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www.csis.org From October 22–24, 2024, BRICS nations—Brazil, Russia, India, China, and South Africa—met in the Russian city of Kazan for their highly anticipated yearly summit. While BRICS summits rarely produce groundbreaking final documents, a product of their internal diversity, this summit was notable for several developments. It saw the addition of Egypt, Ethiopia, Iran, and the United Arab Emirates (UAE) for their first summit. Second, dozens of countries have applied to join BRICS, including Latin America’s dictatorships. Yet, major questions persist about the future of the grouping and how it will present itself as an alternative to the status quo.
Q1: What is the BRICS grouping?A1: Originally identified by Goldman Sachs’ economist Jim O’Neill as experiencing the most rapid growth until 2001, BRIC—Brazil, Russia, India, and China—formed as a group of emerging market economies seeking to represent those interests on the global stage. In 2009, Russian president Vladimir Putin hosted the
first official BRIC summit, and China (PRC) invited South Africa to join a year later. Besides their projected growth, the five countries that comprised BRICS until this year have very little in common—each finding their own reason for attending BRICS summits. In fact, after numerous meetings, the bloc made little progress toward building a cohesive identity. Part of this rests in the starkly divided ways each country approaches BRICS. Brazil, India, and to a lesser extent South Africa, see the BRICS as a non-Western institution amplifying their claims to “nonalignment” or “multi-alignment” in international affairs. China and Russia, on the other hand, increasingly view the BRICS as an institution meant to signal the decline of the West and the rise of an alternative global order based around multipolarity, with greater gravitational pull toward Beijing and, to a lesser extent, Moscow. Despite his war of aggression in Ukraine, Putin has touted the BRICS, complicating matters for other BRICS countries.
The BRICS remains primarily an economic bloc. The goal of the bloc is to counterbalance Western power as represented by the G7, mainly through an agglomeration of emerging economic powers. The main avenues for this have been two new multilateral institutions, the New Development Bank (NDB, known as the “BRICS Bank”) and the Contingent Reserve Arrangement (CRA), which seeks to rival the World Bank and the International Monetary Fund to lessen the dominance of the dollar.
Q2: Why is the BRICS group expanding?A2: The BRICS has several fissures among its member countries, but a key divergence is over the question of expansion. While Russia and China favor expansion, Brazil, India, and South Africa resist the idea out of fear of diluting their influence with the other two. Russia’s invasion of Ukraine significantly altered the calculus for expansion, as many Western nations sought to distance themselves from Moscow. For Russia, expanding BRICS sends the
message that Russia is by no means a “
pariah,” with many countries rejecting sanctions on Russia and attempts to isolate it. For China, increasing the attraction of BRICS is a crown jewel in its long-term project of courting countries in the Global South in order to sow a more Beijing-centric global order.
At the latest BRICS summit in Kazan, Russia, Egypt, Ethiopia, Iran, and the UAE became the latest countries to join the BRICS (rebranding to BRICS+), having been invited following the last BRICS summit in Johannesburg, South Africa. The expansion marks the evolution of BRICS into a more cohesive anti-Western agglomeration. Saudi Arabia has officially been accepted into the bloc, but the kingdom has not decided whether to join the group since last year’s invitation, while Argentina outright rejected its invitation. The expanded BRICS bloc now
represents roughly 45 percent of the world’s population, and with the inclusion of the UAE and Iran, the bloc accounts for almost 30 percent of global oil output, a number that would dramatically increase should Saudi Arabia join. In terms of purchasing power parity (PPP), the newly expanded bloc now
holds 35 percent compared to 23 percent of global PPP 20 years ago. For comparison, the G7 group held 40 percent PPP in 2004, compared to 29 percent this year.
The latest expansion is not set to end with Egypt, Ethiopia, Iran, and the UAE. It is estimated that over
40 countries have expressed interest in joining the forum and that
24 countries are in the formal application process. While no formal invitations were given to countries in Kazan, a new category of “
partner countries” emerged to signal future rounds of expansion—a
via media between Brazil and India’s staunch opposition and China and Russia’s drive to expand the bloc. With expansion being the ineluctable fate of the BRICS, observers will seek a throughline in these countries’ actions on the international stage. It is yet to be seen whether the amalgamation of countries that compose BRICS+ finds economic and political significance in their membership.
Q3: What benefits accrue to members of the BRICS?A3: The BRICS+ grouping has
yet to build a substantial track record of solving global challenges. While the bloc is relatively young compared to more venerable institutions like the G7 and G20, it has assiduously avoided taking on issues that could throw into stark relief the contradictory foreign policy preferences and outlooks of its diverse membership. Where the BRICS+ have been most successful at finding common ground is in efforts towards building an
alternative financial architecture to the U.S. dollar. Countries have a variety of reasons for supporting such moves to end the dollar’s status as the global reserve currency. In some cases, it is merely a question of reducing transaction fees and timelines by
cutting out the middleman that is the U.S. financial sector when making foreign currency transactions across borders. For other BRICS+ members and aspirants, it is about circumventing U.S.-led sanctions imposed against them that make it challenging to hold dollars and interact with global financial markets. From this perspective, the new “BRICS Bridge” alternative payments system initiative is highly attractive.
A secondary appeal of the BRICS+ grouping is the gravitational pull of China’s economy. The PRC is the largest trading partner for all the countries included in the grouping’s 2023 expansion, and fellow founding members like Brazil depend heavily on the Chinese market, too. New members of the BRICS+ are therefore
joining an attractive and, for the time being, a relatively small network that guarantees face time with one of their largest trade and investment partners, including at the leader level during annual summits. While this element of the BRICS+ appeal is downplayed by the grouping, it is an undeniable driver behind the group’s appeal to new members.
Finally, BRICS+ is a signaling device for countries that feel excluded from the current international order. The group’s overall orientation towards the Global South and fervent appeals to consider a non-Western alternative for global governance hold sizeable appeal in many circles. Indeed, even countries that are not explicitly opposed to the United States find benefit in joining BRICS+ as a means of enhancing their national prestige and nonaligned credentials.
Q4: What do Latin America’s dictators expect to gain from BRICS+ membership?A4: With the enlargement of BRICS, democracies are now outnumbered 22 to 3 when factoring in the authoritarian and semi-authoritarian countries added as partner countries in Kazan. This makes life complicated for the few democracies in BRICS+. The bloc will become a magnet for other autocracies that are clearly aligned with Moscow and Beijing and have anti-Western grievances. In Latin America, the dictatorships of Venezuela’s Nicolas Maduro, Nicaragua’s Daniel Ortega, and Cuba’s Miguel Díaz-Canel all expressed interest in BRICS+ membership. Semi-authoritarian Bolivia also wants to join the club, while democratic Argentina, under President Javier Milei, declined the invitation to join the group over “
ideological differences.”
The three Latin American dictatorships deploy an “anti-imperialist” ideology aimed squarely at the United States. In response to human rights violations and corruption, U.S. sanctions have been placed on all of them. Venezuela and Nicaragua are also subject to European and Canadian sanctions. These two countries also face sectoral sanctions, and Cuba has had to contend with the U.S. embargo for decades. These regimes mutually support each other, diplomatically, militarily, and economically through subsidies of Venezuelan oil, but also through a shadowy network of illicit activities that one long-time researcher of organized crime in Latin America called a
joint criminal enterprise. They have all also embraced BRICS founders China, Russia, and new member Iran as investors, trading partners, friends, and allies, regularly receiving high-level diplomatic visits. All three countries depend on schemes to circumvent sanctions and resent the U.S. dollar’s global reserve currency status and the “
exorbitant privilege” it provides Washington.
At the time of the South Africa summit, Cuban President Miguel Díaz-Canel
described the BRICS group as an important alternative to the established international economic order. Two weeks ahead of the summit in Kazan, Cuba
officially asked to be considered a BRICS+ partner country, which was approved. Díaz-Canel was not able to travel to Russia because of an unprecedented four-day electrical
black-out that affected all of Cuba and had the potential to lead to significant protests. Cuba sees BRICS+ as an economic lifeline for its
moribund economy which some consider to be worse than during the so-called “special period” after the Soviet Union collapsed. Russia has been deepening its relations with its old Cold War ally, especially since its invasion of Ukraine. It signed several
economic agreements with Havana in May 2023, approved a customs cooperation agreement to increase bilateral trade in June 2023, and in March 2024, Putin modified Russia’s credit agreements,