February 26, 2021
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Divided house
BRICS: A solid move but fissures remain The mid-July Sixth Summit of BRICS in Fortaleza has come out with some concrete results on economic front. Certainly, BRICS has moved beyond the rhetoric of cooperation, unity and mutual respect by taking a firm decision of setting up a BRICS New Development Bank, a move of far reaching significance in international financial sector. However, China has stolen the show by hosting the headquarters of the Bank in Shanghai. China wanted to show this unity among BRICS partners for projecting its potential leadership of the emerging economies as a second largest economic power, on the strength of which China has a hidden agenda of promoting its strategic designs. With more than half of the total GDP of the BRICS members and very good infrastructure facilities to host the BRICS Bank, China had a natural claim over the decision and desire to take a larger share of the initial seed money of US$ 50 billion, but each member countries pressed upon the need of adhering to the principle of equal sharing. Also, Russia has the same hidden agenda of showing unity among BRICS members to justify its wrongdoings in its neighborhood. However, it was a consolation prize for India to have been offered the first Presidency of the BRICS New Development Bank for the first five years, but it would be naïve to think that China will not try to dominate the body through its financial muscle in the coming years when requirements for funds will
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