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What is BRICS

 


BRICS consists of five and more countries including Brazil, Russia, India, China, South Africa, Saudi Arabia, Iran, Ethiopia, Egypt, United Arab Emirates (UAE), and Indonesia. These developing economies have joined together to build a stronger influence in the global market and between each other. BRICS was initially established in 2009 with four members, Brazil, Russia, India, and China. South Africa joined in 2010. The most recent member is Indonesia that joined in early 2025.  

The purpose of BRICS is to reduce the reliance of the member countries on the US Dollar. All the members are non-European/Western countries and seek new policies and methods to grow their economies without being affected by the Western countries. BRICS can affect both politics and economics around the world. According to the BBC, containing countries like China and India, BRICS has about 45% population of the world. And about 28% of the world’s GDP. Combining all the members annual GDP, it is more than 28.5tn USD or about 28%. Up until now, there has been discussions whether there will be a BRICS currency to be used for trade between these members, however it has not been yet confirmed.  

Every member will take the chair for one year in turn. Brics aims to increase their global influence and representation in global organizations. Forming new economic policies to benefit the member countries and non-members is another purpose of BRICS. Additionally, Brics has emphasized on constructing a new financial system to help countries in times of difficulties. The group founded a bank called New Development Bank (NDB) and Contingent Reserve Arrangement (CRA) to lend financial support to counties in need. These banks may provide loans to both countries part and not part of the BRICS.

The effect and practicality of these goals are yet to be seen. BRICS was formed to perform various functions and time shows us how much this partnership will be effective for the partnered counties.

Written by M. Nargis

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