Regional Groupings: BRICS

  • What is it?: BRICS is an acronym for the grouping of the world’s leading emerging economies, namely Brazil, Russia, India, China, and South Africa.
  • Formation
    • In 2001, the British Economist Jim O’Neill coined the term BRIC to describe the four emerging economies of Brazil, Russia, India, and China.
    • The grouping was formalised during the first meeting of BRIC Foreign Ministers’ in 2006.
  • Chairmanship: The chairmanship of the forum is rotated annually among the members, in accordance with the acronym B-R-I-C-S.
  • Significance
    • Emerging Economic Powers: BRICS represents five major emerging economies, contributing significantly to global GDP. The bloc promotes economic cooperation, development finance, and investment among member nations.
    • New Development Bank (NDB): The establishment of the NDB is a key achievement of BRICS, aimed at providing alternative funding for development projects, reducing reliance on Western-dominated financial institutions like the IMF and World Bank.
    • Geopolitical Influence: BRICS works as a counterbalance to Western dominance in global governance, particularly in economic and political forums like the UN and G20.
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