What are the key issues of the BRICS Summit to be held in New Delhi in September? | Explained

The evolution of BRICS from a grouping of four emerging economies in 2006 (Brazil, Russia, India, China) to an 11-member bloc represents a significant shift in the global order. This expansion is often viewed as an attempt to counterbalance Western-dominated institutions and create a more multipolar world. India, as a founding member and current Chair, plays a crucial role in mediating the diverse interests of this newly heterogeneous group. The inclusion of major energy producers (Saudi Arabia, UAE, Iran) alongside large consumers (China, India) creates new dynamics for economic cooperation but also introduces complex geopolitical entanglements, particularly concerning Iran's relations with the West. The challenge for India is to ensure BRICS remains an effective platform for the Global South rather than devolving into an anti-Western forum.

The geopolitical context surrounding this summit is fraught. India must carefully balance its leadership role in BRICS (which includes Russia, currently facing Western sanctions, and China, with whom India has ongoing border tensions) against its strategic partnerships with the West, particularly through groupings like the Quad (Quadrilateral Security Dialogue) and its recent presidency of the G20. Initiatives often discussed within BRICS, such as moving away from the US dollar (de-dollarization) for intra-bloc trade and exploring alternative payment systems, are viewed with concern by the United States. Furthermore, managing internal friction within the expanded BRICS, such as historical tensions between Iran and Saudi Arabia or differing views on the conflicts in Ukraine and the Middle East, will require adroit diplomacy from New Delhi.

Economically, the expanded BRICS represents a significant portion of global GDP and population, making it a formidable economic bloc. India's priorities for the summit focus on tangible cooperation: strengthening supply chains to reduce vulnerability to external shocks, diversifying markets, and building climate-resilient infrastructure. The summit's theme—emphasizing resilience, innovation, and sustainability—reflects a desire to move beyond political rhetoric to practical economic integration. For India, fostering agricultural and health partnerships within the bloc offers avenues for South-South cooperation. However, achieving deep economic integration is hindered by the vast disparities in economic structures, trade imbalances (particularly skewed towards China), and differing foreign policy orientations among member states. The potential adoption of national currencies for trade could mitigate currency risks but faces practical hurdles regarding convertibility and stability.