Diplomacy and International Negotiation

SIAM UNIVERSITY
MASTER OF ARTS IN PEACE STUDIES AND DIPLOMACY
GUIDED BY PROFESSOR DR. SURAPHOL

HARSH VIVEK RAJ

UG – Indian Institute of Engineering Science and

Technology,Shibpur, Howrah, West Bengal.

Currently – Siam University

Bangkok, Thailand

Department - MASTER OF ARTS IN PEACE STUDIES AND

DIPLOMACY.
 INTRODUCTION

History -Origin, 1st summit & entry of South

Africa
BRICS Principles
 2001 Building Better Global Economic BRIC by Jim O'Neill
chairman of Goldman Sachs in context of foreign investment
strategies for list of emerging economies Brazil, Russia, India
and China and are Current or emerging superpowers,
biggest and fastest-growing emerging markets. By 24th
December 2010 it becomes BRICS as South Africa joined

September 2006 1st meeting was held at New York margins

of the General Debate of the UN Assembly, beginning a series
of high-level meetings by foreign ministers of initial 4 BRIC
states. Thus led to 1st formal summit at Yekaterinburg
(Russia)hosted by Dmitry Medvedev on 16 June 2009 but this
time with their respective leaders focusing on improving the
global economic situation, reforming financial institutions
and four countries could better co-operate in the future for
global affairs and outcome of meet was need for a new
global reserve currency
Member States. Commitment to international law and recognition of
the leading role of the United Nations (UN) in development and
security; Account for national interests, priorities, and growth and
development strategies of the BRICS members; Openness, sharing of
information and consensus in decision-making; Commitment to the
rules and principles of the multilateral trading system as embodied in
the Marrakesh Agreement Establishing the WTO recognition of the
multipolar nature of the international economic and financial system;
Commitment to supporting sustainable development, strong, balanced
and inclusive growth
Dreaming with BRICS: The Path to 2050 - China and India,
respectively, will become the dominant global suppliers of
manufactured goods and services, while Brazil and Russia will become
similarly dominant as suppliers of raw materials . "From 2007 to 2020,
India's GDP per capita in US$ terms will quadruple", and that the Indian
economy will surpass the United States (in US$) by 2043. But actually
“2007 it was US$1028 while in 2021 US$2,227 which is not quadruple
(*4) but just (*2) by simple mathematics.
 Emerging Market EM Equity in Two Decades: A Changing
Landscape
China for the first time surpassed in 2013 world trade and become as
world's largest trading country

Financial Diversification and Architecture - India and China

constitute both large-scale production platforms and reservoirs of new
consumers, whereas Russia is viewed essentially as an exporter of oil
and commodities
New Development Bank (NDB)
Contingent Reserve Arrangement (CRA)
emerge as a viable BRICS alternative to
the IMF in the long term, its analytical
capacity related to macroeconomic
research
 Aim to support public or private projects through loans, guarantees,
equity participation and other financial instruments
First green financial bond (positive environmental and climate benefit
by ICMA) International capital market association. Rated AA+ credit by
S&P Global and Fitch
Corporate governance, Capital & Objective
Board of Governors; > Board of Directors; > President and Vice-
Presidents
socially, environmentally and economically sustainable
agility, innovation and continuous transformation
 ECONOMY
In GDP China's GDP is more than double that of the other four BRICS
combined: almost $18 trillion compared with Brazil ($1.6 trillion), Russia
($1.8 trillion), India ($3.2 trillion) and South Africa ($400 billion)
estimated total of US$26.6 trillion which is 26.2% (gross world product -
combined gross national product of all the countries in the world), GDP
(PPP- Purchasing power parity countries wise prices of specific goods,
purchasing power, living standards) of around US$51.99 trillion which
is 32.1%, combined foreign reserves of US$4.58 trillion by 2022.
 OUTCOMES OF LAST 5 YEARS OF BRICS AND BENEFITS
BRICS Interbank Cooperation Mechanism - BRICS Interbank
Cooperation Mechanism was founded in 2010; significant agreements
—the Master Agreement on Extending Credit Facility in Local
Currency and the BRICS Multilateral Letter of Credit
Confirmation Facility

Liquidity and Local Currency Instruments - BRICS Bond Fund

& BRICS Payment System
Customs - principles—information exchange, mutual recognition of
supervision and mutual assistance in
law enforcement

Trade, Intellectual Property Rights, Standards and Regulations -

Cooperation on intellectual property rights (IPR) one of the most
consistent tracks under the BRICS starts 2012 at the New Delhi Summit
 Perpetual Work in Progress: Need for Big Push
Export Credit Taxation Micro Small & Medium Enterprises

Slow But Progressing

E-commerce &Trade in services
People-to-People Cooperation - Fields of sports, youth, films, culture,
education and tourism
BRICS vaccine research and development centre - coordination and
cooperation on vaccine research
Ending Tuberculosis; Prevention and Control of non- communicable diseases
BRICS Film Festival, BRICS Treaty on Co-Production of Films - diversity of BRICS
cultures More diverse participation of academia and think tanks via Think-Tank
Council, the Academic Forum, the Civil BRICS Forum, the Young Diplomats
Forum, the Youth Summit and the Young Scientists Forum
BRICS Sports Council – hosting 3rd BRICS Games by South Africa
BRICS parliamentary exchanges, including of Women Parliamentarians and
strengthen roots i.e. BRICS Women’s Forum and the BRICS Women’s Business
Alliance
STRATEGY OUTCOMES AND FUTURE
Trade

Investment

MSMEs

Finance
BRICS COMBINED SERVICES OUTCOMES
TOURISM
Digital Economy - Modernization, transformation of the industry,
stimulation of the national economies to meet the 2030 Sustainable
Development Goals. Fourth Industrial Revolution & economic sectors
(inclusive macroeconomic and social policies) for urban and rural areas
and suffering from limited access to basic social services.
Digital Transformation
Industry, Innovation and Technology
Sustainable Development - UN 2030 SDGs; economic, social and
environmental – in a balanced and integrated manner
Climate Change
Energy
Human Resources Development - Eradicating poverty (minimum
wage standard) in all its forms and dimensions, including extreme
poverty as objective of 2030 SDG. Development of sectors like education
(advanced skills) and health (medical services, vaccination & universal
health coverage), agriculture, social services and social infrastructure
(social security systems) in urban and rural areas
Food Security - Improve nutrition and facilitate access to food for all
10th Strengthening multilateralism, reforming global governance and
addressing common challenges - Climate Change ; Cooperation in
energy ; BRICS Agricultural Research Platform (ARP) ; Sustainable
Consumption and Production (SCP) ; Environmentally Friendly
Technology Platform ; Biodiversity conservation ; Oceans Economy ;
Fight against terrorism
Strengthening and consolidating BRICS cooperation in international
peace and security
BRICS partnership for global economic recovery, reform of financial
and economic global governance institutions, and the fourth industrial
revolution
11th BRICS: economic growth for an innovative future” -
Establishment of the Innovation BRICS Network (iBRICS); Science,
Technology and Innovation (STI) by BRICS STI Steering Committee; BRICS
Trade and Investment Promotion Agencies (TIPAs); Official Development
Assistance (ODA) to assist development resources; Green Climate Fund
(GCF
Chemical Weapons Convention (CWC)
Prevention of an Arms Race in Outer Space (PAROS)

12th Global Stability, Shared Security and Innovative Growth - United

for a Better World ; Economy and Finances, Intergovernmental
Cooperation

13th BRICS @ 15: Intra-BRICS Cooperation for Continuity,

Consolidation and Consensus - Global Health Challenges & COVID-19

14th Foster High-quality BRICS Partnership, Usher in a New Era for

Global Development - Welcome BRICS Outreach/BRICS Plus
cooperation
Strengthening and Reforming Global Governance
Working in Solidarity to Combat COVID-19 ; Safeguarding Peace and
Security ; Promoting Economic Recovery
BRICS Consolidation:
6. Some Stalled Initiatives

(Limited information in public domain)

l BRICS Railways Research Network 2016
l Agreement to Resolve the Crisis in South Sudan 2014
l BRICS Cooperation on Population Matters for 2015-2020
l MoU on Collaborative Research on Distributed Ledger and Block chain
Technology in the
Context of the Development of the Digital Economy 2018
l Multilateral Agreement on Infrastructure Co-Financing for Africa 2013
l BRICS Single Window Cooperation
l BRICS Exchange Alliance
l BRICS MoU on Regional Aviation
l BRICS Network of Human Milk Banks
l Multilateral Agreement on Cooperation and Co-financing for
Sustainable Development,
2013
 Criticism
Problem - India's inefficient energy consumption, August 2013, Morgan
Stanley rated India and Indonesia, together with Brazil, Turkey, and
South Africa, as the 'fragile five' due to their vulnerable currencies. But
since then, India and Indonesia have reformed their economies,
completing 85% and 65% of the necessary adjustments respectively,
while Brazil had only achieved 15%, Turkey only 10%, and South Africa
even less. March 2015, Morgan Stanley again stated that India and
Indonesia had escaped from the 'fragile five' by instituting economic
reforms
BRIC projections are based on the assumptions that resources are
limitless and endlessly available when needed. In reality, many
important resources currently necessary to sustain economic growth,
such as oil, natural gas, coal, other fossil fuels, and uranium might
soon experience a peak in production before enough renewable
energy can be developed and commercialized, which might result in
slower economic growth than anticipated and unpredictable
consequences for the global environment.
Nobel Prize winning economist Joseph Stiglitz said the NDB marks a
"fundamental change in global economic and political power." In his
opinion, "The existing institutions just don't have enough resources.
Without China BRICS is just nothing. China is the muscle of the group
and dominates GDP, foreign-exchange reserves are more than twice
combined of all other fours. They are the one with the big reserves.
They are the biggest potential market
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