In News:

The 17th BRICS Summit was held in Rio de Janeiro, Brazil under the theme:
“Strengthening Global South Cooperation for a More Inclusive and Sustainable Governance.”

The summit concluded with the adoption of the Rio de Janeiro Declaration, marking a strategic shift towards BRICS expansion, inclusive multilateralism, and South-South cooperation.

What is BRICS?

• BRICS is an intergovernmental platform of emerging economies originally comprising Brazil, Russia, India, China, and South Africa.
• The term BRIC was coined by economist Jim O’Neill in 2001.
• The grouping evolved from informal dialogue (1st Summit in 2009, Yekaterinburg) to a structured cooperation framework.
• In 2024–25, BRICS underwent expansion and is now referred to as BRICS+.

Key Highlights of the 17th BRICS Summit 2025

1. Expansion of Membership

• Indonesia formally joined BRICS in 2025, becoming its first Southeast Asian member.
• Eleven new BRICS+ partner countries were welcomed: Belarus, Bolivia, Kazakhstan, Cuba, Nigeria, Malaysia, Thailand, Vietnam, Uganda, Uzbekistan.
• The expansion aims to reshape global power dynamics, promote multipolarity, and deepen Asia-Africa-Latin America cooperation.

2. Rio de Janeiro Declaration: Major Themes

A. Global Governance Reform

• Strong call for reforming UNSC, IMF, WTO to reflect contemporary geopolitical and economic realities.
• Supported the UN Summit of the Future's “Pact for the Future”, including the Global Digital Compact and Declaration on Future Generations.
• Emphasized greater participation of the Global South in international decision-making.

B. Peace and Security

• Condemned terrorism in all forms; specifically denounced the Pahalgam attack in India.
• Called for zero tolerance for terrorism and decisive global action against sponsors of terror.
• Opposed securitizing climate change; advocated development-centric responses to global challenges.

C. Technology and Responsible AI

• Released a Statement on Global AI Governance promoting a balance between innovation and regulation.
• Proposed the creation of a BRICS Science & Research Repository to facilitate open access for Global South researchers.

D. Climate Action

• Reaffirmed commitment to the Paris Agreement and UNFCCC principles, especially Common But Differentiated Responsibilities (CBDR).
• Supported Brazil’s hosting of COP-30 (Belem) and endorsed India’s bid for COP-33 in 2028.
• Launched the BRICS Leaders’ Framework on Climate Finance to enhance climate adaptation and finance equity.

E. Economic and Financial Cooperation

• Reviewed the BRICS Economic Partnership Strategy 2025; agreed to frame the 2030 Strategy, focusing on:
  • Digital economy
  • Trade and investment
  • Financial integration
  • Sustainable development
• Emphasized inclusive, rules-based multilateral trade systems.
• Launched BRICS Multilateral Guarantee Mechanism (BMG) under New Development Bank (NDB) to catalyze infrastructure and climate finance.

F. Social and Cultural Priorities

• Focus on inclusive development through:
  • Empowerment of youth and women
  • Support for persons with disabilities
  • Urbanization and migration management
• Recognized demographic transitions as opportunities for sustainable growth.

India at BRICS 2025

India played a pivotal role in shaping key summit outcomes and announced its BRICS Chairship for 2026, themed around: Building, Resilience, Innovation, Cooperation, and Sustainability.

India’s Key Interventions:

• Global Financial Reform: Advocated for de-dollarization and diversification of global trade currencies.
• Digital Governance: Pushed for interoperable, inclusive digital public infrastructure.
• Institutional Reform: Reiterated the urgent need to restructure global governance institutions.
• Climate Finance: Urged equitable climate financing mechanisms for developing nations.

On BRICS Currency:

• India rejected the idea of a common BRICS currency, but supported local currency trade under a National Currency Settlement Framework.
• Refused to settle Russian oil trade in Chinese Yuan, indicating resistance to Chinese monetary dominance within BRICS.

Geopolitical Implications and U.S. Response

• With BRICS now representing 45% of the global population and 35% of world GDP, the bloc's rise has triggered concern in Western circles.
• The U.S., under former President Donald Trump, warned of:
  • 10% tariff on countries aligning with BRICS’ "anti-American" stances.
  • 100% tariff if BRICS pursues de-dollarization, viewing it as a direct challenge to U.S. economic interests.