Whatdoes BRICS Plus mean? The Expansion of the BRICSnation is referred to as BRICS Plus. It means the addition of the new countriesto BRICS. BRICS Plus is considered a necessary initiative to · ExpandBRICS· Includethe largest developed countries· Increase approachability to integrate the developingworld (Xuequan, 2017) BRICSduring inception was only BRIC. It included South Africa only in late 2010.Jacob Zuma, The President of South Africa had visited each of the BRIC nationto enter into the association. He had to wait for 4 months to enter BRIC. SouthAfrica entering BRIC was seen as a big surprise. Even Jim O Neil, the man whocoined the word BRIC said that it did not make sense to him.
People wereshocked to know how the “economic dwarf” could be part of BRIC when there werecountries like Mexico, South Korea and Turkey left high and dry. The GDP ofSouth Africa was just a sixteenth of China. The reason why South Africa was still selected as part of the BRICS nation isbecause South Africa represent the African Continent. South Africa also had themineral resources the emerging markets needed badly. China was the top tradingpartner of South Africa in 2009.
BRICSis now no longer seen as an association of the countries with similar economicpower but as a political club representing the developing nation. (Hervieu, 2011) BRICShowever has not achieved much considerably. It does not have much similarityand is a very narrow group. Adding in Africa as well BRICS has a geopoliticaland geo-strategic advantages. China is taking up leadership and trying to makeBRICS into a more intimidating group. China’s Role in BRICS Plus In2017, the 9th BRICS Summit hosted by China, The Chinese President XiJinping said in his opening statements that “We should promote the BRICS Pluscooperation approach and build an open and diversified network of developmentpartnerships to get more emerging market and developing countries involved inour concerted endeavours for cooperation and mutual benefits.” Nowthat the global economic dynamics have changed with countries for looking fornew options for trade as America is being rhetoric BRICS Plus could be a way tosupport open trade and markets.
BRICS Plus could also form more economiccooperation among developing countries. China had invited 4 countries as guests – Egypt, Kenya, Tajikistan, Mexico andThailand for the 2017 BRICS summit. China claimed that this was not an attemptto expand the group. TheChinese foreign minister Wang Yi said, “We need to have some furtherexplanation about the BRICS Plus to help people better understand the rationaleof this idea.” There is normal practice of inviting other countries asguests, Wang claimed. In the previous summit, India had invited BIMSTECleaders. The others have also invitedtheir neighbouring countries.
Chinaclaims that they were also just inviting other countries for the same. The onlydifference being they invite countries outside their neighbourhood. This doesnot mean that they will be part of the BRICS summits in the future years. Thename given to the practice of inviting non-BRICS countries is known as BRICSPlus and these countries will be decided by the host countries, China Claims.
Theidea of BRICS Plus was first presented in early 2017 when Wang announced that”Beijing would explore modalities for BRICS-plus, to hold outreach dialogueswith other major developing countries”. Wanghas been working on expanding the BRICS and is trying to maintain a goodrelationship with these countries. According to Yaroslav Lissovolik, the ChiefEconomist of the Eurasian Development Bank, the idea of expansion would work asnew model for the developing the global economy.
The major drawbacks of otherBlocs were that they were formed mainly thorough regionalism. BRICS overcomesthis because position of the country was not important as far as the bases ofthe developing countries. (Ashraf, 2017) (First Post, 2017) China forced to Abort permanent BRICS Plus Plan China’splan of BRICS Plus had a lot of resistance from other BRICS Nations includingIndia. They felt that the addition of new member would make them deviate fromtheir original goal.
China has now apparently backed off from this plan to makeBRICS Plus a permanent feature. China was preparing for months to show itsglobal power with the help of BRICS Summit. However, this plan did not succeed well enough and Wang Yi stated, “We need tohave some further explanation about the BRICS Plus to help people betterunderstand the rationale of this idea.
” Why China was forced to abort BRICS Plus plan? Eventhough China tried hard to make BRICS Plus a reality, there was lots ofresistance from other BRICS members. They felt that their power in the BRICSwould be compromised if BRICS Plus became a reality. The Social, Economic andDiplomatic priorities of the BRICS country were different from one another. Oneof the crack between India and China were witnessed in Doklam Standoff.
These cracks are making economists lose faith in BRICS. BRICS will have to go along way for them to be a challenger to the more developed nations. Now Chinaitself have to gain confidence from its fellow members that it has lost due theunpredictable leadership ad ambitions of China. (Financial Express, 2017) Whatis N11? Which are the countries in it? N11 also known as the next 11 is the potential emerging countries thatcould join BRICS.
The term was coined byGoldman Sachs and economist Jim O Neil in a research paper in late 2005. Thesecountries together are seen as a threat to the G7 nations even though thesecountries in the present scenario are considerably smaller than both the G7 andeven the BRIC members. The countries noted by Goldman Sachs for G7 are Mexico, Bangladesh,Indonesia, Egypt, South Korea, Pakistan, Turkey, Nigeria, Philippines, Vietnam,Iran.
Out of these countries the most GDP come from Mexico, Turkey, Indonesiaand South Korea. These countries have successfully shown noteworthy growth overthe past years. (Kuepper, 2016) Featuresof these countries · Population: Indonesia has the highestpopulation with 228.9 million people and South Korea has the lowest with 47.6million. Large and growing population is one of the similarities of all thesecountries. The highest population growth in the group was of Pakistan at 110.8%and the lowest was South Korea at 28.
4% over the period of 1980 to 2008. · Private final consumption expenditure: Mexico tops the list in thegroup with a spending of US$567 Billion and Vietnam was the lowest with US$36.8Billion. (Next-11 Emerging Markets, n.d.) (goldmansachs, 2007)