USA
Source: www.reuters.com

MOSCOW, Oct 16 (Reuters) - Russian President Vladimir Putin will host a summit of BRICS leaders next week, seeking support in his standoff with the West from the expanded group that now represents about a third of global economic output.

Russia says the event will be attended by leaders from Brazil, India, China, South Africa, Egypt, Ethiopia, Iran and the UAE, and Saudi Arabia - which has been invited to join - will be represented by its foreign minister.

Here are some of the proposals Moscow will put forward:

BRICS CROSS-BORDER PAYMENTS INITIATIVE

An alternative payment system in national BRICS currencies that would include a new messaging system and a network of national commercial banks linked to each other through the BRICS central banks, removing the need to exchange local currencies through the U.S. dollar.

The system would be immune to external pressure and will use blockchain technology to store and transfer digital tokens, backed by national currencies, to make it more secure and reduce transaction costs. The aim is to keep trade flows between member countries running smoothly even if one or more members are denied access to the international financial system.

BRICS CLEAR

An international settlement and depository infrastructure that Russia says would enhance cross-border trade in national securities. The idea is to allow all members to retain full access to BRICS financial markets even if they are cut off from Western financial infrastructure.

BRICS REINSURANCE

The proposal is to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and key commodities between members in the event that Western reinsurance firms, who dominate international trade, refuse to provide their services.

This issue is especially relevant to Russia as Western countries have since 2022 applied a price cap on its oil, blocking access to Western shipping and insurance services if the oil is sold for more than $60 a barrel.

BRICS CONTINGENT RESERVE ARRANGEMENT

An international financial facility aimed at supporting member countries during times of economic crises that would serve as an alternative to funding from the International Monetary Fund (IMF).

BRICS GRAIN TRADE EXCHANGE

The proposal calls for the establishment of a trading platform for grain and other major commodities, with an associated pricing agency that will provide price data and market analytics. Currently, international prices for major commodities are set on Western bourses.

COOPERATION ON CREDIT RATINGS

Better communication and experience-sharing between the member countries' credit rating agencies, with the use of artificial intelligence to help eliminate human bias. This measure would shield BRICS markets from a pullout by Western credit rating agencies.

USA
Source: www.usip.org

Leaders from Brazil, Russia, India, China and South Africa (BRICS) will gather in Kazan, Russia, next week for the group’s annual summit, along with an expanded roster of members. This is the first BRICS summit since Egypt, Ethiopia, Iran, Saudi Arabia and the UAE joined earlier this year. Russia, which holds the BRICS presidency this year, has also invited over two dozen other countries, which have expressed interest in joining the group, for the first “BRICS+” summit. For President Vladimir Putin, hosting this summit is an opportunity to show that Western efforts to isolate Moscow for its illegal war on Ukraine have not been successful and that Russia has friends around the globe.

BRICS leaders Russia and China aim to construct an alternative to Western-led security and financial architectures and see expanding the group as an important step to that end. USIP’s Adam Gallagher and Andrew Cheatham explain why so many countries want to join the group, how BRICS expansion intersects with other global trends and what it means for the United States.

What’s behind so many countries’ interest in joining BRICS?

Gallagher: Over 30 countries have either formally applied or expressed interest in joining BRICS. These include Southeast Asian states Thailand, Malaysia and Vietnam; NATO member Turkey; major oil and gas producers like Algeria; the world’s biggest Muslim country, Indonesia; Nigeria, which has the largest population in Africa; and the world’s eighth most populous country, Bangladesh.

There are clear economic benefits to joining this burgeoning group of emerging economies. The 10 countries that now make up BRICS represent 45 percent of the world's population, 28 percent of the world's economic output and 47 percent of global crude oil.

Intra-BRICS trade is one area that the group has found its footing. A joint statement coming out of the June 2024 BRICS foreign minister’s meeting encouraged “enhanced use of local currencies in trade and financial transactions” among BRICS members. This was a trend that was already on the upswing between 2017-2022, with a 56 percent increase in intra-BRICS trade in that timeframe. Western sanctions on Russia led to a further surge.

“Trade in goods among BRICS economies has considerably outpaced trade between the BRICS and G7 nations, leading to greater intra-BRICS trade intensity,” notes a report from the Boston Consulting Group. Those interested in joining BRICS believe membership will lead to increased trade and investment.

Western sanctions and the U.S. dollar’s status as the global reserve currency are also part of the story. The dollar’s dominance as a reserve currency and in trade for commodities like oil gives Washington immense influence over the global financial system. Countries impacted by U.S. sanctions and export controls — like BRICS leaders Russia and China, new members like Iran and wannabes like Venezuela — want to weaken the dollar’s power in order to evade sanctions and tamp down U.S. influence.

Unsurprisingly, China has been at the forefront of this de-dollarization effort. China’s renminbi has overtaken the U.S. dollar as the primary currency for Chinese-Russian trade and Beijing is coordinating with several major Middle East oil producers to ramp up the use of yuan to settle oil transactions. Using local currencies for intra-BRICS trade, however, is often viewed as an interim step to a loftier goal: a common BRICS currency. For now, most analysts see this effort as either unfeasible or a distant prospect. At this year’s summit, Russia is expected to propose new measures for an “alternative payment system” that would further sidestep the U.S. dollar.

For China and Russia, attenuating U.S. influence over the global financial system is part and parcel with building an alternative to the broader U.S.-led international order. It’s no surprise that U.S. adversaries like Russia and China want an alternative international system.

But many Global South countries also believe the current order disadvantages their interests and privileges wealthy Western countries’. They saw inequities in the COVID response, and believed rich countries hoarded lifesaving vaccines. Global South countries have also accused the U.S. of hypocrisy over its positions on the wars in Ukraine and Gaza and suggest that the West only applies international law and norms when it suites their interests, rendering the need for what they perceive as a more fair international order.

While dissatisfaction with the current international order is the dominant narrative surrounding BRICS expansion, there are other prospective members, like Malaysia, and current members, like India, that want to maintain balanced relations across the globe and are looking to cement their strategic autonomy. For these countries, it’s not about taking sides. Some countries also believe BRICS membership will give them a greater voice and representation in international politics. It’s not all about anti-Western ideology.

How is BRICS intersecting with global trends?

Cheatham: The BRICS summit comes at a pivotal moment as the United States sees its decades-long dominating share of global leadership on the decline. The world is experiencing a significant paradigm shift in the distribution of global power, which will have extensive consequences for international peace and security.

Amid Russian revanchism and a rising China, terms like "great power competition" or “the new Cold War” are often used to describe the current global dynamic. Yet, this framing is increasingly inadequate. The rise of middle powers is reshaping global politics. We are witnessing not just the rise of a few challengers to the U.S. and its Western allies, but a broader "rise of the rest."

Multipolarity is the first trend that must be considered when thinking about BRICS’ growing relevance. From the perspective of leaders across the Global South, multipolarity offers the most secure means of limiting hegemony, which, if unchecked, poses a threat to their vision for international norms and global security. In this multipolar world, the majority of states will work to encourage fluid alignments and discrete partnerships to help ensure power remains diffuse. For now, this trend signals a period of upheaval in the current world order, with uncertain outcomes as to how the balance of power will ultimately settle.

A stable and peaceful multipolar world will require a functioning multilateral system that is fit to tackle the unique challenges of the 21st century. Unfortunately, we are seeing another trend of an increasingly dysfunctional and inept multilateral institutions, centered around the United Nations system. The U.N. Security Council, a relic of the post-World War II power structure, no longer reflects contemporary global dynamics. Calls for reform, while progressing, go largely unheeded as the great powers cling to their vetoes.

Meanwhile, peacekeeping missions are underfunded and politically stalled, leaving conflict-affected countries mired in violence, lawlessness and human suffering. The international development system is similarly broken, with many countries trapped in debt crises and unable to leap into the digital and green economies. Peacemaking and U.N. mediation efforts have also floundered, with protracted conflicts persisting. Accountability for war crimes has similarly eroded since the lofty visions of the 1990s and the creation of International Criminal Court in 2002. Humanitarian systems are overwhelmed and underfunded, as aid workers face increasing violence and insecurity.

Finally, the rise of authoritarianism and the resurgence of "civilization states" — which prioritize civilizational identity over Western political norms, favoring sovereignty and cultural continuity over international rules — reflect a global shift toward centralized governance that undermines adherence to Western notions of the rule of law.

Much has been written of the democracies in decline and the rise of authoritarianism. The World Justice Project’s 2023 Rule of Law Index shows that more than 6 billion people live in countries where the rule of law is declining. However, this data should be considered alongside the rise of civilization states like China.

Other BRICS countries like Russia, Egypt, Ethiopia and Iran embody the concept of civilization states by emphasizing cultural and historical legacies over modern political models. One constant throughout the history of ancient civilizations was the dominance of rulers over subjugated populations, with little regard for the rule of law as we understand it today. At the “international” level, civilizations like this harken back to an era when territorial conquest was the norm. Russia's war of aggression in Ukraine is a stark reminder of this.

The resurgence of civilization states and authoritarianism contributes to a further breakdown in the rule of law at both national and international levels, where norms that should transcend individual leaders are increasingly eroded. This revival should be particularly alarming, as it signals not only a retreat from democratic values but also a weakening of global legal structures that maintain peace and accountability.

The trends discussed in this year’s BRICS meeting highlight a world grappling with the rise of multipolarity, declining multilateral institutions and the growing dominance of authoritarian civilization states, signaling a profound shift away from the democratic and legal norms that have long underpinned the international order.

What does this mean for the U.S.?

Gallagher: Washington should take these trends and developments seriously, but without alarmism. An expanded BRICS could be a more formidable player on the international scene — or it could paralyze the group’s decision making, as more countries with their own interests push their own agendas. While de-dollarization would reduce U.S. influence, a BRICS currency or any other alternative is unlikely to emerge anytime soon, even as trends point to diminishing reliance on the dollar.

An expanded BRICS could be a more formidable player on the international scene — or it could paralyze the group’s decision making, as more countries with their own interests push their own agendas.

Outside of Russia and China, many of the BRICS+ countries want good relations with the U.S. and the West, too. Saudi Arabia, for example, has been negotiating a deal with the U.S. to receive security guarantees from Washington in exchange for normalizing relations with Israel. India, a founding BRICS member, has dramatically deepened its security ties with the U.S. in recent years. Vietnam and the United States inked a comprehensive strategic partnership deal last year.
Still, BRICS is emerging as an alternative to Western geopolitical dominance and a powerful voice for Global South countries. At a time of immense flux and change in global politics, the U.S. should take stock of what’s driving states’ interests in alternatives to the international order it has led since the end of World War II. The world has seen an alarming rise in conflict in recent years. Multilateral institutions that were constructed decades ago have shown they are unable to adequately address this trend. A new multipolar era requires a revamped multilateral system to tackle today’s thorniest challenges, from war and climate change to pandemics and disruptive technologies like AI.

There is widespread agreement that such reform is needed. At this year’s U.N. General Assembly, the U.S. expressed its support for Security Council reform, including the addition of two permanent seats for African countries. Taking seriously Global South countries’ concerns over their lack of voice and representation at the head of the international table is a good start.

Russia
Source: en.kremlin.ru

Vladimir Putin answered questions from the heads of leading BRICS media agencies. The meeting was held ahead of the BRICS summit in Kazan.

The meeting was attended by the heads of media agencies from Brazil, China, Egypt, Ethiopia, India, Saudi Arabia, South Africa, and the UAE. It was moderated by Head of the Rossiya Segodnya Media Group Dmitry Kiselev.

* * *

President of Russia Vladimir Putin: Colleagues, gentlemen, friends,

I am very glad to see you. Our group is expanding; we have made more friends within BRICS, and there is significant interest in its activities. Both my colleagues and I have said this many times. Of course, this interest is also growing thanks to your work, support and coverage of what we do together with our colleagues and friends, the heads of BRICS countries.

The summit will begin soon. Ahead of it, we will host the President of the United Arab Emirates for a visit the day after tomorrow. We have an informal dinner scheduled for Sunday here, followed by the visit on Monday. On Tuesday, we will commence our work in Kazan.

We have a very busy agenda planned. A great deal has happened over the year of Russia’s BRICS chairmanship, which I believe will be of interest to you. I will be happy to discuss this briefly. Please forgive me, but I will not go into detail, as it is impossible to retain all the information in mind at all times due to the diverse and comprehensive nature of our cooperation. We collaborate in all areas, and I think you will be interested in talking with specialists on each of them.

I hope that you, your colleagues or your teams will have the opportunity to speak with professionals, including during the summit in Kazan.

Perhaps that is all I wanted to say at the beginning. I will now give the floor to you, so as not to take up more of your time. I will do my best to answer your questions as fully as I can on every aspect of our conversation today.

Go ahead, please.

Dmitry Kiselev: Mr President, we are very grateful to you for finding the time in your insanely intense schedule to meet with us.

This intensity is evidenced by the fact that in four days in Kazan, you will not only take part in the summit and have a big news conference, but also hold over two dozen bilateral meetings. You are absolutely right that it is difficult to wrap one’s mind around it.

Vladimir Putin: Seventeen.

Dmitry Kiselev: Seventeen, right – about two dozen bilateral meetings.

The meeting we are holding now is crucial not just to us personally, but to the entire planet, because the media represented here have a total audience of several billion people. We will get across your answers to our questions to our viewers, listeners, and readers.

I would like to ask the first question. Perhaps it will be somewhat general. The world is changing so rapidly that sometimes we cannot keep track of how different is has become. What are the signs of these changes and what opportunities do they open for BRICS?

Vladimir Putin: The most important sign is the emergence of new development centres. This is the most important sign. According to experts, whom I trust and whose opinions I heed, this development will be focused primarily in BRICS countries. This is the Global South, Southeast Asia and Africa.

Powerhouses like China and India will record positive growth. Positive growth will also be in Russia and Saudi Arabia. But countries of Southeast Asia and Africa will demonstrate outstripping growth rates, and for several reasons.

First, the development level in those countries, where positive but limited dynamics is expected, indicates that those countries have already reached a certain level of development. Second, those countries that I have mentioned, that will have outstripping growth rate, still have an insufficient level of urbanisation and a high rate of population growth. Without doubt, these two factors will influence the formation of new centres of economic growth to be followed by enhancing political influence.

Regarding BRICS countries like China, India, Brazil and South Africa, it is evident that their expanding economic potential will lead to their bigger global influence. This is an undeniable fact and it simply reflects objective reality.

As my colleagues, partners and friends have often noted, BRICS represents 45 percent of the world’s population, covers 33 percent of the Earth’s land area, and has a continuous growth in trade and global commerce.

I recently spoke with the BRICS Business Council and entrepreneurs from our nations, sharing the figures I have previously mentioned. When comparing 1992 to 2023, the combined growth of the BRICS countries’ share in the global GDP has doubled, while the growth of the G7 countries has slowed down. By this measure, the BRICS nations have already surpassed the G7. Moreover, it is evident that by 2028, this trend will continue, with the gap favouring the BRICS countries only widening. This is a clear and undeniable fact.

In certain sectors, humanity’s existence is impossible without the BRICS countries, particularly in food and energy markets and so on. However, in high-tech fields, especially in the development and application of artificial intelligence, we are not only acquiring competencies but also emerging as leaders in certain areas. This represents a significant shift, one of the most important and noticeable changes in today’s world.

This is a natural occurrence, and there is nothing wrong with it. The world is always evolving, and new leaders continuously emerge. We should accept this calmly as a reality and focus on building our relationships with one another accordingly.

What sets BRICS apart from many other international organisations? BRICS was never meant to be
created in opposition to anyone. The Prime Minister of India put it best. He said BRICS is not an anti-Western alliance; it is simply non-Western. This distinction is very important and has great meaning. That is, BRICS does not set itself in opposition to anyone. It is a group of countries that work together, guided by shared values, a common vision for development, and, most importantly, by the consideration of each other’s interests. This is the foundation on which we will be working in Kazan.

Dmitry Kiselev: Thank you, Mr President.

It is true that BRICS countries make up 45 percent of the planet’s population, but even if BRCIS does not make the global majority, then it definitely represents it, because many countries that are not part of BRICS wish this group success and share its values.

I am very happy to present Mr Fan Yun, my colleague from China, who is the editor-in-chief at CGTN and deputy editor-in-chief of China Media Group, deputy of Mr Shen Haixiong. We are giving him the floor first in view of your personal relationship with President Xi Jinping and special relations between Russia and China. Afterwards, we will move clockwise.

Please, Mr Fan Yun.

Deputy Editor-in-Chief of China Media Group, CGTN Director and Editor-in-Chief Fan Yun (retranslated): Mr President,

I am very glad to represent Chinese media at this meeting.

The BRICS summit in Kazan is the first one after the group’s expansion, so we are paying special attention to it. How do you think BRICS countries’ growing role and BRICS expansion will help promote its influence?

You have already mentioned that the group overall accounts for over 33 percent of the global GDP. What contribution will this make to the development of the entire world?

Vladimir Putin: Now BRICS includes ten countries. Each of them is of interest and value to the world community and, of course, to such group as BRICS. Each of these countries has its unique culture, its unique history, its own advantages in the global division of labour, and interaction with these countries is of interest to all BRICS participants.
Of course, when new players, new participants – full-fledged participants – appear and join any international organisation, they make their own contribution. And here it is very important for them to respect the principles on which BRICS was created, and it was created by three countries. The first step was made by Russia, India, and China, we did it together. At that time we created RIC in St Petersburg, Russia, India, and China. Later, it started to expand. On the other hand, however, all countries in the group should also respect the new participants’ interests.

This year, we have done everything within Russia’s capacity to smoothly and gradually integrate all our new members into the group’s activities. In fact, we have 250 events planned across various sectors, with 200 of them already completed.

The decision to accept new countries was no coincidence. These are countries and people we know well, with whom we have collaborated in various fields over a long period. Now that we are working together within a single group, we have created platforms for exchanging ideas and exploring potential joint projects across a range of sectors. While economic cooperation is our primary focus, we are also placing significant emphasis on developing people-to-people and humanitarian ties in such areas as culture, cinema, youth exchanges, and more.

We have been working hard on these tracks throughout the year, and the results show we are on the right path. It is clear that expanding the group was a positive and right decision. I am fully convinced that this will undoubtedly boost our influence and authority on the global stage, something we are already witnessing.

You know that each new country brings its close allies along in various areas. When a country joins the group, its partner nations naturally take an interest in what is happening and often express a desire to collaborate as well.
As I have mentioned many times before, around 30 countries have expressed interest in cooperating with BRICS in some form or participating in its activities. This is a clear and visible impact of our recent expansion. In fact, another wave of interest is already building on the heels of this one. However, we need to carefully consider, alongside all BRICS countries, how best to approach further expansion.

One thing is certain: we will not turn anyone away. The doors are wide open. The question now is how to structure this process, and my colleagues and I, along with our friends, will discuss all these matters when we meet in Kazan.
Dmitry Kiselev: And here you have the voice of the global majority.

I’m pleased to pass the floor to my colleague from Sky News Arabia. Nadim Koteich, one of the most renowned journalists in the Arab world, the author and host of the weekly show Tonight with Nadim. So, we are true colleagues in that sense.

Nadim, please go ahead with your question.

General Manager of Sky News Arabia (UAE) Nadim Koteich (retranslated): Mr President, thank you so much for the opportunity to meet with you. We are thrilled to have you with us.

I represent Sky News Arabia, and before I begin, I want to acknowledge the excellent work your team has done in organising this meeting. We truly appreciate the chance to have an open conversation with you, even though we don’t speak Russian.

I want to clarify that we didn’t discuss specific topics beforehand, and I want everyone to understand and be aware of this. We value this transparency.

Mr President, you have mentioned many times that the world order needs reshaping, which is undoubtedly a challenging task. We recognise the significant influence that China and the United States have in this process. How does Russia perceive its role in this reshaping? Does Russia, in any way, feel like a junior partner in light of the ongoing dynamics between China and the United States?

Vladimir Putin: It is true that we have a unique relationship with China, built on a deep level of trust. Our trade and economic ties are expanding rapidly. According to our data, trade turnover is between US$226 and US$228 billion, while Chinese statistics estimate it at around US$240 billion. These figures speak for themselves.

I have mentioned this many times before, yet I would like to stress again, that Russian-Chinese cooperation on the global stage is undoubtedly one of the key pillars of strategic stability worldwide. This is a fact that I believe is clear to everyone and is widely acknowledged.

Our relationship with the People’s Republic of China is based on equality and mutual respect for each other’s interests. This is not just an empty phrase, it reflects the reality of our cooperation. We genuinely listen to one another. Some five to seven years ago, the Chinese leadership, at both the government and top political levels, and I, along with my friend, President Xi Jinping, often discussed the need to improve the trade balance. We talked about finding ways to increase the presence of Russian products, both industrial and agricultural, on China’s market. Similarly, China had its own requests, particularly in the areas of energy, space cooperation, and other sectors.

We are actively addressing these issues and truly hear each other. If you examine the current trade balance structure, you will find answers to all these questions. Our focus is not just on discussions; we take action. There are no hierarchies between us, we collaborate based on mutual interests, and that approach is effective. That is the first point.
Now, regarding the relations between China and the United States. We do not interfere in these issues, just like we do not interfere in relations (we have colleagues here who will instantly figure out what I am referring to) between Ethiopia and, let’s say, Egypt. Do you understand what I am talking about? We do not interfere, do you see it? If there are any issues arising and if a minute thing depends on us, we are ready to offer our services in resolving these issues, if they arise and the participants in the corresponding process are interested in any involvement from our side.

The world’s biggest economy in terms of purchasing power parity rather than per capita is China. This is all statistics, you see? The United States of America is second. But, in terms of per capita values, the US economy is much bigger. Just look at the population: 1.5 billion or 1.3 billion in China against the population of the United States. The economy volume increased.

The United States holds the second place, India is third, and, incidentally speaking, the Russian Federation is fourth, we managed to overtake Japan a little bit. China is our number one trade and economic partner. Russia’s share is growing, and currently Russia’s share is the fourth in China’s trade turnover, this matters to everyone.

We very carefully measure our every step. Chinese partners are happy to purchase Russian energy resources. Russia is the most reliable source. We have a common border which is not prone to any fluctuations in terms of world politics. By the way, there is no need to transfer anything across borders, over seas or oceans: the entire border is common, period, and energy resources in Russia are infinite.

If you look at the relations between China and the United States, you know, I think the United States needs to start thinking. It ruined relations with Russia, constantly impose sanctions and this, eventually, negatively affects the US and the US dollar. The whole world started contemplating whether US dollars should be used since the United States, for political reasons, restricts the use of the US dollar as a universal international payment unit. Everyone started considering this, and the volume of US dollar use is slowly, in small increments dropping both in settlements and currency reserves. Even traditional allies of the United States are reducing their US dollar reserves.

And what is happening to China? It faces one sanction after another. This is not purely political; it is about the growth of the Chinese economy and attempts to hinder that growth through various politically motivated sanctions.
Here’s what I would like to note. The United States is 15 years too late, they cannot stop China’s progress. It is impossible, just as it is impossible to tell the sun not to rise. It will rise anyway. These are objective processes of economic development, with a million related factors. This effort to contain China’s development negatively affects the US economy as well. It renders the production of some of their goods uncompetitive, and if this trend persists, it could render certain sectors of their economy totally uncompetitive.

This illustrates how the economies of China and the United States have become interconnected over the past few decades, a fact that everyone admits. However, the actions we are witnessing today from the United States appear to be counterproductive, I believe.

This is also related to security policy, particularly the ongoing provocations surrounding Taiwan. I often find myself questioning the motives behind these provocative actions in various regions of the world. Why are they happening? I truly do not understand. In fact, NATO is drawing European nations into Asia through itself. No one seems to consider whether Europeans want to jeopardise their relationship with China by getting involved in Asian affairs through NATO, creating a situation that raises concerns among regional countries, including China. I can assure you that they do not want this. Yet, they are being pulled into this, like small dogs on a leash pulled by a big fellow. Their allies — Japan, Australia, and New Zealand — are nudged into action, tension is growing as serious weaponry is deployed which poses threats to the countries in the region, including China and Russia.

We are closely monitoring this situation. Naturally, we do not interfere, just like in other issues, such as those between Ethiopia and Egypt. However, we firmly consider China to be our strategic partner and ally.

Dmitry Kiselev: Thank you.

The advantage of BRICS is that there are no seniors or juniors in it, and nobody interferes in other countries’ affairs. It is really a very important stance and an important sentiment inside the group.

Mr President, I would like to introduce Faisal Abbas, world-famous columnist on international politics, international Arab politics, who represents the Arab News newspaper.

Please, go ahead, Faisal.

Editor-in-Chief of Arab News (Saudi Arabia) Faisal Abbas (retranslated): Your Excellency, Mr President,
Let me thank you for the opportunity to talk to you about various problems on the international arena which matter a lot.

Here is my question. As you know, Saudi Arabia has been invited to BRICS, and the Foreign Minister will attend the summit in Kazan. As you know, Mr President, the Crown Prince has been busy with settling issues in the Middle East and resolving the two-state problem in Palestine since last October. Moscow has always supported this solution, a two-state solution.

Will the UN Secretary-General attend the BRICS summit? What results can we expect to make it possible to put pressure and stop the bloodshed that is going on in the Middle East, considering that all the BRICS countries agree on the need to implement a two-state solution to the Palestinian problem?

Dmitry Kiselev: Faisal Abbas represents Saudi Arabia.

Vladimir Putin: I understand.

When you were speaking about ceasefire right now, did you mean the Gaza Strip? Did I hear that right?

Faisal Abbas: Yes.

Vladimir Putin: Our position on this is known well. I can hardly add anything new. We have always proceeded from the fact that the Security Council resolution on the creation of two states – Israel and the State of Palestine – must be implemented. This is the root of all the problems, and I am sure that we will have to talk about this at the BRICS summit. I invited the President of Palestine to join our events, and there will be an opportunity to listen to his assessments.

You know, I have had a lot of conversations on this subject with the Israeli leadership, the Saudi Arabian leadership and the Palestinian leadership. I believe it is impossible, just like I told our partners in Israel, to resolve the Palestinian issue based exclusively on economy-related issues. I know that the Israeli leadership – both its current and former leaders – believe it is enough to satisfy some fundamental, basic interests of Palestinians living on these territories, and the issue will be closed.

It seems to me that apart from some material issues, there are issues connected with a spiritual sphere, history, aspirations of peoples living on specific territories. The issue is deeper and more complicated, and work needs to be done in this sphere. This is first.

Second. The work definitely needs to be done within a broad consensus. I do not want to blame the United States for everything but it should not have destroyed the [Middle East] Quartet. I really do not want to point a finger at it all the time and repeat that they are guilty of all woes. This is probably not so. But they should not have destroyed the Quartet, it worked, it was easier to agree on all positions. But the US monopolised the work, took all the responsibility and eventually failed.

I believe we need to get back to it. Maybe expand the Quartet, talk about recovering the territories and bringing back the people who fled them. The Palestinians will not leave the area, it is their land, this needs to be understood. This is first.

Second. The bigger the humanitarian issue is the more there will be of those willing to assert their interests. Incidentally, many people in Israel understand this, too, and share the point of view I am expressing.

I have been in a position to obtain information from people in Israel who hold this view. We are in touch with both Israel and Palestine, of course. We have had a traditional position since the Soviet Union, which states, let me reiterate this, that the main way to resolve the Palestinian issue is to create a full-fledged Palestinian state.

Dmitry Kiselev: Thank you very much.

Chairman of the Sekunjalo Investment Holdings Iqbal Survé is one of the most influential African leaders. His group of companies includes Independent Media and the African News Agency.

Dr Iqbal Survé worked with President Mandela and is a firm advocate of BRICS.

Please, go ahead, Iqbal, South Africa.

Executive Chairman of Independent Media Holding (RSA) Iqbal Survé: Your Excellency, Mr President,
Firstly, congratulations on the summit. And it is really a pleasure and honour that we are here today.

Mr President, you are one of the pioneers of BRICS. As you have quite correctly said, you have been there from the inception, and you have also seen the development of BRICS from the initial RIC to BRICS to include South Africa and now the additional countries.

Mr President, I have had the pleasure of being the Chairman of the BRICS Business Council and also the privilege of having met you previously during those engagements. I am a strong advocate for BRICS myself, but I get the sense that we have moved too slowly. I get the sense that, in a way, we may miss the valuable opportunity to ensure that the BRICS grouping becomes the preeminent grouping in the world. BRICS is very critical at this juncture in terms of where we find ourselves in world history. It is very important for the Global South, or for what Mr Kiselev has said is the Global Majority, and I think Russia has a very important role to play and, in particular, yourself, Mr President.
My question is very specifically to you. How can you and Russia hosting BIRCS accelerate the mechanisms for BRICS to play a far more important role: one, economically; two, in payment systems; and three, which I think is important, politically as well.

Thank you, Mr President.

Vladimir Putin: As for the political order, your Egyptian colleague [has asked about this], I sidestepped it but since you revisited it, so I will get back to the first part of his question, too. He said that I, or we, are declaring and striving to change the world order. We are not, in fact. It is happening naturally. We are simply saying that this is an inevitable process, and we must respond to it accordingly.

These new emerging centres of power are not emerging because the Western countries brought upon us the Ukrainian crisis, and all of this came to the current state. Let me remind you once again: back in 2014, the Western countries led by the US organised, or at least supported, a coup d’etat. This is what sparked the crisis. Then, NATO has been pushed into it for many years. This is how the crisis began. And the war began in 2014, too, because they launched armed actions involving armed forces against people who didn’t accept the coup. So the war broke out in 2014.

However, changes in the world started even earlier, and on a larger scale. This is what we call the emergence of a multipolar world. We just proceed from the fact that this is happening, and we are trying to facilitate this process in a way that would not lead to destruction, but, on the contrary, let things take shape in a new expanding format.
You say that we should act more decisively, but how? We believe, any rush would be inappropriate. We are proceeding incrementally, step by step.

As for finance, say, we did not decide to stop using the US dollar as universal currency, we were denied using it. Now, 95 percent of Russia’s foreign trade with its partners is being carried out in national currencies. You see, they did it themselves. So be it. They thought everything would collapse. No, it did not. Trade is developing on a new foundation.
Ninety-five percent of our trade with China is in ruble and yuan. We also use the yuan in settlements with third countries, which helps strengthen the yuan as an international currency. It is not because China wants to harm anyone, no; it does nothing bad to anyone, but it is the way it is.

This is the first point: settlements in national currencies.

We have established the Bank headed by Ms Rousseff. A lot of work needs to be done there: we need to work on the capital, increase it, I will not list everything. We met with Ms Rousseff several times, she is a good specialist, she understands everything. We need to discuss how to create a corresponding insurance platform, a reserve currency pool. All of these needs to be steadily strengthened to make them real working tools rather than declarations. This is happening.

We would like to propose some really serious things to our colleagues – I will not go into details at this point. There is a serious issue of using digital currencies in investment processes, and not only in BRICS countries but by BRICS countries in the interests of other developing economies which have good development prospects, what I have already mentioned.

We can actually create such a tool which will practically be non-inflationary, it will be controlled by corresponding BRICS institutions. This might be another very interesting, good step in the development of the Global South with our direct active participation. We will talk about this now. Well, not now, I will discuss this with my colleagues.

We are holding consultations with Chinese friends and Indian friends, have had consultations with Brazilians recently, and we will definitely have a talk with South Africa. We will be doing this with everyone, just like we are doing now. We are moving, gradually.

But I believe this is not enough. We need to bring people closer together to work efficiently in the economy. All of our so-called traditional values of the Chinese culture, Christian culture, Islamic culture are, in fact, the same if read and translated from one language into another. They are very close or fully coincide, as diplomats say.

People need to realise and understand this. There are no enemies, only friends and like-minded people. And this is why we are developing a corresponding programme regarding museums and theatres. This year Russia initiated the creation of a single platform even in folk dance art, as well as in cinematography, theatre, and exhibition activity. All of this creates – must create and, I am sure, will create – a colossal, solid base to bring people closer together.
We constantly hold respective themed years with colleagues: the Year of Culture, the Year of Youth Exchanges, the Year of Theatre and so on and so forth. This also draws people closer, creates numerous contacts, increases opportunities. Most importantly, it increases trust in each other. It increases trust and this is a necessary basis for cooperation in the economy and ensuring security.

This is why we will not rush, but we will move, move as fast as we can. We cannot set off this tempo, I also agree with it, you are right.

Dmitry Kiselev: Thank you.

In fact, it is about forming a common cultural BRICS market that would also promote cooperation in economic security.
Next is our Indian guest, Mr President. This is an influential news agency, PTI. Sudhakar Nair has been with PTI for 45 years, rising from a correspondent to an executive editor, he worked in Germany and in the prime minister’s pool.
Please, go ahead, Sudhakar.

Executive Editor of PTI (India) Sudhakar Nair: Thank you, Mr President.

This is my sixth visit to Moscow as part of the coverage of leaders of India and Russia for a period of time.

So, my question relates to a point where you made a passing reference on the question of BRICS countries cooperating together in producing films. As you know, India has a very vibrant film industry. People of 30 years back, 40 years back, still remember some of the Indian films and songs.

Will Russia give an opportunity to film producers from the BRICS countries to open their place and give some incentives for film shooting?

Vladimir Putin: You know, if we take BRICS countries, then perhaps Indian films are as popular in Russia as nowhere else, in no other BRICS country. I think there is even a special television channel that shows Indian films day and night. So, Russia is very interested in the Indian cinema. This my first point.

Second, at Moscow film festivals… Yes, we hold BRICS film festivals. This year, films from almost all BRICS countries have been presented at the Moscow Film Festival. I think the winner was a film by Saudi Arabian and Egyptian directors. There also was a third country, but I don’t remember, I think it was Jordan. Saudi Arabia, Egypt, and Jordan. A film shot by directors from these three countries was the winner.

As for the economic aspect, cinema products are products like everything else. It is a part of the market that must be regulated accordingly. India has adopted a number of decisions to protect its domestic market, not just in terms of cinema, but also for automobiles and other areas. But I believe that if our Indian friends are interested in this, then we will undoubtedly find a common ground to promote Indian film products on the Russian market.

I can say that this product is in high demand on the market in the broad sense of the word, at least in Russia. I think it will be a good business, like Indian pharmaceutics. I will be ready to discuss this with our friend, Prime Minister of India [Narendra Modi], when he arrives in Kazan, if he raises the issue. We are confident we will find a common ground. That’s for sure. I see no problems here.

Dmitry Kiselev: Thank you, Mr President.

Of course, we would like to see not only Indian films, but films starring actors from BRICS countries who represent their diverse cultures.

Vladimir Putin: Raj Kapoor.

(Laughter.)

Dmitry Kiselev: Yes, but let there be an Indian, a Chinese, an Ethiopian, and so on.

Vladimir Putin: You know, I talked with my colleagues, leaders of the BRICS countries, about organising festivals of theatrical art, and it is currently being held. I think we have created a joint academy of cinematography. We will definitely continue on this path.

We discussed the need to create a pop music festival and so on. There is a lot work to be done here. This work is very interesting. Of course, journalists will also be interested in covering this work and taking part in it.

Dmitry Kiselev: Yes.

In the Soviet Union, there were films like Mimino