BRICS

   BRICS is an acronym for Brazil, Russia, India, China, and South Africa, five major emerging economies that have formed a political and economic alliance since 2009. The group aims to reshape the global order by promoting multipolarity, cooperation, and development among its members and other developing countries.

   The idea of BRICS was first proposed by Jim O’Neill, a Goldman Sachs economist, in 2001, who predicted that the four original BRIC countries (Brazil, Russia, India, and China) would surpass the G7 countries (the US, Canada, France, Germany, Italy, Japan, and the UK) in terms of economic growth and influence by 2050. South Africa joined the group in 2010, adding an “S” to the acronym.

   Since then, BRICS has evolved from a loose grouping of countries with similar economic trajectories to a formal institution with its own mechanisms and initiatives, such as the BRICS Business Council, the New Development Bank, the Contingent Reserve Arrangement, and the BRICS Pay. The group holds annual summits and regular meetings of ministers, officials, and experts to coordinate policies and projects on various issues, such as trade, finance, health, education, energy, security, and climate change.

   BRICS represents about 30% of the world’s land area, 45% of the world’s population, 25% of the world’s GDP, and 17% of the world’s trade. The group also holds about 40% of the world’s foreign exchange reserves and accounts for 30% of the total foreign holdings of US Treasury bonds. The BRICS consumption markets are worth more than $4 trillion, equivalent to those of the eurozone.

   BRICS is often seen as a challenger to the US-led Western order, as it seeks to usurp the worlds reliance on the US dollar and the Bretton Woods institutions (the IMF and the World Bank), and to create alternative platforms and norms for global governance that align more with their communist/socialist, state-centric beliefs. Most analysts argue that BRICS is driven by China’s ambition to expand its influence and to counter the US hegemony, especially in the Asia-Pacific region.