Highlights from the Kazan Declaration
The Kazan Declaration underscores BRICS’ commitment to fostering peace, ensuring fair global governance, and promoting sustainable development. The declaration also reflects the bloc’s unified stance on critical international issues, proposing solutions that emphasize diplomacy and cooperation over conflict.
Key Points from the Kazan Declaration:
1. On Ukraine:
- The BRICS nations urged adherence to the Purposes and Principles of the UN Charter and acknowledged mediation efforts for a peaceful resolution through dialogue. This reflects BRICS’ stance on upholding international norms and encourages diplomacy to resolve ongoing conflicts.
2. On the Middle East:
- The declaration expressed deep concern over the humanitarian crisis in the Occupied Palestinian Territories, especially in Gaza and the West Bank, and condemned the impact of the Israeli military offensive on civilians. Additionally, BRICS called for an immediate cessation of hostilities in Southern Lebanon, condemning the loss of civilian lives and infrastructure damage from attacks in residential areas.
3. On Western Sanctions:
- BRICS raised concerns about the adverse effects of unilateral sanctions on the world economy and sustainable development goals. The bloc urged an end to these coercive measures, underlining their disruptive impact on international trade and economic stability.
4. Reform of the International Financial System:
- Recognizing global financial challenges, BRICS called for reforms in the international financial architecture to enhance inclusivity and equity. This would ensure a fairer global economic governance structure that meets the needs of developing countries.
5. BRICS Grain Exchange:
- BRICS welcomed Russia’s proposal to establish a BRICS Grain Exchange, a trading platform for agricultural commodities that could later expand to other sectors. This initiative aims to support food security and reduce trade dependencies.
6. Cross-Border Payment Systems and Currency Use:
- The summit welcomed BRICS’ cross-border payment system for faster, low-cost, and efficient transactions, encouraging the use of local currencies in intra-BRICS transactions to minimize trade barriers and foster economic independence.
7. BRICS Clear Depositary and Reinsurance Initiatives:
- BRICS agreed to explore the feasibility of establishing BRICS Clear, an independent cross-border settlement and depositary infrastructure, to complement the current financial system. A BRICS (Re)Insurance Company is also under consideration to bolster financial resilience.
8. On Financial Innovation:
- The Interbank Cooperation Mechanism (ICM) will focus on advancing innovative financial practices, particularly local currency financing. This is seen as a step toward greater financial independence and innovation within the BRICS bloc.
9. On the International Monetary Fund (IMF):
- BRICS reaffirmed support for a strong and effective IMF as the backbone of a Global Financial Safety Net, advocating for quota-based, adequately resourced mechanisms.
10. On the G20:
- The declaration highlighted BRICS’ commitment to the G20, encouraging consensus-driven, results-oriented approaches.
11. On Pandemic Preparedness:
- The summit endorsed BRICS’ Integrated Early Warning System for disease prevention and the BRICS R&D Vaccine Center, which will advance research in vaccine development to prepare for future health crises.
12. On Big Cats Conservation:
- Acknowledging the high vulnerability of big cats, the summit commended India’s proposal to establish an International Big Cats Alliance, encouraging BRICS countries to collaborate in the conservation of endangered species.
What is BRICS?
BRICS is an alliance of five leading emerging economies: Brazil, Russia, India, China, and South Africa. Originating in 2001 as “BRIC” and coined by British economist Jim O’Neill, the bloc has grown to symbolize a counterbalance to Western economic dominance. South Africa joined in 2010, making it BRICS, and the alliance has since held annual summits, beginning in 2009. The recent expansion of BRICS now includes Ethiopia, Egypt, Iran, Saudi Arabia, and the UAE, amplifying the bloc’s influence.
BRICS nations collectively represent around 41% of the global population, 24% of global GDP, and 16% of global trade. The expanded bloc solidifies BRICS’ global reach, further diversifying economic partnerships and political influence.
Significance of BRICS for India
For India, BRICS serves as a crucial platform for fostering collaboration among developing countries and amplifying their voices on the global stage. The alliance aligns with India’s foreign policy goals in several ways:
1. Strengthening South-South Cooperation:
- As a founding member, India views BRICS as an opportunity to promote South-South cooperation, working with developing nations to ensure more balanced global governance. This alliance provides a platform for emerging economies to voice concerns and priorities on international forums such as the UN and World Bank.
2. Balancing Global Power:
- BRICS offers a counterweight to Western-dominated alliances like the G7. By engaging in BRICS, India diversifies its foreign relations and reduces reliance on Western powers, supporting a more multipolar world order.
3. Trade Diversification and Economic Cooperation:
- BRICS facilitates trade, investment, and economic cooperation among its members. India benefits from this cooperation by accessing new markets, reducing dependency on Western economies, and strengthening its economic ties within the bloc.
4. Access to Infrastructure Funding through the New Development Bank (NDB):
- The NDB, established by BRICS, provides funding for infrastructure and sustainable development projects. This aligns with India’s development objectives, helping to bridge the infrastructure gap and boost long-term growth.
Challenges Facing BRICS and India’s Role
Despite its potential, BRICS faces certain challenges that India must navigate carefully:
1. Varying Agendas and Priorities:
- India’s concerns, such as terrorism and border security, may differ from other BRICS members, particularly China and Russia, which often prioritize their regional and geopolitical interests.
2. Geopolitical Rivalry with China:
- China’s influence within BRICS has grown, especially with the inclusion of countries like Iran and Saudi Arabia that maintain close ties with Beijing. This development raises concerns over BRICS tilting towards a pro-China stance, which could impact India’s strategic interests.
3. Complex Middle Eastern Dynamics:
- The inclusion of Iran, Saudi Arabia, and the UAE introduces new complexities to India’s relationships within the Middle East. Balancing alliances and addressing regional issues within BRICS will require careful diplomacy.
4. Intra-BRICS Trade Barriers:
- While BRICS aims to promote intra-bloc trade, tariffs, regulatory differences, and currency issues persist, limiting India’s ability to fully leverage trade opportunities within the group.
Way Forward for India
India’s active participation in BRICS remains essential for advancing its national interests and shaping global governance in a rapidly evolving geopolitical landscape. As a founding member, India has consistently championed collaboration and played a critical role in ensuring BRICS’ focus on supporting emerging economies.
BRICS presents India with unique opportunities to diversify trade networks, attract foreign investments, and engage in joint infrastructure initiatives. By strategically leveraging the resources of the NDB, India can finance critical infrastructure and sustainable development projects that align with its long-term growth objectives.
Conclusion
The Kazan Declaration underscores BRICS’ ambition to reshape the global order, promoting a more balanced, multilateral world. For India, BRICS remains a powerful platform for asserting its voice, supporting development goals, and strengthening alliances within the Global South. Despite challenges, BRICS’ expansion and initiatives underscore the bloc’s potential in fostering a multipolar, inclusive world, creating space for emerging economies to influence the global agenda.