BRICS: Too early to read the last rites?

Too early to read the last ritesThe BRICS grouping is falling apart, according to a recent article in the Financial Times that claimed commodity giants Russia and Brazil are being outperformed by other emerging economies that are attracting better investment. Does BRICS have a future or will the changing economic climate see it sidelined by new groupings such as the so-called TICKs?

Russia was conspicuously absent on the name list of the Trans Pacific Partnership trade alliance, with the deal signed – though not yet ratified – by 12 nations in Auckland (New Zealand) on Feb. 4. Moreover, less than a week earlier the Financial Times sounded the death knell for the BRICS,predicting that the grouping will soon be replaced by a new union nicknamed TICKs, made of Taiwan, India, China and Korea (South).

Does this amount to a significant change in the evolving economic pecking order? Will it eventually, if the newspaper’s “Cassandra” Steve Johnson has a point, leave Russia on the margins of global investment flows and the highway of hi-tech growth?

First of all, under the pressure of U.S. sanctions, Russia actually had no chance of being included in the new trade bloc, comprised of the U.S., Japan, Malaysia, Vietnam, Singapore, Brunei, Australia, New Zealand, Canada, Mexico, Chile and Peru. While in total, the 12 countries account for some 40 percent of the world's economy, there are several regional “locomotives” of growth that are not included in the grouping, e.g. China, South Korea, and Indonesia.

Available: http://rbth.com/international/troika/2016/02/11/brics-too-early-to-read-the-rites_566897 

About The Project

South Africa's conduct of international relations, especially its role in international organisations like the UN Security Council, its choice of strategic partnerships, its leadership role in Africa, its public engagement and foreign policy decision making, has been intensely debated in the recent past. The FPA programme aims to provide a nuanced analysis and facilitate a structured discussion of South Africa's foreign policy in a changing world environment for purposes of informing its future direction.

Aims and Objectives of The Project

The purpose of this focus area is to unpack the extent to which the policy in its making, its nature and its application constitutes a principled and pragmatic response to a complex international environment. In doing so, we hope to be guided by an objective to promote a foreign policy that positions SA as a responsible global citizen committed to building bridges between various power blocs for the benefit of Africa and South Africans.

Twitter
 
Contact details
Address:   3rd Floor Robert Sobukwe Building
263 Nana Sita Street
Pretoria
South Africa

PO Box 14349
The Tramshed
0126
    E-mail:    info@igd.org.zaThis e-mail address is being protected from spambots. You need JavaScript enabled to view it This e-mail address is being protected from spambots. You need JavaScript enabled to view it.
      Telephone:   +2712 337 6082
      Fax:   +2786 212 9442
 
Follow us on Facebook Follow us on Twitter Follow us on Linkedin Follow our RSS feeds