The five BRICS nations – Brazil, Russia, India, China and South Africa account for 3 billion population of the world, $16 trillion GDP, will be holding their sixth multilateral summit at Fortaleza, Brazil between 15th July tomorrow to 17th July. The Chairman ship of the grouping is currently held by Jacob Zuma, the South African President who hosted the last summit in South Africa and will pass on the baton to Dilma Roussef, the President of Brazil, current host country. Argentina, representing Union of South American Nations, too will participate in the meeting as a special invitee. Argentina may be inducted in the grouping after this meeting.
BRICS is a grouping of the five developing economies that can command huge respect and clout globally as a combine. The grouping has been formulated as a counter measure to the misrepresentation of the demands and apprehensions of such developing nations by the Western dominated groupings of developed nations, especially the World Bank, IMF etc. The first BRIC summit held in Yekaterinburg, Russia in 2008, called for a new “global reserve currency” to end the dollar dominance. Though the attempts did not proceed further, it did create doubts over Dollar for a brief time. Later, in 2013, after demanding reforms in IMF for quite some time, the BRICS nations announced a special bank like financial institute to aid development activities within member nations and also other under developed nations.
The BRICS bank proposed by India, has been pledged $41 billions by China, $18 billion each by Brazil, India and Russia, and $5 billion by South Africa. The $100 billion fund details will be worked out in the present Brazil session.
Though the BRICS grouping could become a formidable opponent to G-7, G-8, G-20 kind of groupings, internal issue between member nations are still simmering and threatening the full capabilities of the association from emerging. China’s desires to dominate Asian region, it’s border issues with India have been a great concern to India since long. Russia’s recent Ukraine incursion and role in Crimea, Syria conflict have given uncomfortable times to older friends like India. But each BRICS nation is of huge interest to other country because they offer huge business opportunities and any solid economic cooperation and strong support to each other would be perceived as a threat to US and European dominance in the world.
India’s future role, strength of presence in the grouping would be keenly watched by all nations as it would be represented by a new government and new leader, Narendra Modi, who is being wooed by all nations, including the US. US in fact has already forgotten it’s past dislike for the leader and has declared that it will accord him the respect of addressing the joint session of parliament when he will visit there in September. Modi is also visiting another global player Japan, will host China’s President Xi Jinping too later this year. Future of BRICS, future of many developing nations is about to be decided by the summit in Fortaleza, Brazil starting from tomorrow.