure.
5️ Limited Global Influence 🌐
➡️ Challenge: Translating
collective vision into real global power.
6️ Security Divergences 🛡️
➡️ Challenge: Building credible
security cooperation without strategic contradiction.
🛠️ Multidimensional Solutions through BRICS
BRICS not only addresses global challenges but also
offers diverse, multidimensional solutions across sectors to promote a more
balanced, equitable, and inclusive world order.
1️ Economic Solutions
2️ Political & Governance Solutions
3️ Social & Developmental Solutions
4️ Technological & Digital Solutions
5️ Environmental & Climate Solutions
6️ Security & Stability Solutions
🌠 Future Scope of BRICS
BRICS is poised to become a key driver of global change,
especially as the world shifts from a unipolar to a multipolar order. Here's a
look at its potential future prospects across various dimensions:
1️ Geopolitical Influence
➡️ Scope: Lead a multipolar,
inclusive world order.
2️ Economic Expansion & BRICS Currency
➡️ Scope: Build a parallel
economic system supporting emerging nations.
3️ Technological & Digital Collaboration
➡️ Scope: Shape the future
of tech for inclusive and ethical innovation.
4️ Climate & Sustainable Development
🔹 BRICS can take the lead
in:
- Climate finance
- Green energy projects
- Adaptation and resilience in developing nations🔹 Potential expansion of BRICS Green Fund and carbon trading mechanisms.
➡️ Scope: Be a climate
justice leader for the Global South.
5️ Cultural & Educational Exchange
➡️ Scope: Promote cultural
soft power and knowledge diplomacy.
6️ Security & Peacebuilding Role
➡️ Scope: Shape a new
model of cooperative global security.
📊 Economic Weight &
Growth
- In
2025, BRICS countries (Brazil, Russia, India, China, South Africa, plus
BRICS+ partners) are estimated to contribute 40–46% of global GDP,
collectively covering over 55% of the world population.
- Combined
GDP growth for BRICS is projected at 3.4% in 2025—well ahead of the US
forecast (~1.4%).
🏦 New Development Bank
(NDB) Portfolio
Per the latest NDB investor presentation (April 2025):
- 120
projects approved across BRICS and partner nations since inception.
- 105
active projects totaling over USD 35 billion in ongoing investment.
- Key
sector breakdown:
- Transport
infrastructure: 40%
- COVID-19
emergency support: 25%
- Clean
energy & energy efficiency: 9%
- Water/sanitation
& mixed sectors: ~22%.
📌 Example impacts:
- 2,400 MW
of renewable energy capacity
- 288,800 m³/day
of additional water supply capacity
- 612,200 m³/day
new sewage treatment.
💸 Contingent Reserve
Arrangement (CRA)
- Pooling
up to USD 100 billion in foreign-exchange reserves.
- China’s
contribution: USD 41 billion.
- Acts
as a financial backstop against balance-of-payment shocks and currency
volatility.
🔧 Tech & Digital
Infrastructure
- Since
2022, USD 18 billion allocated by NDB for energy and grid integration,
focusing on renewables and digitization.
- Brazil’s
2025 BRICS presidency launched a new Working Group on Digital
Transformation of Industry, emphasizing cooperation on standards and
productivity.
⚙️ Institutional Strength &
Ratings
- Fitch
affirms NDB’s rating at AA with stable outlook; its governance gets ESG
rating of ‘5’, and share capital is equally split (19% per BRICS founding
member).
✍️ Final Thought
BRICS is more than a bloc — it’s a battle of narratives.
A fight between global hegemony and global pluralism.
In this geopolitical chessboard, BRICS wants to change who
moves the pieces.
And one thing’s for sure — the world is watching.
