Currently the forum is working on building partnerships and collaborating with member state institutions to provide cutting edge information for businesses and industry alike
2.BUSINESS The forum will work with business units in the member states to form effective standards for information exchange. This would facilitate better access of information and avenues of growth. 3. COMPETITIVENESS The forum will develop indicators of competitiveness specific to the BRICS nations which helps in understanding the markets better 4. GOVERNANCE N LEADERSHIP The forum will work with state units as well as private sector to develop better practices that would help the BRICS in building a sustainable bloc 5. SCINCE N TECHNOLOGY The forum has identified Science & Technology as a key area for the BRICS to focus on. With emphasis on academic network alliances between the member states, cutting edge practices in the field will be used to handle the focus areas. 6. POVERTY The forum realizes the importance of poverty reduction in the member states and will work with various private organizations and entrepreneurs to use technology to reduce poverty and increase awareness of literacy
KEY ADVANTAGES : One of the fastest growing economies in the last centuries Brazilian economy becoming less dependent on imports Extremely rich in resources such as coffee, sugarcane, crude oil and iron etc. Focus on equitable development has resulted in significant poverty reduction.
CHALLENGES FOR THE FUTURE: Overburdened and ineffective judicial system. Industrial output is weak
KEY ADVANTAGES: Russia has capability in high-technology sectors Accounts for around 20% of the world’s oil and gas reserves Fall in the number of people living below the poverty line Consumer market of over 140 million people
CHALLENGES FOR FUTURE Labour shortages and poorly developed infrastructure Corruption
KEY ADVANTAGES 1.15 billion people 2nd largest labour force Approximately 2.5 million college graduates per year. Democratic country.
CHALLENGES FOR THE FUTURE Improving basic educational achievement Improving infrastructure and electrical capacity Expanding technology industry
KEY ADVANTAGES Broad expansion of educational achievement Rapid economic growth Third largest country in land size
CHALLENGES FOR THE FUTURE Support to rural areas and less-developed regions Bank of China sees inflation as a bigger risk Need to improve the investment
KEY ADVANTAGE The South African economy is now the 23rd largest in the world Inflation is now below 5% and falling. 25% of goods produced in South Africa are for export
CHALLENGES FOR THE FUTURE: The economy is growing but not fast enough Lack of skills, particularly in IT. 48% of the population is living below the poverty line
Ahead of the 7th BRICS Summit in Russia this summer, the Finance Ministers and Central Bank Governors Meeting of the BRICS was held in Washington on Thursday where the officials of the five countries took stock of the preparations for operationalizing the $100 billion BRICS New Development Bank.
The bank is set to be headquartered in Shanghai and India will appoint the first president of the Bank. It will eventually open membership to non-BRICS countries and coincides with plans for the Asian infrastructure development bank spearheaded by Beijing.
The BRICS leaders in 2014. Left to right: Putin, Modi, Rousseff, Xi and Zuma
China’s economy is driven by its exports of manufactures and central role in the global value chains; but its domestic consumption is still very limited, which creates a current account surplus for China. There is China’s currency manipulation, where the pegging of the renminbi to the US dollar gives China an unfair trade advantage by making its exports cheaper. The currency issue is and will continue to be a source of tension in the BRICS unless it is dealt with effectively. India’s economy, on the other hand, is driven by strong capital imports and, because of its flexible exchange rate olicy , it is plagued by current account deficits. Brazil and South Africa are also experiencing current account deficits.
. Emerging countries’ abilities to balance growth, inflation and global competitiveness will be a crucial factor in this. Even if their overall growth this year may be a little lower than in recent years, most of these economies are still expected to grow faster than those of developed nations.
REGIONAL ECONOMIC INTEGRATION
Agreements between group of countries within
a geographic region
To reduce & ultimately remove the tariff and
non- tariff barriers
to the free flow of the goods, Services and
Factors of production between each other
BRICS stands for Brazil, Russia, India, China, and
Jim O'Neill, chairman of Goldman Sachs Asset
Management, coined the BRIC concept in 2001.
BRICS is the international political organization of
leading emerging economies.
With the entrance of South Africa, at the 3rd BRIC’s
Summit, in April 2011, the BRIC became BRICS, with
ABOUT BRICS FORUM
The BRICS Forum was formed in 2011
It is an independent international organization
that works for a structured social, economic
and environmentally sustainable BRICS block.
Currently the forum is working on building
partnerships and collaborating with member
FOCUS OF BRICS FORUM
To establish a development bank to balance the influence of the
World Bank and IMF, as well as creating a joint foreign exchange
Governance & Leadership
Science & Technology
Private Sector & Prevention of Corruption
Innovation in building Infrastructure
10th fastest growing economies in the last centuries.
Extremely rich in resources such as coffee, sugarcane, crude oil
and iron etc.
Focus on equitable development has resulted in significant
Textiles, chemicals , iron ore , steel and motor vehicles
Brazil today is the most popular of the BRICs so far as foreign
direct investment is concerned.
Russia has capability in high-technology sectors
Accounts for around 20% of the world’s oil and gas reserves.
Fall in the number of people living below the poverty line.
Consumer market of over 140 million people.
68% of people comes under middle income group.
Highly educated workforce.
Third largest exporter of steel and aluminium
1.2 billion people
2nd largest labour force
Holds second place followed by China in BRICS
Broad knowledge economy.
18Th fastest growing economy.
Third largest country in land size.
Biggest of all BRIC nations GDP wise.
13% of people comes under middle income group..
Holds more than $3 trillion forex reserves.
Largest exporter/ importer for 32 and 34 countries respectively.
Cheap labour work force 9
The South African economy is now the 23rd largest in the world
Inflation is below 6.6% and falling.
25% of goods produced in South Africa are for export
Richest in terms of its mineral reserves.
Indonesia, Turkey, Mexico and Germany have
been mentioned as candidates for full
membership of the BRICS,
Egypt, Argentina, Iran, Nigeria, Syria and
most recently Bangladesh have expressed
interest in joining BRICS
SOME OF THE RECENT NEWS HEADLINES:
BRICS Finance Ministers meet held in Washington.
China becomes 1st foreign customer of Russian advanced
China exports slump indicates slowing global growth.
Russia launches official website for the Ufa Summit,
April 1, 2015
India to buy 36 French-made Rafale jets
FEW FACTS ABOUT THE BRICS
•The BRICS countries make up 21 percent of global GDP. They have
increased their share of global GDP threefold in the past 15 years.
•The BRICS are home to 43 percent of the world's population.
•The BRICS countries have combined foreign reserves of an estimated
•Intra-BRICS trade flows reached $282 billion in 2012 and are
estimated to reach $500 billion by 2015. In 2002, it was $27.3 billion.
•IMF estimates of GDP per member in 2012, China $8.25 trillion, Brazil
$2.43 trillion, Russia and India at $1.95 trillion each, South Africa
•Per capita GDP for 2012 was estimated at, China $6,094, Brazil
$12,340, Russia $13,765, India $1,592, South Africa $7,636
TARGET SECTORS FOR BRICS TRADE
Manufacturing, services and agriculture
Energy, infrastructure, mining beneficiation and
Construction and water provision
The green economy and tourism
Development of BRICS bank
Reducing the rural/urban income gap
Maintaining macroeconomic stability
Inadequate Financial reforms
Managing Supply Chain
India is also expected to grow faster than China after 2020
Rising incomes in the BRICs nations will create a new middle
Featured as- “Roadmap For Contribution”
Important drivers for growth in the global economy.
Expansion of their consumer markets and the rise of
the establishment of a “positive multipolarity" in international
Lost speed and altitude over the past two years
Chances of Intra Trade Disputes are high
Difficulties of articulating their conflicting interests
in some sort of common vision became more evident.
Different viewpoints and influence in the
We believe the BRICS markets retain strong
characteristics that attract equity investors.
We can count here a strong economic growth,
favorable demographics, rich natural
resources, and strong finances.
The worries and uncertainty will likely continue
to create some angst in the global market,
we firmly believe that these markets should do
well in the long-term