Faith Nyasuguta
As the date for the upcoming BRICS summit in October 2024 approaches, there is a notable surge in interest from developing countries eager to join the alliance.
Representing diverse regions, including Asia, the global south, Africa, and even Europe, these nations are exploring the possibility of securing a spot within BRICS, signaling a paradigm shift in global economic dynamics.
The 16th summit, scheduled to take place in the Kazan region of Russia, is expected to witness a considerable influx of applications from countries aspiring to become part of BRICS in 2024.
India’s Foreign Affairs Minister, S Jaishankar, recently confirmed this trend, emphasizing that more than two dozen countries have expressed a keen interest in joining BRICS.
This development reflects a growing trust in the alliance and a deliberate effort by developing countries to distance themselves from the burdensome spiral of the US dollar’s debt, which currently stands at a staggering $34 trillion.
The motivation behind this strategic move is a concerted effort by developing nations to mitigate risks associated with holding significant reserves in US dollars.
These countries are increasingly prioritizing their local currencies in trade, a move designed to enhance economic resilience and reduce vulnerability to external economic pressures.
Jaishankar, in a recent press conference, highlighted that the interest from 30 countries speaks volumes about the perceived value and relevance of the BRICS alliance.
The induction of Saudi Arabia into BRICS earlier this year has acted as a catalyst, prompting developing countries to seriously consider aligning themselves with the alliance.
The mounting debt denominated in US dollars, coupled with sanctions imposed by the White House on emerging economies, has led these nations to explore alternative economic alliances.
Joining BRICS, with its emphasis on fostering cooperation among emerging economies, seems an attractive prospect for countries seeking to diversify their economic partnerships.
The global economic landscape is undergoing a profound transformation, with BRICS at the forefront of challenging the dominance of the US dollar.
The alliance aims to replace the existing world order with a new, multipolar structure that prioritizes the use of local currencies over the US dollar. This shift marks a departure from the traditional financial order, which has long been controlled by Western powers.
As the interest in BRICS continues to grow, developing countries are positioning themselves strategically to navigate the changing financial dynamics of the next decade. BRICS is emerging as a key player in initiating a global shift, spotlighting local currencies and challenging the traditional supremacy of the US dollar.
The next decade holds the promise of significant changes in the global financial order, with developing countries actively prioritizing their local currencies, potentially reshaping the dynamics of the world economy.
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