Q1 What do you expect from the upcoming BRICS summit in Durban?
Ans. While BRICS is relatively new, there has been much forward movement since the first stand-alone BRIC Summit was held in Yekaterinburg in 2009. The BRICS agenda has widened to encompass global challenges such as international terrorism, climate change, the international economic and financial situation, and sustainable development. The four BRICS Summits and sectoral meetings held, have further enhanced cooperation amongst BRICS countries. The BRICS countries are facing the challenge of maintaining high economic growth and securing sustained and inclusive development, against a backdrop of global economic slowdown and financial volatility.
At the fifth BRICS Summit in Durban later this month, the BRICS countries will promote their shared vision of a world of inclusive growth and prosperity. They will work for a rule-based, stable and predictable world order in an age where science and technology and knowledge are amongst the main determinants of a nation’s wealth and clout. The Durban Summit will provide BRICS leaders an opportunity to review progress and lay down a roadmap for more intense and productive cooperation in future. There is already increased focus within BRICS on activities that develop synergies between us and help promote sharing of experiences in capacity building, education and skills development.
Q2 How would the summit expand on the decisions taken at New Delhi BRICS forum?
Ans. BRICS has been effectively contributing to the global discourse on several issues. The Delhi Action Plan endorsed by the BRICS Summit at New Delhi in March last year provided it with an enabling framework for cooperation in specific areas, thus strengthening cooperation among BRICS countries in sectors such as finance, business, agriculture, health and science and technology. Meetings and events held under India's Chairmanship have achieved concrete results under the Action Plan.
Given the common challenge presented by urbanization for all BRICS countries, we have recently encouraged sharing of experience in areas such as urban water supply and sanitation, waste management, storm water drainage, urban planning, urban transport and energy efficient buildings. In this context, India hosted the First BRICS Urban Infrastructure Forum in New Delhi last month, which facilitated sharing of experiences on water supply and sanitation, effective solid waste management for an improved environment, and urban transport.
Besides imparting momentum in taking the BRICS agenda forward we will see new ideas of cooperation emerge from the Durban Summit. BRICS Track-II engagement among the leading think-tanks of our five countries has produced a 'Long Term Vision for BRICS' that would be considered at the Durban Summit.
Q3. There is a belief that contrary to common understanding BRICS is not a brainchild of Goldman Sacs, but rather a next step in upgrading Russia-India-China triangle, advocated by Evgeny Primakov. How can you comment on that?
Ans. I was present when Prime Minister Evgeny Primakov publicly suggested Russia-India-China as a platform during his official visit to India in December 1998. A couple of years later, In 2001, economists at Goldman Sachs first used the acronym BRIC as part of a modeling exercise to forecast global economic trends over the first half of the 21st Century. Be that as it may, it was the shared will of the four BRIC countries to engage with one another, as well as globally, in articulating and addressing issues of interest to the developing world and engaging in the global quest for solutions to contemporary challenges, that led to the actual formation of the group. This was formalized with the first meeting of the BRIC Foreign Ministers being held in New York on the margins of the UN General Assembly in September 2006, which I was privileged to attend. In a short time span the group has grown in influence and evolved mechanisms for consultation and cooperation in several sectors. Well, who’s brainchild it is can be interesting up to a point; more important is recognizing that BRICS is a configuration whose time has come.
Q4. BRICS remains a sort of geopolitical “unidentified flying object”. How would you define this loosely-modeled alliance? What are its priorities?
Ans. BRICS is a unique grouping. Our countries are rich in human and material resources and seek to consolidate cooperation in existing areas while exploring new ones. BRICS has shown it has the capacity and political will to engage with the international community and contribute to global well-being, stability and growth.
The world learnt from the global financial crisis of 2007-08 that international decision-making on economic issues can no longer be made by a small group of countries and must be democratized to reflect present day realities. We are productively engaging with one another in identifying areas of mutual interest and finding feasible solutions to world problems of today. BRICS activities are now closely watched by the rest of the international community.
BRICS countries are important for economic and financial stability and growth in the international economy. This reality is reflected in the deliberations within the G-20, where BRICS countries are making significant contributions to seeing that the international community addresses itself to long pending structural reforms in the global economy to avoid recurrence of a crisis. We are also working to see that development institutions, international aid, and capital flows, are properly used to address poverty, hunger, disease, food and energy security, and promote sustainable development.
Maintaining the pace of high economic growth and reconciling developmental needs with the imperatives of sustainability and inclusiveness, are major priorities for BRICS countries.
Q5. What further steps can enable BRICS countries to have more say in international economics?
Ans. While BRICS countries recovered relatively quickly from the global crisis, growth prospects worldwide have been unfavourably affected, especially in the euro zone. The build-up of sovereign debt and other concerns have created an uncertain environment for global growth. The BRICS priority has been to restore market confidence and get global growth back on track by working with the international community to ensure international policy coordination in maintaining macroeconomic stability conducive to global economic recovery.
India’s initiative for a new BRICS-led Development Bank, for mobilizing resources for infrastructure and sustainable development projects in BRICS and other developing countries, has attracted wide attention. The aim is to harness through it savings generated in developing countries and direct them to developing world projects in sectors like infrastructure, developing mass transportation systems, improving energy efficiency, etc, which are integral to securing sustainable development.. BRICS Finance Ministers and technical experts are exploring the viability of this idea.
BRICS countries are also engaged in discussions on such initiatives as swap arrangements among national currencies as well as reserve pooling. BRICS development banks are also cooperating with each other to increase intra-BRICS trade and investment flows. A BRICS Think-Tank, a Business Forum and a Financial Forum have been set up. A Master Agreement on Extending Credit Facility in Local Currencies and a BRICS Multilateral Letter of Credit Confirmation Facility Agreement, were signed by the BRICS development banks at the New Delhi Summit last year. These are enabling instruments to reduce trade transaction costs and thus boost intra-BRICS trade. Developing instruments that lead to a greater reliance on local currencies for intra-BRICS economic transactions is one such initiative within BRICS to construct an enabling environment that will promote greater intra-BRICS economic cooperation.
Q6. Do you believe BRICS can stand up as an independent player in international politics, while its member-states political agendas are quite different?
Ans. BRICS has already facilitated the evolution of more convergent positions on several global issues, such as reform of International Financial Institutions, multi-polar world order, sustainable development, and certain regional and political issues.
BRICS countries support a dialogue based on mutual trust and respect, and common interests, coincidence or similarity of approaches toward the pressing problems of global development. They also recognize that today’s world order should be based on the rule of international law and the strengthening of multilateralism, with the UN playing the central role. To this end, BRICS countries have time and again, reaffirmed the need for a comprehensive reform of the UN with a view to make it more efficient so that it can deal more effectively with current global challenges.
BRICS countries have repeatedly underscored their commitment to work together to strengthen multilateral approaches on global peace and security issues. We have the capacity and wherewithal to constructively engage with the international community on a broad range of issues. We are also working to see that development institutions, international aid and capital flows are harnessed to address poverty, hunger, disease, food and energy security, and the issue of sustainable development.
Q7. What is the role of Moscow-Delhi duo in cementing BRICS and giving it new impetus for the development?
Ans. The special and privileged Strategic Partnership between India and Russia builds on our time-tested friendship. Last April we commemorated the 65th Anniversary of the establishment of our diplomatic ties. Ongoing activities amongst BRICS partners are at an early stage and our close bilateral friendship can be useful in promoting cooperation within BRICS. Indeed, India-Russia cooperation can itself serve as a fine inspirational model for the rest of BRICS.
Moscow, March 4, 2013
