BRICS Grouping
Subject: International Relations | GS Paper II
UPSC Notes
BRICS is a grouping of emerging economies that promotes economic cooperation, political coordination and greater representation of developing countries in global governance.
Origin
The term BRIC was coined by Goldman Sachs economist Jim O'Neill in 2001.
Original members were Brazil, Russia, India and China.
South Africa joined in 2010, transforming BRIC into BRICS.
Membership
The expanded grouping includes the following countries:
Brazil
Russia
India
China
South Africa
Egypt
Ethiopia
Iran
United Arab Emirates
Indonesia
Saudi Arabia, whose formal membership status requires attention to differing official descriptions.
Major objectives
Strengthening cooperation among emerging economies.
Reforming global financial institutions.
Increasing the representation of developing countries.
Promoting trade and investment.
Encouraging cooperation in climate change, health and sustainable development.
Strengthening the voice of the Global South.
Important institutions
New Development Bank (NDB)
Established in 2014.
Headquarters: Shanghai, China.
Provides financial assistance for infrastructure and sustainable development projects.
Contingent Reserve Arrangement (CRA)
Provides financial support to members facing short-term balance-of-payments pressures.
Acts as a financial safety-net mechanism.
Nature of BRICS
Not a military alliance.
Does not have a permanent secretariat.
Decisions are generally based on consensus.
Presidency rotates among member countries.
Key Pointers
BRIC coined: 2001.
Original members: Brazil, Russia, India and China.
South Africa joined: 2010.
First BRIC summit: 2009, Russia.
New Development Bank: 2014.
NDB headquarters: Shanghai.
2025 presidency: Brazil.
2026 presidency: India.
Main agenda: Global South and global governance reform.
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