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10 Jun 2025
GS Paper 3
Economy
Day 11: What are the opportunities and challenges for India within the BRICS grouping? (100 words)
Approach:
- Start with a clear introduction to the context of BRICS and India’s role.
- Separate challenges and opportunities into concise points for clarity.
- Conclude suitably.
Introduction:
- BRICS (Brazil, Russia, India, China, South Africa) has become an important platform for global cooperation, especially for India in terms of strategic and economic growth. However, India faces both challenges and opportunities within the grouping, which impacts its role and global influence.
Body:
Opportunities:
- Energy Security: With Iran, Saudi Arabia, and UAE as members, BRICS countries produce about 44% of the world’s crude oil, ensuring energy security for India.
- Voice for Global South: BRICS allows India to advocate for the rights of developing countries, addressing issues like terrorism, climate change, and global equity.
- Safe Space for Dialogue: Despite tensions, BRICS provides a neutral platform for India to engage in dialogue, including with China during incidents like the Doklam standoff.
- Multilateral Reform: India can push for reforms in global institutions like the UNSC and WTO to ensure a more equitable global order.
Challenges:
- Underutilisation of Economic Potential: Intra-BRICS trade remains low at just 2.2%, despite the group's significant share of global trade. Geographical separation and China’s dominance are major obstacles.
- Geopolitical Rivalries: Conflicts between member countries, like India-China tensions and Saudi-Iran rivalries, limit the group’s ability to function cohesively.
- Inability to Create Alternative Financial Institutions: The New Development Bank (NDB) lacks the financial capacity to challenge institutions like the World Bank or IMF, limiting its global impact.
- Economic Struggles within Members: Slowdowns in China, the impact of the war on Russia, and challenges in South Africa hinder BRICS’ economic performance and cohesion.
- Perception of Anti-Western Bias: India must balance its relationships within BRICS, as the group's anti-Western stance may limit cooperation on global issues like climate change and trade.
Conclusion:
India faces challenges in BRICS, including geopolitical tensions, economic issues, and lack of cohesion. However, it has opportunities to secure energy, push for multilateral reforms, and advocate for the Global South. India's diplomatic approach will be key to enhancing its global influence within BRICS.
