China urging the BRICS coalition to evolve into a geopolitical challenger to G7

TL;DR Breakdown

  • China is looking to propel the BRICS coalition of emerging economies into a substantial contender against the G7.
  • There have been disagreements on the BRICS membership and the criteria for adopting new members.

Description

China is looking to propel the BRICS coalition of emerging economies into a substantial contender against the G7. Leaders from various developing nations will convene to discuss the most extensive expansion the forum has witnessed in over ten years.  President Cyril Ramaphosa of South Africa has extended invitations to over 60 heads of state and … Read more

China is looking to propel the BRICS coalition of emerging economies into a substantial contender against the G7. Leaders from various developing nations will convene to discuss the most extensive expansion the forum has witnessed in over ten years. 

President Cyril Ramaphosa of South Africa has extended invitations to over 60 heads of state and government for a summit starting Wednesday in Johannesburg. Several countries might receive invitations during this event to join the coalition, which currently comprises Brazil, Russia, India, China, and South Africa, according to officials acquainted with the discussions.

China and India’s clash on BRICS’ alliance

As the summit approaches, there has been a clash between New Delhi and Beijing regarding expanding the BRICS coalition. The disagreement stems from differing viewpoints on whether BRICS should function as an impartial alliance aimed at the economic interests of developing nations or as a political entity openly challenging Western powers. Individuals familiar with India and China’s stances have noted increasing tensions. South African officials have disclosed that 23 nations are interested in joining the coalition.

A Chinese official, opting to remain anonymous, remarked that if they expand BRICS to encompass a comparable share of the global GDP as the G7, the collective influence on the international stage will strengthen. In contrast, Naledi Pandor, South Africa’s foreign minister, emphasized that perceiving a potential BRICS expansion as an anti-Western move is “extremely wrong.” Nonetheless, Western capitals are likely to interpret the potential inclusion of countries like Iran, Belarus, and Venezuela as a gesture to align with associates of Russia and China.

In the race to become the coalition’s first new members since South Africa’s induction in 2010, Argentina, Saudi Arabia, and Indonesia are actively competing for the position.

Brazil’s President Luiz Inácio Lula da Silva has recently advocated for extending BRICS membership to neighboring countries such as Argentina and Venezuela, Saudi Arabia and the United Arab Emirates. In Brasília, a senior diplomat wants to establish transparent criteria for any expansion. One potential requirement could be for new members to join the New Development Bank, headquartered in Shanghai and established by the BRICS. Notably, Saudi Arabia is discussing becoming the ninth member of this multilateral financial institution.

According to the diplomat, the likelihood of all 23 countries joining simultaneously seems remote; however, they must comprehend the rationale behind the decision. This understanding would apply to the current expansion and set a precedent for future enlargements.

Those overseeing the preliminary discussions before the summit have underlined that BRICS leaders must reach a consensus on the criteria for admitting new members. Contrary to a broader agenda of advocating for a common currency, which could counteract the dominance of the US dollar, such a topic is not on the table.

BRICS members attending the upcoming summit 

Meanwhile, President Vladimir Putin will not physically join other BRICS leaders in Johannesburg. This decision will relieve Pretoria from the obligation to execute the legal mandate of arresting the Russian leader, who faces indictment by the International Criminal Court due to the conflict in Ukraine. Putin is expected to participate through a video link. Notably, as reported by the Kremlin, he engaged in a conversation with Iran’s President Ebrahim Raisi on August 17 regarding Tehran’s bid to join the BRICS.

On Monday, Xi Jinping, the President of China, is set to journey to Johannesburg for the summit and engagements with African leaders, as confirmed by China’s foreign ministry. The visit marks a rare instance of international travel for the Chinese president in 2023, with his prior overseas trip to Russia in March.

Meanwhile, rather than pushing for widespread de-dollarization, the summit may pursue an accord among BRICS members to trade using their local currencies.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions. 

文章来源于互联网:China urging the BRICS coalition to evolve into a geopolitical challenger to G7

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年8月21日 11:04
Next 2023年8月21日 17:56

Related articles

  • Why is the Bitcoin price up today?

    TL;DR Breakdown The leading crypto coin – Bitcoin – price has surged past $30,000 on the back of several favorable market conditions, such as the  BlackRock BTC ETF filing. BTC/USDT on Binance.US experienced an abrupt price spike to as high as $138,000 amid the SEC crypto crackdown. Crypto market analysts predict that with the present momentum, BTC could hit $35,000 in no time marking its first year high since the crypto winter. Description On June 21, the Bitcoin price rose to a 14-day high of $30,122. The recent positive news from BTC markets comes in the wake of the SEC cracking down on Binance and Coinbase, and bullish traders are presumably hoping that BTC can end its 10-week losing streak.  According to crypto market analysts, crypto has been … Read more On June 21, the Bitcoin price rose to a 14-day high of $30,122. The recent positive news from BTC markets comes in the wake of the SEC cracking down on Binance and Coinbase, and bullish traders are presumably hoping that BTC can end its 10-week losing streak.  According to…

    Article 2023年6月24日
  • Revolut faces potential banking license rejection by Bank of England

    TL;DR Breakdown Revolut’s banking license application is at risk of being rejected by the Bank of England. If denied a banking license, Revolut will continue offering its existing services but cannot provide mortgage or loan facilities in the UK. Crypto trading has significantly contributed to Revolut’s income, representing almost one-third of its earnings in 2021. Revolut, the UK-based neobank that offers crypto trading as part of its financial app, might have its banking license rejected by the Bank of England (BOE). According to reports, the BOE has informed the UK Treasury of its intention to reject Revolut’s application. The information regarding the source of this report remains unknown. Revolut, however, chose not to provide any comments regarding their ongoing licensing applications, as stated by a company spokesperson. Similarly, the BOE declined to comment on the matter. Revolut’s financial situation has faced scrutiny this year following an assessment by its auditors, BDO. BDO has raised concerns regarding Revolut’s 2021 revenue figures, casting doubt on their accuracy. Notably, BDO has stated its inability to verify the revenue for the past three quarters….

    Article 2023年5月20日
  • Fed Chair Jerome Powell Acknowledges Crypto’s Sustainability and Urges Regulatory Clarity

    TL;DR Breakdown Federal Reserve Chair Jerome Powell recognizes the “staying power” of cryptocurrencies, indicating their ability to retain value and remain relevant in the long run. The decline in crypto market capitalization and recent regulatory challenges, including charges against Binance. Description During a Congressional hearing, Federal Reserve Chairman Jerome Powell made headlines with his optimistic outlook on the digital asset market. Powell expressed his belief in the sustainability of cryptocurrencies as an asset class within the United States. His statement came as part of the presentation of the Federal Reserve’s Semi-Annual Monetary Policy Report to the … Read more During a Congressional hearing, Federal Reserve Chairman Jerome Powell made headlines with his optimistic outlook on the digital asset market. Powell expressed his belief in the sustainability of cryptocurrencies as an asset class within the United States. His statement came as part of the presentation of the Federal Reserve’s Semi-Annual Monetary Policy Report to the House Committee on Financial Services. Powell’s recognition of the “staying power” of crypto indicates his acknowledgment of its ability to retain value and remain relevant in…

    Article 2023年7月9日
  • Turkey inflation rises to 59% as the Turkish lira devalues

    TL;DR Breakdown Turkey’s inflation reached 58.9% YoY in August, the highest since December 2022, largely driven by the devaluation of the Turkish lira. Turkey’s Finance Minister, Mehmet Simsek, acknowledged the need for a transitional phase to combat the high inflation. Description In August, inflation in Turkey surged to 58.9% year-on-year, marking the highest rate since December 2022, as per official data released on Monday. Prices have soared nearly 60% compared to the same period last year, and there was a 9.1% increase compared to the previous month. This rapid rise in prices can be attributed to … Read more In August, inflation in Turkey surged to 58.9% year-on-year, marking the highest rate since December 2022, as per official data released on Monday. Prices have soared nearly 60% compared to the same period last year, and there was a 9.1% increase compared to the previous month. This rapid rise in prices can be attributed to the devaluation of the Turkish lira. Turkey is going through an economic transition period After experiencing a downward trend for eight consecutive months, inflation began to…

    Article 2023年9月6日
  • Terraform Labs Founder Kwon Denies Forgery and Financial Ties in Montenegro Court

    TL;DR Breakdown Do Kwon, the founder of Terraform Labs, denies forging travel documentation and denies financial ties to Milojko Spajić. Kwon claims he received allegedly forged passports through third-party agencies and blames a Chinese-named agency. He had been using a Costa Rican passport for years and trusted its authenticity. He denies making any financial donations to Spajić, the leader of the Europe Now party. Description In a recent court hearing in Montenegro, Do Kwon, the founder of Terraform Labs, denied allegations of forging travel documentation and refuted any financial connections with Milojko Spajić, the leader of the Europe Now party. The South Korean entrepreneur claimed that he was unaware of the alleged forgery of his passport and instead blamed a … Read more In a recent court hearing in Montenegro, Do Kwon, the founder of Terraform Labs, denied allegations of forging travel documentation and refuted any financial connections with Milojko Spajić, the leader of the Europe Now party. The South Korean entrepreneur claimed that he was unaware of the alleged forgery of his passport and instead blamed a Chinese-named agency…

    Article 2023年6月21日
TOP