UDC 339.5: 327.7
Khristiukov P.A.
Bachelor of Sociology Saint Petersburg State University Russia, Saint Petersburg PROSPECTS FOR BRICS AS A TRADE AND POLITICAL ENTITY
Abstract: The article is devoted to the definition and analysis of the prospects for the development of BRICS. A brief description of each country in the organization is given. Conclusions are made about the current state of the organization and its future.
Keywords: BRICS, international trade, international organization, political cooperation.
BRICS is an international organization consisting of Russia, China, India, Brazil and the Republic of South Africa. It is based on an international agreement to manage part of the world economy. 1 For several years, the position of BRICS has grown significantly. The organization has occupied not the last place in the energy field, banking and other spheres of international cooperation. Now BRICS is on a par with such associations as the Group of Twenty and the Group of Seven, becoming a powerful and active player on the world stage.
In terms of demography, half of the world's population lives in the BRICS countries, and about 27% of the world economy belongs to BRICS. Meanwhile, it is worth noting that, given the significant impact of the US economy on other countries in the world, the BRICS countries have united for rivalry with the US and even greater activity in world markets, without regard to Washington's opinion. The declared goal of this group is to support and unite the developing countries. It also consolidates its efforts to maintain peace and unity for the sake of eliminating the class gap between different states.
As a developing country, China is looking for new partners for itself. China's competitors are the US and the European countries that are trying to restrain its development. For this reason, China is looking for such partners, with the help of which it could continue to increase its production. Interacting with the BRICS countries, China was able to further accelerate the growth of its economy, found new markets for the sale of its own products, and enlisted the support of new partners in the international arena. This fact can be considered a significant success for the PRC.
Each country had its own goals and prospects when entering the BRICS. India entered the BRICS for the sake of restructuring its own economy. Since the beginning of 1990, India has begun to implement the policy of economic reconstruction, growth of production and fight against corruption. The Indian authorities carried out privatization and, using all the available potential, took up their own development. Thanks to joining the BRICS and sharing experience with
1 http://infobrics.org/page/history-of-brics/
other members of this group, India has been able to achieve positive results and significant progress; therefore it has already declared itself as an important technological center of the world economy.
30 years ago, Brazil was one of the largest debtors among all countries in the world, but now it ranks sixth in the ranking of the most powerful economic powers. With its primary tasks, Brazil proclaims combating economic embezzlement and administrative corruption. Brazil focused its efforts on supporting domestic production, creating quick-payback funds and establishing production and agricultural cooperatives. All this was achieved through cooperation with other members of the BRICS. In fact, now Brazil in terms of agriculture, cattle breeding, industry and technology, is considered one of the strongest countries in the world and has a prominent place in the organization of the BRICS.
After the separation of the Union republics in Russia, the worst economic situation has developed from the point of view of the level of domestic production. For a whole decade, against the backdrop of stiff competition from European countries and pressure from the world economy, Moscow experienced enormous economic difficulties. However, with the formation of the BRICS group, Russia seemed to get a second wind and gradually managed to solve its economic problems by using the experience of these countries to enter the WTO.
South Africa's plan is to join the list of developed countries. At the moment, this state, which plays an important role in international politics, strives, taking into account its national interests, to increase the level of gross domestic production and increase its own economy as a whole. This country was the last to join the BRICS group. Having entered into close cooperation with four other members of the group, this country managed to achieve significant success in terms of domestic investment, growth of the gross national product, regulation of imports and privatization. Judging by World Bank statistics, all this reflects the positive dynamics of South Africa's economic development.
In international politics, this group is in favor of narrowing the gap between different countries, and it is likely that it will be able to excel in this matter. BRICS was founded as an international organization that does not belong to the orbit of US influence. The main problem is that all international organizations that are being created at present are subject to orders from Washington anyway, but the White House has no influence on the BRICS. This circumstance provides wide opportunities for other countries in terms of membership.
The main achievement of this organization in the sphere of politics is that BRICS has made the world multipolar, because now it is impossible to say that there is some hegemon in the world. At present, Americans represent one pole, Europeans another, and China, which thanks to its economic power could penetrate all world markets and push the US against them, is the third. In many ways, the same can be said about Russia. A young power is now also India, which, following China, has managed to gain access to markets in many countries. All this makes it clear that the BRICS countries have divided the world into several
poles. Back in the forties of the last century, Americans received at their disposal a significant part of the powers of international organizations and thus established their own control over them. At the same time, it seems likely that with the advent of new organizations, such as the BRICS, the world will change even more towards multipolarity. This is the main political prospect for the continued existence of the BRICS.
Five members of this group are trying in every way to strengthen their association through cooperation. According to the available forecasts, until 2020 the trade turnover between BRICS members will exceed the total amount of trade transactions between America and Europe. This can serve as proof that the participants in this group have set a long-term plan of action for themselves and, through their policies, can make a tangible contribution to improving the global economy, assisting developing countries and creating an investment balance. The BRICS countries are working to form a kind of new base of the world economic system. In other words, the leaders of the states belonging to this group are most focused on creating a new economic formation, rather than on leadership in the already existing system of the world economy.
BRICS is trying, through the creation of a world bank, to take an important step in the transformation or new regulation of the global economic system in order to take its rightful place at the expense of its innovation. It seems that the banking, energy and other structures under the control of the BRICS can contribute to an even greater development of the association and will contribute to the fact that BRICS will really be able to reach the set goal for trade turnover between the member countries by 2020.
Summing up, the countries united in this group make up 30% of the world economy. All this shows that BRICS has a huge political, scientific, economic and trade potential.
References:
1. Electronic resource. URL: http://infobrics.org/page/history-of-brics/