Russia
Source: brics-plus-analytics.org

Brazil trip notes (Part 1): the San Paulo transcript

This week we were in Brazil for the Dilemmas of Humanity conference in San Paulo that discussed the potential for the global economy to find pathways out of the mounting strains and economic crises[1]. The panel discussion in which the head of BRICS+ Analytics was represented among the panelists was dedicated to the building of the new financial architecture of the world economy. Below is a summary of the report presented by BRICS+ Analytics at the conference.

The Dilemmas of Humanity conference is taking place amid renewed shocks experienced by the world economy from an unprecedented escalation in protectionist measures. This latest deterioration in the global economic environment comes on top of a string of crises of the past several decades (2008 crisis, the European sovereign debt crisis, the 2020-2021 downturn during the pandemic). Apart from the rising frequency of economic crises there is also the sheer incapability of the world economy to deal with such global challenges as the pandemics, energy crises, climate change, energy transition and rising debt (the latter being particularly problematic in some of the most advanced economies). In terms of trade, the countries that have preached liberalization are now the sources of rampant protectionism, while in terms of investment, friend-shoring and reshoring strategies were vigorously pursued that all too often veered away from the textbook considerations of economic efficiency.

The global construct

Given the above deficiencies of the global economic system, new solutions need to be explored with the view to strengthening and amplifying some of its already existing elements. Building on the interventions and presentations of other conference participants, the main contention delivered in this presentation is that the key to reforming global economic governance system is via regionalism.

The current global economic governance construct may be characterized by a two-tiered system, in which the lower level of governance is represented by national economies and the upper level is formed by global multilateral institutions such as the IMF and the World Bank. What is missing in this global architecture is an intermediate regional layer of governance composed of regional trade and financial arrangements – at this stage there is no platform for regional trade arrangements (RTAs) and no full-fledged integration into the global construct of such key regional institutions as regional development banks (RDBs) and regional financing arrangements (RFAs). At this stage, in all three key areas of the world economy the resources and the cumulative weight of regional institutions is greater than those of the respective global organizations:

• The sum of regional trade arrangements (RTAs) > WTO
• The sum of the resources of regional financing arrangements (RFAs) > IMF
• The sum of the resources of regional development banks (RDBs) > World Bank

What is important is that some incremental changes towards the integration of regionalism into global economic governance are taking place – the African Union in 2024 became a member of the G20, while in 2023 the World Bank created a platform for multilateral development banks (including RDBs) to co-finance development projects. Thus far, however, these steps do not represent a full-fledged creation of the regional layer of global economic governance and it may be the Global South that could take the lead in the formation of this new governance layer within the global economy.

Implications for the Global South

A lot of the potential ingredients for building the regional layer of governance in the Global South are in place. With respect to the RTAs, some of the leading regional groups of the developing world could include ASEAN, Mercosur, the African Continental Free Trade Area (AfCFTA), and the Eurasian Economic Union. With respect to the RFAs the respective platform could include the Arab Monetary Fund, the CMIM (Chiang Mai Initiative Multilateralization), Fondo Latinoamericano de Reservas (FLAR) and the Eurasian Fund for Stability and Development (EFSD). With respect to the regional development banks the platform may incorporate the Eurasian Development Bank, CAF (the Development Bank of Latin America), and the Islamic Development Bank as well as other such regional institutions.

The platform for regional integration arrangements may target the path of the “integration of integrations”, namely economic cooperation and integration among the regional integration blocs rather than individual economies. This is the track that is already explored by Mercosur in its potential agreement with the EU – there may be scope and the urgency now for Mercosur to pursue similar agreements with the regional blocs from the developing world. The RFA platform could target the support for macroeconomic stabilization of developing economies together with such undertakings as regional integration and the launching of regional currencies. For the RDB platform the priority may be the co-financing of large-scale projects associated with the development of inland regions and economies (inaccessibility corridors).

The development paradigm of this platform of regional arrangements created by the Global South should center on the reversal of cumulative causation (a process of the accumulation of advantages and pre-eminence of regions with ex-ante lead) and the diversification of global economic development via catch-up growth of disadvantaged regions and economies. The main operational goal of the regional platform is the aggregation of the resources available in the Global South to support priority development projects. The benefits of the regional “platform of platforms” of the Global South include lower politicization (less Realpolitik among regional arrangements compared to national economies), greater inclusiveness (ability of small and medium-sized economies to participate in global economic governance) and the accumulation of largely dispersed financial resources to finance development. The best framework for operationalizing all these regional platforms of the Global South may be the BRICS+ format.

(To be continued)

[1] https://thetricontinental.org/pt-pt/brasil/economistas-e-intelectuais-de-todo-o-mundo-se-reunem-para-propor-saidas-a-crise-do-capitalismo/

Yaroslav Lissovolik, Founder, BRICS+ Analytics

Egypt
Source: english.ahram.org.eg

President Abdel-Fattah El-Sisi and Indonesian President Prabowo Subianto signed a declaration in Cairo on Saturday, elevating bilateral relations to a strategic partnership.

President Abdel-Fattah El-Sisi and his Indonesian counterpart, President Prabowo Subianto during the signing ceremony in Cairo, Egypt. Photo courtesy of Egyptian Presidential Facebook page.

President Subianto arrived in Cairo earlier that day, beginning an official visit to Egypt.
Following their arrival, El-Sisi and Subianto held talks at Al-Ittihadiya Palace, with expanded discussions involving delegations from both countries.

The leaders focused on strengthening ties between Egypt and Indonesia, aligning with the aspirations of both nations’ peoples.

The two presidents discussed key steps for activating their strategic partnership, particularly in manufacturing, trade, investment, communications and information technology, and food and energy security.

They also agreed to foster closer collaboration between business institutions in both countries to serve sustainable development and mutual interests.

According to Egypt's Central Agency for Public Mobilization and Statistics (CAPMAS), trade between Egypt and Indonesia reached $1.7 billion in 2024, up from $1.6 billion in 2023.

Egyptian exports to Indonesia totalled $151 million, an increase from $137 million in 2023, while imports from Indonesia rose to $1.6 billion from $1.5 billion the previous year.

The talks also covered enhancing defence cooperation through training, capacity-building, and exchanging expertise, particularly in light of regional and global challenges that require closer coordination between friendly nations.

The two leaders also addressed the situation in the Middle East, with President El-Sisi highlighting Egypt's efforts to broker a ceasefire in Gaza and facilitate humanitarian aid delivery. Both leaders emphasized the need for reconstruction efforts in Gaza, ensuring the protection of its native Palestinian population.

They underscored the importance of a lasting resolution based on international legitimacy, which includes the establishment of an independent Palestinian state along the 4 June 1967 borders, with East Jerusalem as its capital — viewed as the only path to long-term peace and stability in the region.
After the talks, President El-Sisi accompanied President Subianto to the Egyptian Military Academy, where they were received by Lieutenant General Ashraf Zaher, the academy’s director.

President Subianto was briefed on the academy’s training programs and viewed two documentary films — one on Egypt’s New Administrative Capital and another on the Military Academy.

The two presidents later visited the Equestrian Club at the military complex in the New Capital, where Subianto praised the discipline and professionalism in Egypt’s military training programs.

He reaffirmed Indonesia’s commitment to strengthening cooperation with Egypt in this field.

This marks Subianto’s second visit to Cairo in less than four months.

Ethiopia
Source: allafrica.com

ADDIS ABABA -Ethiopia's strategic engagement with BRICS was examined during a policy dialogue by the Institute of Foreign Affairs, highlighting opportunities, challenges, and priorities ahead of the country's full participation in 2025.

A pivotal policy dialogue, as part of the BRICS Think Tank Council, was convened at Jimma University on April 4th and 5th, focusing on Ethiopia's strategic engagement within the BRICS alliance.

The two-day event, titled "Ethiopian Expert Institutions: BRICS Insights for National Aspirations," aims to deepen collaboration among Ethiopian institutions and their BRICS counterparts, following Ethiopia's accession to the bloc in January of last year.

Russia
Source: en.interaffairs.ru

SCO allowed the market to merge with BRICS – Potential changes could affect 40% of the Global Economy

The Shanghai Cooperation Organization (SCO) and BRICS markets may merge, the secretariat of the Shanghai Cooperation Organization told Izvestia. They clarified that such a decision should be made at the level of the competent authorities of the member countries of both structures. But we must understand that it will not be possible to quickly unite the markets: this is hindered, among other things, by the participation of states in other organizations, experts say.

In the future, a common trading space can help countries cope with the consequences of the harsh US tariff policy and accelerate de-dollarization. Whether such an association is capable of becoming an alternative to the WTO is discussed in the Izvestia article.

Over time, the SCO and BRICS markets could merge. These organizations have similar goals and objectives aimed at contributing to the prosperity and well-being of the peoples of the participating countries.

— In this regard, the possibility of combining the SCO and BRICS markets is not excluded in the future, but this is a decision of the competent authorities of the respective countries. Currently, the SCO does not have on its agenda the issue of discussing common tariffs and other economic preferences for the countries of the two associations. Again, the decision rests with the leadership of our states," the SCO secretariat told Izvestia.

Both associations cover a very wide geography, despite the fact that a number of member countries coincide. The SCO includes Belarus, Russia, India, Kazakhstan, Kyrgyzstan, China, Tajikistan, Uzbekistan, Pakistan and Iran. Two more countries have observer status — Mongolia and de jure Afghanistan. After the Taliban came to power (the organization is under UN sanctions), the country's participation in SCO meetings has actually been frozen. In addition, the SCO has 14 dialogue partners.

Brazil, Russia, India, China, South Africa, the United Arab Emirates, Iran, Ethiopia, Egypt and Indonesia are full members of the BRICS. In this regard, the unification of markets would mean great opportunities for the development of trade between the countries. Nevertheless, there are significant obstacles to this.

— The SCO and BRICS are initially very different structures. If BRICS is a forum that unites countries from all over the world with common views on the future of the global economy, then the SCO is an organization mainly dealing with security issues," says Kirill Babaev, director of the ICSA RAS.
Although the SCO also has a strong economic component, the expert notes. For example, Zhang Ming, while still secretary general of the organization, told Izvestia in an interview that the main goal in this area is the transition to the free movement of goods, capital, technologies and services in the SCO countries. Moreover, both associations have long been thinking about creating a single payment system, and both structures continue to work on increasing the share of national currencies in mutual settlements.

Obstacles may arise at the institutional level. Neither the BRICS nor the SCO represent an integration association.: As a result, each of the structures does not have its own common market, such as the EAEU and the European Union, said Alexander Korolev, Deputy Director of the Central Research Institute of Higher School of Economics. On the other hand, the BRICS organization's lack of a charter does not make it invisible. On the contrary, the association has been expanding for the second year in a row. And in 2024, following the results of the summit in Kazan, it was also expanded with the category of partner states.

Brazil, which holds the BRICS presidency this year, has identified institutional strengthening of the bloc as one of its priorities against the background of the involvement of partner countries. In addition, many experts are unanimous in the opinion that after several years of active expansion of the BRICS, now is the time to work on creating a secretariat and a charter for the association, which the SCO also has.

So far, if it is not possible to conclude international agreements, you can start with a memorandum, for example, a memorandum of understanding or a communique following the summit. It is also important to take into account that the BRICS and SCO members are also members of other organizations. This complicates the process of market integration.

— Not all countries are members of the WTO. For example, Iran, which joined both the BRICS and the SCO. Thus, the countries belonging to both associations have different tariff duties and different participation in free trade zone systems. In addition, most states have a protectionist economy within their associations. For example, India, fearing to open its market, is in no hurry to conclude an agreement with the EAEU from the FTA," says Alexander Korolev.

Brazil, for example, is a member of the MERCOSUR regional economic bloc. Given that MERCOSUR recently agreed with the EU to create a free trade area, cooperation with this organization will be a priority for Brasilia.

The economic interests of the SCO and BRICS are united at least by the desire for de-dollarization. This will make the countries of both associations less dependent on the G7 states, primarily on the United States, which uses the dollar as a political weapon. Thus, the banks of the BRICS and SCO countries will be less dependent on Washington and its sanctions policy, especially if it comes to market unification.

BRICS is already showing positive growth dynamics. The share of the countries of the association in terms of purchasing power parity in the global economy by the end of 2024 was 36.7%, which is higher than the share of the G7 countries, Vladimir Putin noted at the summit in Kazan. Natalia Milchakova, a leading analyst at Freedom Finance Global, draws attention to the fact that the GDP of the SCO countries accounted for approximately 25% of global GDP, but mainly at the expense of those countries that are simultaneously members of the BRICS — China, India and Russia. In total, the BRICS and non-SCO countries together accounted for about 40% of global GDP in 2024, the expert says.

The Ministry of Economic Development of the Russian Federation estimated the mutual trade turnover between the BRICS countries at $678 billion per year.

"If we add more countries that are members of the SCO but not BRICS, then, according to our estimates, the total trade turnover will grow by at least 35-40%," Natalia Milchakova said.
Against the background of the tough US tariff policy towards many countries, increased economic cooperation within the BRICS and a potential increase in the market at the expense of the SCO countries could help overcome the consequences of restrictions from Washington, independent expert Andrei Barkhota emphasizes.

— China is the main beneficiary of removing barriers within the BRICS and SCO. The potential for an increase in trade turnover in this case does not exceed 20%. But in the wake of the hysteria over the actions of President Donald Trump, the BRICS can really get a new impetus for development. Nevertheless, the absence of the EU and the USA in the associations will not allow the BRICS and the SCO to replace the WTO," Andrei Barkhota believes.

The first stage for the start of cooperation between the BRICS and the SCO may be the development of a plan for cooperation and exchange of information, as well as experience in the field of ecology, said Victoria Panova, Vice Rector of the Higher School of Economics and head of the BRICS Expert Council.

"These can include adaptation and mitigation of the effects of climate change, the implementation of joint projects for the conservation of biological diversity, waste management and environmental protection, assistance in attracting investments and financing projects and programs in the field of environmental protection, the introduction of new environmentally friendly technologies," said Victoria Panova.

In the field of green finance, associations could develop mechanisms to provide tax incentives, stimulate the issuance of green bonds, and measures to improve the credit rating of issuers. On the part of the SCO, the Business Council and the Interbank Association of the organization could take up this task, and on the part of the BRICS, green funds, information platforms on green financing for businesses and NGOs, Victoria Panova summarized.

South Africa
Source: www.iol.co.za

During the BRICS summits in 2022, 2023 and 2024, member countries engaged in serious discussions about ways to reduce their dependence on the US dollar. While these efforts have since elicited serious punitive threats from the Trump administration, the recent US tariffs will further fuel either de-dollarisation or diversification of currencies used for international trade, particularly among BRICS countries.

The US dollar has been the singular most dominant currency and the sole major international reserve currency since the end of the 2nd World War, dominating and influencing international financial and monetary policies abroad. It became the standard currency for international transactions, hence, trade between countries involves converting local currencies into the US dollar. The current international financial and monetary system is disproportionately dominated by the US dollar, which accounts for about 90 percent of all currency trading. Until 2023, 100 percent of oil trading was conducted in US dollars, although one-fifth of such trade has since reportedly been conducted using non-US dollar currencies.

Amidst growing debates about the decline of US power, the US dollar stands out as the major anchor of American hegemony. Unsurprisingly, in December 2024, then-candidate US Donald Trump threatened to impose 100% tariffs on the BRICS group of nations if they created a rival currency, resulting in a shift away from the US dollar.

Trump wrote on his social media platform, Truth Social, that “The idea that the BRICS countries are trying to move away from the dollar while we stand by and watch is OVER. “We require a commitment from these countries that they will neither create a new Brics currency nor back any other currency to replace the mighty US dollar, or they will face 100% tariffs and should expect to say goodbye to selling into the wonderful US economy.”

However, the recent US tariffs will fuel efforts by emerging powers not only to redirect and diversify their trade and economic partnerships from the US, which is increasingly proving to be an unpredictable and unreliable partner, but also to explore prospects of using other currencies in the pursuit of their economic interests.

Despite the threats of punitive sanctions, discussions on exploring the use of alternative currencies are likely to intensify on the back of what others are calling economic warfare through the weaponisation of tariffs.

The tariffs have triggered a tit-for-tat vicious cycle with China as the second largest economy, moving to protect international rules and its economic interests. The EU, Mexico and Canada have indicated they will respond strongly, while other countries are weighing their options.

The tariffs will add to growing international discontent against the weaponisation of economic instruments by the US. The BRICS countries have complained about the coercive instrumentalisation of the US dollar and the SWIFT payment system as economic sanctions against targeted countries.

During the Summits of the BRICS in 2022, 2023 and 2024, its leaders discussed and resolved to issue a "new global reserve currency," saying that they were ready to work openly with all countries committed to fair international trade. In April 2023, Brazilian President Luiz Inacio Lula da Silva spoke about the need for intra-grouping BRICS currency, stating, “Why can’t an institution like the BRICS bank have a currency to finance trade relations between Brazil and China, between Brazil and all the other BRICS countries?

Who decided that the dollar was the (trade) currency after the end of gold parity?” Brazil, which is one of the main protagonists for the BRICS currency, is the current president of the grouping, and may seek to push the idea to be finalised. Other members of the BRICS are on board in pushing for diversification of trade, financial and monetary mechanisms to easily facilitate trade amongst member states.

The BRICS is the fastest-growing regional grouping with the potential to rival the G7. Originally launched as a grouping of emerging middle powers, Brazil, Russia, India, China and, later, South Africa, it has since expanded to include Iran, Saudi Arabia, the United Arab Emirates, Ethiopia, Egypt, and Indonesia to create one of the largest single groupings of countries in the world. The inclusion of some oil-producing states in the bloc, renders the grouping more weight, particularly if the parties continue to expand and strengthen intra-group policies, trade and economic relations.  

There are about 34 other countries which have expressed interest in joining the grouping, amongst which is Turkey, a member of the North Atlantic Treaty Organization (NATO), as well as the European Union–Turkey Customs Union and Nigeria, one of the largest economies in Africa after South Africa and Egypt. Indonesia became the first Southeast Asian nation to formally join the intergovernmental grouping, which now spans Africa, Asia, Latin America, and the Middle East, with Turkey potentially bringing it closer to Europe.

As the fastest growing regional grouping, the BRICS represents about 45 per cent of the world’s population, which is about 3.25 billion people, and 35 per cent of global gross domestic product (GDP), based on purchasing power parity. In contrast, the G7 accounts for ten per cent of the global population and 30 per cent of the GDP. The BRICS has also seen increasing intra-group trade volumes and a major shift towards alignment of economic policies, while forging closer diplomatic intra-grouping ties.

While there is no doubt that the BRICS does not seek to replace the US dollar, the grouping has gathered momentum towards coordinated intra-group policies, in ways that could reduce their singular dependency on the US dollar as the currency of choice for global trade, foreign exchange reserves and the use of SWIFT as a global trade platform.

There is also a sense of unity and urgency within the BRICS. The rapid expansion of the grouping suggests immense potential in its growth into a major influential economic bloc. During the 6th BRICS summit in 2014, the BRICS statesю

The signing of the Agreement on the New Development Bank at the 6th BRICS summit in 2014, including a separate agreement providing for a reserve currency pool worth $100 billion indicates strong political will to create and consolidate institutions which resonates with the interests of its group members, setting them on a path towards economic independence. The development bank is meant to be an important source of capital for the BRICS states, operating in ways that simplify mutual settlement and lending operations while fundamentally reducing dependence on the US dollar and the Euro.

The diversification and expansion of intra-group trade and economic relations could solidify and strengthen the group of countries as an emerging region and market which could benefit from the use of currencies of its member countries or a shift from the costly singular reliance on the US dollar. A BRICS currency could also facilitate more efficient trade rules and processes amongst member countries using this monetary system, allowing the BRICS nations to increase their influence in global trade and financial markets, attracting more investment and reducing the dominance of Western financial institutions.

* Gideon H Chitanga, PhD, is a Researcher at the Centre for Africa China Studies (CACS), University of Johannesburg

Brazil
Source: brics.br

The contest will select innovative businesses led by women in BRICS countries, promoting gender equality and sustainable economic growth.

The Brasil’s BRICS Presidency, in collaboration with the Brazilian Micro and Small Business Support Service (Serviço Brasileiro de Apoio às Micro e Pequenas Empresas/SEBRAE), the National Confederation of Industry (Confederação Nacional da Indústria/CNI), and the BRICS Women's Business Alliance (Aliança de Mulheres de Negócios do BRICS/BRICS WBA), has announced the launch of the BRICS Women's Startups Contest 2025 —a competition aimed at boosting female entrepreneurship as a driver of economic development and sustainable innovation. The initiative seeks to spotlight women-led businesses that offer practical and innovative solutions to the challenges faced by their communities and markets.

​The launch of the award aligns with the priorities set by Brasil's BRICS Presidency in 2025, focusing on economic integration, expansion of strategic partnerships, and promotion of initiatives that generate lasting social and economic impact. This year, the expectation is to attract up to 2,000 applications, demonstrating the initiative's reach and relevance in strengthening female entrepreneurship.

​The BRICS Women's Startups Contest 2025 is open to women-led startups from BRICS member countries—Brasil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, and the United Arab Emirates—as well as from partner nations including Belarus, Bolivia, Kazakhstan, Cuba, Malaysia, Nigeria, Thailand, Uganda, and Uzbekistan. Additionally, startups from Kyrgyzstan, Mozambique, Lesotho, Zambia, and Zimbabwe are eligible to participate, provided they operate within BRICS markets or have concrete plans to expand into these regions.

Award Categories: Applicants may compete in six main categories, reflecting strategic areas for sustainable development and economic inclusion within BRICS countries:

• Health and Well-Being
• Agriculture and Food Security
• Education and Skills Development
• Energy, Infrastructure, and Mobility
• Trade, Services, and Digital Transformation
• Sustainable Development and Climate Solutions

With the support of the Brazilian Micro and Small Business Support Service (Serviço Brasileiro de Apoio às Micro e Pequenas Empresas/SEBRAE), which is leading the organization of this edition, the BRICS Women's Startups Contest 2025 aims to foster a supportive environment for female entrepreneurs to connect with investors, accelerators, and global innovation ecosystems. The initiative seeks to drive business growth and expand access to new markets.

Awards and Benefits

The 18 finalists will participate in a Technical Mission in Rio de Janeiro from July 1-8, 2025, with all expenses covered—including airfare, accommodation, and a per diem. During the week, they will have the opportunity to visit innovation hubs, pitch their projects to investors and business leaders, and attend the Award Ceremony at the BRICS Business Forum.

The contest reinforces Brasil’s commitment to promoting female entrepreneurship and facilitating global market access for startups and innovative small businesses. Recently, discussions within BRICS have underscored the importance of technological cooperation and productive inclusion as engines for sustainable growth. Initiatives like the BRICS Women’s Startups Contest 2025 demonstrate the joint efforts of member countries to ensure that women entrepreneurs have access to the opportunities and networks that drive innovation and international competitiveness.
Applications are open until May 4, 2025, and must be made through the official website of Brasil’s BRICS Presidency.

Brazil
Source: brics.br

BRICS Brasil Bulletin #03 | Interview - Mauricio Lyrio: “The BRICS is essential to strengthening emerging economies and combating inequalities”

Appointed as Sherpa by the Brazilian government, Ambassador Mauricio Lyrio is going to coordinate the BRICS agenda until the Leaders Summit. In an exclusive interview, Lyrio addressed some of the Brazilian Presidency’s priorities in 2025. Listen to the report and learn more.

Reporter: The Brazilian government has announced that Ambassador Mauricio Carvalho Lyrio will be the country's chief negotiator at the BRICS. Lyrio will serve as Sherpa during Brasil’s temporary presidency of the group. Having held the same role at the G20 last year, the ambassador will be responsible for coordinating and organizing the agenda of technical and ministerial meetings throughout the first half of 2025. This appointment highlights Mauricio Lyrio's strategic role and experience in major international negotiations, with a focus on strengthening Brasil’s position in multilateral relations.

In this exclusive interview, Ambassador and Sherpa Mauricio Lyrio talks about the increasingly dynamic international scenario in which Brasil has played a fundamental role in strengthening alliances among emerging economies.

Reporter: What is the BRICS and what is its role on the global stage?

Mauricio Lyrio: It is a group in which there were originally four countries: Brasil, China, India and Russia. In 2011, South Africa was incorporated. So, today, the BRICS actually harbors 11 countries, all of which are important in the developing world and have the capacity to improve cooperation so that they can all overcome their issues of lack of development in various areas.

Reporter: Has the Brazilian Presidency of BRICS already established its priorities?

Mauricio Lyrio: Some of them have already been defined, such as social and economic development, with an emphasis on combating hunger and poverty, in addition to strengthening cooperation in health, since many diseases affect the countries in the group more than others; economic partnership, expanding trade, investment and financial cooperation, with emphasis on the BRICS Bank and financing of sustainable infrastructure; climate change, with Brasil leading negotiations for climate financing and coordinating efforts for COP30; and artificial intelligence, ensuring that its application contributes to reducing inequalities and boosting sustainable development.

Reporter: How does the BRICS see the future of sustainable trade and investment?

Mauricio Lyrio: The BRICS has made progress in the area of ​​financial and trade cooperation. The BRICS Bank, for example, was created to finance infrastructure projects, including green initiatives. The group is also focused on reducing trade costs among its members and expanding investments, especially in sustainable sectors. Cooperation in trade and investment is one of the areas with the greatest potential for the BRICS in the future.

Reporter: How does the strengthening of the BRICS directly impact people's lives?

Mauricio Lyrio: International cooperation, as in the case of the G20 and the BRICS, is fundamental to Brasil's development. Through initiatives such as the negotiation of the Mercosur-European Union agreement, the goal is to promote economic, social, and environmental development. Although it is challenging to connect international negotiations with people's daily lives, Brazilian foreign policy prioritizes making these negotiations more concrete and objective to generate real and impactful results in the lives of the Brazilian population.

Reporter: Finally, what is your message to Brazilians about what to expect from the BRICS under the Brazilian presidency?

Mauricio Lyrio: My message is that Brasil is once again bringing a negotiation of great importance to the country. This group represents a unique characteristic of Brasil: the ability to dialogue with all countries in a constructive and conflict-free manner. This virtue allows Brasil to build bridges and develop diplomacy at a crucial moment for the world. The BRICS is, without a doubt, focused on the interests of its citizens and, in this context, Brasil’s role is to represent the most diverse groups, whether among rich or poor, tropical or temperate countries, on different continents. Consensus is the basis for all these groups.

English version: Mary Aune
Proofreading by Enrique Villamil

Brazil
Source: brics.br

In an exclusive interview, Luciana Servo, President of the Institute for Applied Economic Research (IPEA), highlighted the key points of the think tank recommendation report submitted to Ambassador Mauricio Lyrio.

With contributions aligned with the six priority pillars of Brasil’s BRICS Presidency, the coordination of the BRICS Think Tank Council (BTTC) delivered to Brazilian Sherpa, Ambassador Mauricio Lyrio, on Tuesday (8), a recommendation report grounded in best practices and evidence-based approaches.

During a meeting held in Brasília, Federal District, Luciana Servo, President of Brasil’s Institute for Applied Economic Research (IPEA), which leads the group, presented a report produced from work conducted during the first quarter of the year. The BRICS Think Tank Council (BTTC) fosters the exchange of ideas among researchers, academics, and research centers in search of solutions across the grouping’s various areas of dialogue. Under the People-to-People (P2P) pillar, the network of research institutes was the first to submit its contribution.

In February, IPEA — which is coordinating both the BRICS Think Tank Council (BTTC) and the BRICS Think Tank Finance Network (BTTNF) this year — brought together more than 40 experts for five thematic workshops, where the recommendations were consolidated.

In an exclusive interview with BRICS Brasil, Luciana Servo shared highlights from the report, reflected on the role of research institutes in the group’s history, commented on the involvement of new member countries, and outlined the upcoming think tank agenda ahead of the Leaders’ Summit in July. Check it out:

To begin, for those unfamiliar with the topic, how would you explain what a think tank is?

"What is the great advantage? Think tanks are not public policymakers. In a moment of complex geopolitics, bringing together institutions grounded in knowledge, and able to engage in dialogue with their respective governments, helps those governments establish more meaningful conversations with one another."

I would begin with IPEA, an institution within the Brazilian government. Its role is to produce knowledge, research, and studies to inform decision-making by the Brazilian State. It also generates evidence on which public policies can be based.

Most think tanks around the world — whether governmental or not — play the role of producing knowledge and fostering dialogue on relevant and strategic topics to support their governments, both in national policymaking and in international discussions. These are typically research-based institutions that work with evidence generation, but unlike traditional academic research centers, they are also tasked with engaging in dialogue on public policies and strategic decisions, either within the country or, for example, in dialogue with the private sector and other decision-making bodies.

This year, IPEA holds the presidency of both the BRICS Think Tank Council (BTTC) and the BRICS Finance Think Tank Network (BTTFN). How do these mechanisms differ, and where do their agendas converge?

The BTTC is a broader council that covers a wide range of topics and was the first to be established. It has been meeting since 2013 to discuss recommendations to be submitted to the BRICS presidency. The Council engages with what we call Sherpas. For those who followed the G20, it also had a Sherpa track, led by the Brazilian Ministry of Foreign Affairs. This year’s structure is similar.

The BFTTN, on the other hand, is a very recent mechanism. It was proposed a short while ago, during China’s presidency in 2022, and this year marks the first time it is actually convening to discuss topics more focused on the economy and finance. We are currently defining its working mechanisms, in close dialogue with the Ministry of Finance and Banco Central, to produce inputs — mainly in the form of studies rather than formal recommendations.

Once the mechanism is fully operational, the tendency is that it will also begin to function similarly to the BRICS Think Tank Council (BTTC), with annual meetings and, eventually, the capacity to issue recommendations in finance-related discussions.

We are having this conversation right after you delivered the Council’s contribution report to Ambassador Mauricio Lyrio. What are the highlights of the recommendations received by the Sherpa?

I believe we delivered very effective contributions, including some that are ready to be implemented. BRICS has several mechanisms that have been proposed for quite some time, and once they become operational, they will help reinforce agendas in our country. One example is the global health agenda, which has become particularly relevant—not only since the pandemic, when its importance became very clear but also with the potential to support the development of this group of countries and the multilateral agenda itself.

So, when we discuss how to bring the digital agenda into use in health, public policies, and investment platforms, we are aiming to introduce concrete mechanisms and recommendations that can be implemented in actions within Brasil, but mainly in cooperation among these countries.

And how was the process of drafting this document?

The first thing we should highlight is the fact that, although the Brazilian BRICS Presidency lasts for one year, the delivery of the document in April is meant to support the discussions at the Leaders' Meeting in July. In this sense, one key aspect is how to quickly build consensus among these think tanks in order to produce these recommendations within a very short timeframe. That is a key highlight.

We managed to do two things. First, IPEA led a discussion with national research institutions that are familiar with BRICS and understand the priority topics of the Brazilian Presidency to produce an initial document, which served as the basis for negotiations with the think tanks that are part of the BRICS Think Tank Council (BTTC).

From there, we entered the second phase, involving dialog and building consensus with the Council’s six other think tanks. This process was very enriching from the start, as there was a great acceptance of the initial document that was presented, so we only refined it. We were able to come up with very substantial and important recommendations. We are the first group to make this delivery, which will support the dialogues that Brasil’s Ministry of Foreign Affairs (Ministério das Relações Exteriores /MRE) of Brasil will have with the other Sherpas.

You mentioned that six other institutes participate in the Council. How does one join this formal BRICS think tank mechanism?

Think tanks like IPEA are nominated by their governments. However, the idea is that these think tanks have the autonomy to discuss recommendations, conduct studies, and engage in dialog. This process — particularly now, with the new member countries— involves considering which think tanks will join.

This is the first year that Brasil presides over BRICS after the group’s expansion, with new member countries and partner countries. Could you explain in more detail how IPEA worked with these new representations?

Well, the first thing you do when a new member joins anywhere is show them the environment and introduce them to the mechanism. So, one of IPEA’s roles was to present the BRICS Think Tank Council (BTTC) activities to these countries, along with the other think tanks. So far, Iran and Ethiopia have nominated representatives and participated. They come in, they are introduced to the operational process and to how the dialog is expected to take place. Once this is done, they participate in the discussions just like the countries that have been part of the group for a longer. Ethiopia participated in the entire negotiation process, while Iran submitted recommendations. It is an interaction process that evolves over time.

The Council and sectoral meetings have been active for over a decade, dating back to the second Summit when the group was still BRIC. The think tank mechanisms are now among the most structured in the People-to-People pillar of BRICS. What do you think explains this continued high-quality engagement?

As part of its agenda, the BRICS Think Tank Council (BTTC) organizes the BRICS Academic Forum (B), a platform for experts to discuss strategic issues and cooperation mechanisms among BRICS countries. However, even before the group was formally established, there were already dialogues taking place in the field of diplomatic relations and among expert communities. BRICS was officially formed the following year, but the experience of bringing experts together to exchange ideas and contribute knowledge was already underway.

It was only natural that, over time, this mechanism would be formalized—bringing together institutions capable of informing negotiation processes with their expertise in public policy. What is the great advantage? Think tanks are not public policymakers. In a moment of complex geopolitics, bringing together institutions grounded in knowledge, and able to engage in dialogue with their respective governments, helps those governments establish more meaningful conversations with one another.

It is a very relevant process of continuity, maintaining history even with all the geopolitical changes and shifts in governments. These think tanks preserve the memory of the process and help their own countries, their diplomacies, their leaders, and their presidencies because they have already established prior dialogue mechanisms among themselves.

Once the report is delivered, what other agendas for promoting IPEA within BRICS are expected to take place before the Leaders’ Summit in July?

We will have the FABRICS (BRICS Academic Forum) meeting, which will take place in Brasilia on June 25-26. Both the think tanks that are part of the BRICS Think Tank Council (BTTC) and the BRICS Finance Think Tank Network (BTTNF) will participate in this academic forum, continuing discussions on issues of interest to the BRICS agenda.

We are also currently building discussions with other government institutions, academic institutions, and institutions that the other think tanks bring to Brasil, forming a larger network. It is a moment to bring other institutions, experts, and representatives together for a dialog around BRICS.

So, it is not only a moment of dialog about the recommendations already made but also of producing and expanding knowledge about the group. Furthermore, we have a series of agendas for continuing discussions on the mechanisms, governance discussions, and discussions about other forums that are taking place, such as COP30 itself, to deepen the interaction of BRICS with the Conference.

We will also continue to work on what we call implementation strategies for some of the recommendations that were made. Because, although they were delivered now, the dialog continues.

The second Sherpas' Meeting will take place in Rio de Janeiro at the end of the month, and for the first time, it will include civil society participation—replicating a precedent set by the G20. How significant is it for research institutes to have a seat at the table alongside the Sherpas?

IPEA will be there on April 24, representing the think tanks. And I believe this is a very relevant moment, in which a delivery is made not to the Brazilian Presidency, as we did here, but to all the representatives of the other BRICS countries. It is a moment to expand the influence of these institutions with the Sherpas.

But more than that, during the G20, we learned that this is also a process of creating more legitimacy in these forums. If you bring in the various mechanisms, institutions, and groups contributing to the dialog, you show that they can internalize this agenda in their countries for something larger than what is happening at that moment.

"During the G20, we learned that this is also a process of creating more legitimacy in these forums. If you bring in the various mechanisms, institutions, and groups contributing to the dialog, you show that they can internalize this agenda in their countries for something larger than what is happening at that moment."

So, I am calling this process the knowledge and legitimization of BRICS, not necessarily tied to one presidency or another, but to how this is, in fact, an important process for our country. It is a very relevant moment for dialog, one that qualifies the debate among civil society groups while also qualifying the discussion among the Sherpas.

Finally, is there anything we haven’t addressed that you believe is important to add—either regarding the work of think tanks or BRICS’s role as a voice for the Global South?

I believe we are living through moments in which the multilateral system is being questioned. Brasil has always emphasized that the global conversation must focus on seeking equitable participation, strengthening the United Nations (UN) system, and reinforcing the multilateral system. BRICS, as a group, comes to strengthen this multilateral discussion, not to be a separate conversation.

I believe that this is very concrete in the BRICS discussions, something that also emerged during the G20 discussions: these groups do not replace the multilateral system. On the contrary, by holding these discussions, they advance and reinforce that the multilateralism agenda remains central. The tendency towards these confrontations that we are seeing now, particularly in the area of bilateral trade, has always existed. And that is why multilateral mechanisms exist — they serve as mediation tools. If we do not strengthen these mechanisms, we risk entering into various dispute processes without a mediator.

So, the multilateral system is essential, and the system of groups helps advance these agendas and build consensus. I believe that the BTTC and the BTTNF provide an additional space to support this process.

Brazil
Source: brics.br

Responsible for 42% of global food production, BRICS countries are joining forces to combat hunger, tackle the climate crisis and promote sustainable agriculture. Initiatives by India, Ethiopia, and Brasil show that cooperation and public policies are efficient paths towards food sovereignty.

The BRICS countries are leaders in promoting food security and sovereignty, nutrition and sustainable global agriculture. Together, Brasil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates are responsible for 42% of global food production; own 33% of agricultural land; and hold 39% of the planet's water resources, according to data from the Brazilian Ministry of Agrarian Development and Family Farming (Ministério do Desenvolvimento Agrário e Agricultura Familiar/MDA).

“Through cooperation, BRICS is uniquely positioned to address the agricultural challenges of the 21st century — such as food and nutritional security, persistent food inflation, and finding innovative solutions to address these issues,” said Thiago Lima, coordinator of International Cooperation at Brasil's Ministry of Agrarian Development and Family Farming.

In 2023, around 733 million people were facing hunger, according to data from the United Nations Food and Agriculture Organization (FAO). The study assesses that food insecurity and malnutrition are worsening worldwide, due to persistent food price inflation that continues to erode people’s incomes and various sectors of the economy.

According to FAO Senior Policy Director Luiz Bedushchi, countries need to continue innovating to accelerate the pace of reducing hunger and poverty, and to achieve the goal of feeding everyone in a healthy way. “These innovations happen more quickly when ideas and experiences are shared,” as has been the case in the BRICS group, Bedushchi said.

Sharing Experiences

BRICS countries have a great deal of experience in developing effective policies and programmes to address agri-food challenges. Negotiations between member countries provide an opportunity to share successful experiences — such as India’s National Food Security Act (NFSA), Ethiopia’s National Wheat Harvest Programme, and Brasil’s National System for Food Security and Nutrition (Sistema Nacional de Segurança Alimentar e Nutricional/SISAN).

Following implementation of the NFSA, India has moved from a food deficit nation to self-sufficiency in food production over the past 30 years, according to the United Nations. “Building our food reserves, especially the strategic ones, was not an overnight journey; it was a long journey in which we became self-sufficient in our agricultural production. We then moved from a situation of food dependence to one of food sufficiency —and then advanced towards food security,” said Jail Patil, joint director of India’s Department of Food and Public Distribution.

Building adequate safety stocks of food grains ensures that Indian citizens do not experience food insecurity during national calamities such as the COVID-19 pandemic, climate disasters, and reduced agricultural production, Patil explained. “We have been able to build up some surplus stocks whenever we feel that there is an increase in the global food rate. This helps the population deal with food price inflation,” concludes the Indian director.

Achieving food sovereignty by modernizing agriculture and promoting food security is one of the priority goals of Ethiopia’s Ten-Year Development Plan (2021-2030). To increase the country’s wheat production and reduce dependence on imports, the Ethiopian government has launched the National Wheat Harvest Program, said Leulgesed Abebe, the country’s ambassador to Brasil. “We are using the irrigation system in the arid and semi-arid regions of Ethiopia, and this has enabled us to become Africa’s largest wheat exporter,” said the ambassador.

To the ambassador, BRICS is both a space where Ethiopia can contribute to discussions and an environment to learn from the best practices of member countries. “This is where I believe Brasil’s role comes in, since the country has done an excellent job in reducing food insecurity and poverty, and in modernizing its agricultural sector. What Brasil has achieved is a source of inspiration for other developing countries,” Abebe stressed. The ambassador added that the group’s negotiations allow for the expansion of agricultural programs, both bilaterally and within the BRICS group.

In line with Sustainable Development Goal 2 (Zero Hunger and Sustainable Agriculture), Brasil has resumed multiple policies for nutrition and combating hunger, such as SISAN, and has become one of the nations that has most reduced food insecurity between 2023 and 2024. An average of 60,000 people per day, enough to fill a football stadium, are now entitled to three meals a day. Furthermore, Bolsa Família, a social program that provides monthly financial assistance to families living in poverty and extreme poverty, protects more than 20 million Brazilian households every month.

Climate Change and Agriculture

“The climate crisis increasingly threatens food production capacity, leveraging food insecurity, especially among rural populations in the Global South and women around the world,” said Thiago Lima. In addition, due to climate change, food price inflation has made these inputs unaffordable for the poorest and negatively affected the living conditions of the middle class, Lima reiterated.

It is estimated that agricultural and livestock production has suffered losses of USD 3.8 trillion worldwide due to climate disasters in the last 30 years, according to data from report The Impact of Disasters on Agriculture and Food Security, also by FAO. This total is equivalent to an average loss of USD 123 billion per year, or 5% of the annual agricultural gross domestic product, the study concludes.

In light of the debate on food inflation, Brasil brought its experience to the BRICS group within the Network of Public Supply Systems in Latin America and the Caribbean. The initiative promotes the exchange of experiences in the development and implementation of public policies to strengthen resilient agriculture, which takes into account large-scale food production and respect for the environment.

Following the climate catastrophe that occurred in Rio Grande do Sul in June 2024, Brasil's National Supply Company (Companhia Nacional de Abastecimento/CONAB) presented to the member countries of the bloc the strategy it used to purchase and donate basic food baskets in that state. According to Marison Marinho, head of the international relations coordination office at CONAB, the emergency purchases of basic food baskets allowed food security to be promoted in the state during the climate emergency, he stated. “This network is a joint action of public supply systems to promote the eradication of hunger,” emphasized Marinho.

The basic food basket is a set of essential foods that make up a family's basic diet, generally calculated to meet the nutritional needs for one month. It was created as a reference to ensure a minimum of adequate food and is used in public policies, minimum wage calculations and social assistance programs. The Brazilian basic food basket varies according to the region, but is generally composed of the following: rice, beans, soybean oil, sugar, coffee, pasta, wheat or cassava flour, powdered milk, bread, beef, eggs, vegetables, and greens.

Brazil
Source: brics.br

Artificial Intelligence Governance in BRICS: Cooperation and Development for Social Inclusion
by Atahualpa Blanchet

Artificial Intelligence (AI) governance and initiatives to drive development and reduce inequalities through technological innovation are top priorities for Brasil's BRICS presidency in 2025.

According to estimates from the Stanford AI Index Report 2024, more than 77% of companies already use some form of AI, and its impact on daily life is expanding, with virtual assistants, algorithm-assisted medical diagnoses, and automation systems in agribusiness.

In the context of BRICS, which brings together over 40% of the world's population, technological cooperation can drive the development of innovative solutions to improve living conditions for the people. With strategic investments in research and digital infrastructure, member countries have the potential to democratize access to Artificial Intelligence and promote applications that reduce inequalities, from personalized education platforms to environmental monitoring systems.

As a starting point, the ongoing exchange of experiences in applying AI for economic development and social inclusion can offer concrete solutions to BRICS countries in a context shaped by technological, energy, and demographic transitions.

Artificial Intelligence and Health

In the healthcare sector, for example, AI has shown great potential to expand access to early diagnoses and personalized treatments. China has implemented the Healthy China 2030 program, which includes a digital platform (Tencent Miying) capable of analyzing medical exams and identifying disease patterns such as cancer and diabetic retinopathy.

In India, the Ayushman Bharat Digital Mission, launched in 2021, leverages IA in telemedicine and tools like Practo –a digital platform that connects patients with healthcare professionals in remote areas. In Russia, the Third Opinion system assists radiologists in detecting diseases, helping to reduce patient queues and optimize hospital management.

Education and the World of Work in the Digital Age

In education, the use of AI has raised ethical questions in teaching and research. Defining ethical principles, strengthening research networks, and investing in inclusive innovation are essential to ensuring that AI contributes to skill development in the digital age, especially in STEM disciplines (Science, Technology, Engineering, and Mathematics).

South Africa promotes initiatives such as FutureProofSA, which uses Artificial Intelligence to personalize learning programs by applying the concept of future adaptability. In India, the Diksha portal helps recommend educational content in multiple regional languages, tailored to students' realities and needs, with input from teachers.

Regarding public policies for workforce reskilling in the digital age, China has implemented the AI Vocational Training program to help young people enter the job market, while South Africa invests in the Digital Skills Development Program to foster training through human-algorithm interaction. Meanwhile, India’s Responsible AI for Youth program trains young people in the ethical and responsible use of Artificial Intelligence.

While AI creates new opportunities and fosters productive ecosystems, it also accelerates automation and digitalization, posing significant challenges for the workforce.

Work mediated by digital platforms, for example, has been expanding internationally, highlighting the need to strengthen mechanisms for social dialog and establish regulations to protect workers' rights. Notably, platform work and the platformization of labor relations are on the agenda for the next International Labour Organization (ILO) International Conference, set to take place in June 2025, requiring governments, workers, and employers to take a stance.

Food Security, Decarbonization, and Smart Cities

Food security is one of the most promising areas for Artificial Intelligence in BRICS countries. AI-driven systems can enhance productivity, reduce waste, and optimize food storage and distribution processes.

Russia, for example, has launched the Digital Agriculture program to automate agricultural production, ensuring traceability and quality control. In China, the Smart Agriculture Action Plan leverages Artificial Intelligence through the Pinduoduo platform to connect small farmers to the market and optimize the supply chain. Meanwhile, in India, Kisan e-Mitra, an AI-powered chatbot, provides farmers with weather forecasts and agricultural recommendations.

The environmental impact and energy consumption of operating data centers are topics that pose challenges for the development of data and connectivity infrastructure. At the same time, the application of Artificial Intelligence has the potential to support the decarbonization of energy and production systems in BRICS countries.

Brasil, for example, uses the Wind and Solar Energy Forecasting System to optimize clean energy generation. Another key tool is MapBiomas, which employs neural networks to monitor biomes and combat deforestation. China, meanwhile, has been pursuing decarbonization solutions through the Carbon Emission Trading Scheme, aimed at reducing carbon emissions in production processes and supply chains.

Artificial Intelligence has also been applied under the concept of smart cities. In Moscow, the AI Traffic Management system optimizes traffic flow through real-time algorithmic monitoring. In South Africa, the Integrated Resource Plan uses an algorithmic tool to integrate renewable energy into the power grid.

The Rio de Janeiro Operations Center, which will host the BRICS Summit in July 2025, is a leading example of data integration through sophisticated algorithms to generate city status alerts and mitigate accident and disaster risks.

BRICS and Artificial Intelligence Governance

By investing in connectivity, data infrastructure, and sharing successful experiences, BRICS countries can ensure that Artificial Intelligence serves as a tool to reduce inequalities and drive progress in strategic areas. The New Development Bank (NDB), in turn, plays a key role in financing projects that promote sustainable development and social inclusion through AI.

The creation of a BRICS observatory to monitor and share best practices in AI has been discussed as a way to strengthen collaboration among member countries. Additionally, the exchange of public policies and the use of open-source AI systems could foster joint initiatives involving multiple participants.

The application of Responsible AI principles —based on the precepts of human rights, data protection, and information integrity— is a cross-cutting theme in the technical meetings held within the BRICS framework. In this sense, UNESCO's Recommendation on Ethics in Artificial Intelligence remains a key reference instrument.

Likewise, it will be essential to consider the impact of Artificial Intelligence agents —more advanced systems characterized by a higher degree of autonomy and independence, as well as the ability to perform complex functions. Agentic AI has the potential to revolutionize sectors such as health, education, work, industry, trade, and agriculture while also posing challenges regarding its programming and ethical, responsible use.

Cooperation among BRICS countries offers significant opportunities to balance innovation and social justice, strengthening the digital sovereignty of Global South nations through an inclusive international governance framework for Artificial Intelligence.

Atahualpa Blanchet is researcher at the Institute of Advanced Studies at the University of São Paulo (Instituto de Estudos Avançados da Universidade de São Paulo /IEA-USP) and the Social Transformation and Society Research Group at the Pontifical Catholic University of São Paulo (PUC-SP).Opinion articles published in this space are the sole responsibility of their authors and do not reflect the official position of the Brazilian Presidency of BRICS or the Brazilian government. The views expressed are independent and are intended to promote a pluralistic debate on issues relevant to the agenda of the Global South.

Switzerland
Source: www.ilo.org

BRICS cooperation with the ILO has grown in recent years. They are committed to the spirit featuring mutual respect and understanding, equality, solidarity, openness, inclusiveness, and consensus. Since 2024, Egypt, Ethiopia, Iran, the United Arab Emirates, Saudi Arabia and Indonesia have joined the BRICS as members. Five additional countries will join as partners, bringing the total to 11. For the ILO, this represents an opportunity to expand multilateral work in all regions, as well as to strengthen relations with emerging partners. In 2025, Brazil assumed the presidency, with the main areas of Global South cooperation and BRICS partnerships for social, economic and environmental development.