BRICS Summit: Economic Realignment and Expansion Discussions Take Center Stage

BRICS Summit: Economic Realignment and Expansion Discussions Take Center Stage

JOHANNESBURG- BRICS leaders gathered on Tuesday to discuss the future direction of the alliance of emerging economies, but differences between member nations have resurfaced, particularly in light of discussions about expanding the group to enhance its global influence.

The recent Ukraine conflict and increasing competition between Beijing and Washington have motivated China and Russia, with President Vladimir Putin participating virtually, to bolster BRICS. Their goal during the August 22-24 summit in Johannesburg is to transform BRICS, which also includes South Africa, Brazil, and India, into a counterbalance to Western dominance in global institutions.

Chinese President Xi Jinping, speaking at a BRICS business forum, emphasized the unprecedented changes occurring in the world and the critical juncture at which human society currently finds itself.

Chinese President Xi Jinping was notably absent from the event, even though leaders from South Africa, Brazil, and India were present. His message was conveyed by Chinese Commerce Minister Wang Wentao, leaving observers puzzled about his absence, especially since he had met with host Cyril Ramaphosa earlier that day.

This absence and comments from Brazil's Lula highlighted the ongoing divergence of visions within the BRICS bloc. It has historically struggled to articulate a unified perspective on its role in the global order. Lula emphasized that they do not aim to directly counter the G7, G20, or the United States; instead, they seek to organize themselves collectively.

In addition to the expansion debate, the summit also focuses on increasing the use of member states' local currencies in trade and financial transactions, aimed at reducing dependency on the U.S. dollar.

The process of reducing reliance on the U.S. dollar in economic ties is gaining momentum, according to Russia's Putin. His country, grappling with Western sanctions due to the Ukraine conflict, had Foreign Minister Sergei Lavrov represent them at the summit.

Despite discussions on various economic matters, organizers have made it clear that there won't be talks about establishing a common BRICS currency, an idea suggested by Brazil as an alternative to the dollar.

BRICS remains a diverse group, ranging from economic giants like China to smaller players like South Africa. While Russia seeks to demonstrate its global connections, India and Brazil have been leaning towards the West in recent times.

Tensions between India and China along their disputed border add to the complexities of decision-making within the bloc, which relies on consensus.

The White House doesn't see BRICS becoming a geopolitical rival to the United States, given the significant differences among its member nations. Expanding BRICS has been a goal for China and Russia, with South Africa expressing support. The leaders are likely to discuss criteria for admitting new countries during a mini-retreat and dinner.

India, cautious about Chinese dominance, maintains an open stance on expansion. Brazil is concerned about diluting its influence but expressed interest in Argentina joining the bloc.

While the possibility of BRICS enlargement remains uncertain, its aspiration to champion the developing world and provide an alternative to Western dominance is attracting interest from over 40 countries. Some have formally requested admission and are sending delegations to the summit in Johannesburg.

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