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बेसिक इंग्लिश का दूसरा सत्र (कक्षा प्रारंभ : 22 अक्तूबर, शाम 3:30 से 5:30)
BRICS Summit, 2017
Sep 08, 2017

[GS Paper II: (Bilateral, regional and global groupings and agreements involving India and/or affecting India's interests)]

Why in news?

  • The 9th BRICS Summit was held in China's Xiamen city from 3rd-5th September ending with the adoption of Xiamen declaration. 
  • The theme of this year's event was 'BRICS: Stronger Partnership for a Brighter Future'. 
  • Thailand, Tajikistan, Egypt, Guinea, and Mexico were also invited to attend the summit. 

Xiamen Declaration

  • BRICS action agenda on economic and trade cooperation: The group agreed to facilitate market inter-linkages as well as infrastructure and financial integration to achieve interconnected development. 
  • BRICS action plan for innovation cooperation (2017-2020): The group agreed to enhance joint BRICS research, development and innovation in ICT including the Internet of Things, Cloud computing, Big Data, Data Analytics, Nanotechnology, Artificial Intelligence and 5G and their innovative applications to elevate the level of ICT infrastructure and connectivity in the BRICS countries. 
  • Strategic framework of BRICS customs cooperation:  The group promoted cooperation in mutual sharing of information, mutual recognition of customs control, and mutual assistance in enforcement to boost growth and promote people’s welfare. 
  • Agriculture: Coordination Center of BRICS Agriculture Research Platform will be established in India. It is a virtual network, which will address the issues of food security and nutrition, adaptation of agriculture to climate change, agricultural technology cooperation and innovation, agricultural trade and investment, and ICT application in agriculture to contribute to stable global agricultural growth and achievement of Sustainable Development Goals. 
  • UN reform: The group supported the reform of UN including its Security Council, with a view to increase the representation of the developing countries so that it can adequately respond to global challenges. China and Russia reiterated the importance of Brazil, India and South Africa in international affairs and supported their aspiration to play a greater role in the UN.
  • Condemning terrorism: Expressing its concerns on the security situation in the region comprising BRICS countries and violence caused by the Taliban, ISIL/DAISH, Al-Qaida and its affiliates including Pakistan based groups Lashkar-e-Taiba and Jaish-e-Mohammad, TTP (Tehreek-e-Taliban Pakistan) and Hizb ut-Tahrir, the grouping condemned terrorism in all its forms.  It emphasized the need to adopt comprehensive approach in combating terrorism, which should include countering radicalization, recruitment, movement of terrorists and blocking sources of financing terrorism. 
  • Memorandum of understanding was signed between the BRICS Business Council and the New Development Bank on strategic cooperation.

BRICS

  • BRICS consists of China, Brazil, Russia, India and South Africa. 
  • The first BRIC Foreign Minister’s Meeting was held in 2006 on the sidelines of the general debate of the 61st session of the United Nations General Assembly. 
  • In 2009, the first BRIC Summit was held in Yekaterinburg, Russia. 
  • In December 2010, the acronym changed into BRICS after the inclusion of South Africa during the annual summit in Brasilia, Brazil and the first BRICS summit was held in Sanya, China on 14 April 2011.
  • Together, the BRICS countries account for approximately 26.% of world land area, 43% of world population, 13% of World Bank voting power and 15% of IMF quota shares.
  • According to IMF’s estimates, BRICS countries generated 22.53% of the world GDP in 2015 and has contributed more than 50% of world economic growth during the last 10 years. 

New Development Bank (NDB)

  • The NDB is a multilateral development bank established by Brazil, Russia, India, China and South Africa with the objective of financing infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries, complementing the efforts of multilateral and regional financial institutions toward global growth and development.
  • It was established during the sixth BRICS Summit in Fortaleza (Brazil-2014) by the 5 member countries.  The Bank formally came into existence as a legal entity at the Ufa Summit (Russia) in July 2015. 
  • It is headquartered in Shanghai, China and Mr. K.V. Kamath is its current President.

BRICS Emerging Markets and Developing Countries Dialogue 

  • The BRICS Emerging Markets and Developing Countries Dialogue was organised by China on the sidelines of the 9th BRICS Summit as an outreach exercise.
  • At the dialogue, the Indian Prime Minister, Narendra Modi suggested 10 noble commitments to be made by the five-member bloc for global transformation. These commitments include- creating a safer world by organised and coordinated action on counter-terrorism, cyber-security and disaster management, creating a greener, enabled, inclusive, digital, skilled, connected and harmonious world. 

Differences among BRICS Nations

  • The BRICS as a grouping has several internal contradictions. Firstly, all these countries aspire to be regional powers and hence at some point will compete with each other. 
  • Secondly, they have different political systems with Brazil, India and South Africa being democracies while Russia and China having authoritarian characteristics.
  • Thirdly, Brazil and Russia are commodity exporting countries and thus benefit from high commodity prices while India and China are commodity importers that benefit from low commodity prices. 
  • Fourthly, China and India have outstanding territorial issues including the Doklam issue to resolve and India looks disapprovingly to any institution that has Chinese domination. 
  • Fifth, there are serious differences of opinion on issues ranging from tariffs to intellectual property rights, that member-states have been unable to resolve. 
  • Though the grouping has built institutions, like the New Development Bank, its members have been unable to agree on a real road-map for reforming the global economy.
  • Also the rise of China has dramatically altered the orientation of the BRICS. China’s massive economic weight (its GDP at nearly $12 trillion is now more than twice that of the other four members put together) has meant the internal balance in the BRICS has changed in favour of China.

Way Forward

Many factors bolster co-operation among BRICS members. The common need among developing countries to construct economic order that reflects current situation must drive the BRICS countries for conjuring up their efforts towards equitable global economic governance. 


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