BRICS Shaping the Future of the Global Economy

The Roscongress Foundation has prepared an information and analytical review titled ‘BRICS Expansion: The New Partnership Format Is Changing the Rules of the Global Game’.

On the heels of BRICS expansion in 2024, interest in joining the group has increased significantly, and many countries are showing a desire to cooperate with the organization. The Kazan Declaration adopted at the Summit BRICS on 22–24 October notes that the member countries support the document ‘Modalities of the BRICS Partner Country Category’. This document indicates there is a formalized mechanism for expanding the organization. Partner status will enable countries to interact with BRICS on favourable terms without participating in the full scope of the organization’s structural responsibilities.

The accession of new states increases demands on the organization, as issues concerning the establishment of the BRICS charter, procedures, and permanent bodies are becoming more pressing.

One of the main goals of economic convergence is to develop trade relations without excessive barriers and prohibitive tariffs. This would increase BRICS’ share of global trade to 25% by 2030. BRICS is becoming a stable trading partner by developing internal supply chains and reducing dependence on unstable international markets.

BRICS expansion offers opportunities for the creation of new interstate global institutions: an analogue of the WTO and OPEC on the markets of various resources, and a common market for carbon units.

Specifically, BRICS countries will create unified mechanisms for cross-border settlements, foreign exchange currency infrastructure, and a new settlement system that works in parallel with the existing one based on digital financial assets and national currencies. This will ensure an increase in mutual trade by 5–7% annually. BRICS nations will consolidate their efforts in such areas as information security, financial sector security, and a common payment system.

BRICS expansion will strengthen the positions of the countries of the Global South on world commodity markets, which alters the structure of energy and mineral resource management. Today, BRICS countries represent a pool of states that are among the largest producers and consumers of oil, gas, and industrial metals. Coordinating their actions will ensure price stability, as well as the volume and reliability of supplies to external markets that the world economy needs.

The Roscongress Foundation analysts noted that BRICS has a lot of work to do to unify statistical approaches and methodologies. This will help harmonize disparate data, including GDP indicators, natural resource reserves, trade volumes, and economic forecasts. In addition, the creation of its own rating agencies and the strengthening of development institutions, such as the New Development Bank, will enable BRICS to finance projects without the involvement of Western institutions.

The environmental agenda will focus on creating a common market for carbon units. Given the significant economic and demographic weight of BRICS countries, the organization will become a key player in addressing environmental issues, including climate change, biodiversity conservation, and the sustainable use of natural resources.

The full text of the analytical review is available on the Roscongress Foundation website and the Roscongress Foundation Dzen channel.