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- BRICS plans to create a G20-like structure to strengthen cooperation and focus on alliance-specific issues.
- The bloc aims to expand its influence by hosting high-level meetings.
The BRICS alliance is growing, with officials suggesting that the organization may mimic the G20 format. Brazilian Foreign Minister Mauro Vieira stated that the bloc is headed towards such an organization as it increases its international standing. Vieira highlighted that Brazil plans to hold some major events during its BRICS high-level meeting effective 1 January.
According to an interview with Estado de Minas, Vieira said that Brazil will preside over important ministerial and state-level meetings. The country’s leadership intends to enhance cooperation within the bloc and foster inter-organ collaborations among the members. The recent BRICS summit added 13 new partner countries, which illustrates the increasing interest of countries in search of an alternative to the Western world trade and currencies model.
Potential for a BRICS Version of the G20
The G20, founded in 1999, deals with global economic and financial issues, involving 19 countries, as well as the EU and the AU. Although all of the BRICS nations are members of the G20, the bloc is considering the formation of another group of its own to work towards BRICS’ priorities.
This proposed format could potentially exclude the Western countries thus, BRICS can focus on matters such as local currency trading and other measures that are consistent with the formation’s objectives. For instance, Russia has turned to its BRICS partners and the Global South for support as it faces sanctions over its invasion of Ukraine. De-dollarization remains one of the main priorities for Moscow and its allies.
According to the experts, if BRICS countries combine with their current and potential members, it could create a 20-nation coalition similar to the G20. However, the name and structure of this initiative are still being debated. This has seen the bloc grow very fast and has raised questions about how powerful it is in global geopolitics.
Addressing Misconceptions About De-Dollarization
Contrary to reports that an official BRICS currency is planning to create an official currency, members of the organization stated that discussions are about carrying out trade in the national currencies of the countries involved. Russian Deputy Foreign Minister Sergey Ryabkov emphasized that BRICS countries do not want to destabilize the dollar. Instead, the group hopes to counter Washington’s misguided policies.
India’s External Affairs Minister, S. Jaishankar, also countered the claims of reducing the dollar’s Dominance. He stressed the need to continue robust trade ties with the United States as the two countries’ biggest trading partners. Similarly, South Africa stated that any information on the emergence of the BRICS currency is misleading concerning the bloc’s objectives.
The bloc’s statements come amid an ultimatum made by the former US President Donald Trump who threatened to punish anyone who tries to overthrow the dollar. He said that he would impose high tariffs and trade barriers on the BRICS countries if they went ahead with such measures. Trump stated,
“They can go find another ‘su***r!’ There is no chance that the BRICS will replace the US dollar in international trade, and any country that tries should wave goodbye to America.”
