The recent BRICS Summit in Kazan, Russia, marked a pivotal change for the coalition, which has expanded to include Egypt, the UAE, Iran, Argentina, Ethiopia, and Saudi Arabia. This move signals a renewed push for a multipolar world order that balances power between the West and emerging economies. Leaders at the summit emphasised that the expanded BRICS group has the potential to act as a counterbalance to Western-led institutions, setting the stage for more inclusive global governance.
JUST IN: Leaders from 36 countries pose together for a picture during BRICS summit:
🇮🇳 India 🇨🇳 China 🇷🇺 Russia 🇧🇷 Brazil 🇪🇬 Egypt 🇪🇹 Ethiopia 🇮🇷 Iran 🇸🇦 Saudi Arabia 🇿🇦 South Africa 🇦🇪 UAE 🇦🇲 Armenia 🇦🇿 Azerbaijan 🇧🇭 Bahrain 🇧🇩 Bangladesh 🇧🇾 Belarus 🇧🇴 Bolivia 🇨🇬 Congo 🇨🇺… pic.twitter.com/na2IdwMgo1
Reflecting on the summit’s significance, Russian PresidentVladimir Putin called the membership expansion “a milestone,” positioning BRICS to influence global policies more directly. The new additions to the bloc reflect a unified interest in fostering stronger alliances across the Global South, bringing together emerging economies seeking more autonomy in economic and political matters.
De-Dollarisation Strategy Takes Shape, with Local Currencies in Focus
A key outcome from the summit was BRICS’ concrete steps towards “de-dollarisation”—a strategy designed to reduce reliance on the US dollar in global trade. Since the summit, BRICS members have signalled plans to accelerate the use of local currencies, especially in trade between member countries. Although the introduction of a unified BRICS currency remains a distant possibility, the coalition is actively prioritising payment systems that allow smoother transactions in local currencies.
JUST IN: 🇷🇺 Russian President Putin says it's a "great mistake" to use the US dollar as a weapon. pic.twitter.com/4J3KU1Z6U7
This shift is a direct response to concerns about Western sanctions, particularly those imposed on Russia following the Ukraine crisis. By decreasing dependency on the dollar, BRICS countries aim to limit the impact of external economic pressures. “This isn’t about removing one currency to replace it with another,” noted a BRICS economic analyst, “but about ensuring economic independence for member countries.”
Pushing for a Reformed Global Governance Model
Calls for global governance reform were a defining theme of this year’s summit, with leaders urging for changes to international institutions such as the IMF and World Bank. In the days following the summit, discussions have highlighted how existing governance structures, established in the post-World War II era, have often neglected the needs of the Global South. UN Secretary-GeneralAntónio Guterres, who addressed the summit, underscored the necessity of making these institutions more inclusive.
Since its establishment in 2015, the New Development Bank (NDB) has committed itself to supporting infrastructure and sustainable development projects in BRICS nations as well as other emerging economies and developing nations. According to its official website, NDB has… pic.twitter.com/u9rHptdMNT
Leaders from the BRICS coalition echoed Guterres’ message, advocating for a more equitable distribution of power within international institutions to ensure that emerging economies play a more central role. The New Development Bank (NDB), BRICS’ financial institution, is already stepping up its efforts to drive infrastructure development across member and allied nations, aiming to close developmental gaps that have left some regions economically marginalised. “This summit reaffirms our commitment to development in emerging economies, led by those who best understand local needs,” said South AfricanPresidentCyril Ramaphosa.
A Stronger Energy Position: New Members Bring Strategic Resources
With Saudi Arabia, Iran, and the UAE now part of BRICS, the bloc has significantly expanded its access to energy resources, positioning it as a key player in the global oil market. The addition of these major oil-producing countries provides BRICS with a stronger negotiating position in energy markets, challenging traditional suppliers.
BRICS and Global South: building a better world together
This development creates new opportunities for intra-BRICS energy cooperation and could potentially reshape energy alliances. The African Continental Free Trade Area (AfCFTA), championed by South Africa’s Ramaphosa at the summit, also stands to benefit, as BRICS projects and trade initiatives could further strengthen Africa’s economic infrastructure and energy sector.
Conclusion: BRICS Emerges Stronger But Faces Unique Challenges
Days after the Kazan Summit, the impact of BRICS’ latest decisions is becoming clearer. The bloc’s expanded membership and its strengthened stance on de-dollarisation mark a significant shift towards a more balanced global economy. As BRICS positions itself as a viable alternative to Western-led governance structures, it underscores a broader movement towards a multipolar world order. However, balancing diverse economic and political interests within BRICS remains complex, especially as the group works to build cohesion among members with varying priorities and systems. This year’s summit may well be remembered as a turning point in BRICS’ evolution from an economic alliance into a powerful global force.
