Amidst the rising geopolitical tensions and the United States’ stringent tariffs, the rapid rise of the BRICS is altering the global power landscape.
The unprecedented expansion and emergence of the block signal a remarkable shift in the global power dynamics, challenging the established economic monopolies and putting the US-led unipolar world order under severe strain. Since the end of World War2, the United States and European allies have influenced the global south through capitalist institutions like the International Monetary Fund (IMF) and the World Bank. They used these institutions to exert economic pressure on third-world countries to achieve their geopolitical and geostrategic interests in different regions.
Challenging Western Financial Hegemony
However, with the emergence of the BRICS alliance, this tide is turning. The establishment of the New Development Bank by the BRICS organization poses a significant threat to the Western financial monopoly. It offers financial assistance on more flexible and favorable conditions to the member states. Over the past few years, through mutual cooperation and shared combined economic resilience, the BRICS nations have asserted themselves as reliable alternatives in multilateral governance.
During the last decade, mutual trade among developing economies expanded by 40 percent. Meanwhile, trade between the US and its allies has declined by around 10 percent. The recent US tariffs on its trade allies have further impinged its trade relations with its partners. This trend gained global attention. As soon as the recent BRICS summit in Rio de Janeiro, the US President Donald Trump warned of imposing 10 percent tariffs on ‘Un-American’ countries aligning with the BRICS organization, a move that reflects the anxiety of the US establishment over the rise of the multipolar world order.
Toward a Multipolar and Inclusive Future
The BRICS leaders reiterated their commitment to global cooperation and a multipolar world order. The UAE delegation, led by Sheikh Khalid bin Mohamed bin Zayed Al Nahyan, the crown prince of Abu Dhabi, participated in the BRICS summit for the second time in the BRICS summit. The UAE is the 14th largest BRICS trading partner. Last year, the trade between the two sides reached $271.6 billion. Sheikh Khalid bin Mohamed highlighted the significance of establishing a sustainable partnership based on mutual development and growth, as it would “serve our peoples and enhance the interests of our countries.” He further stated, “By working together, we can overcome challenges and create a brighter, more prosperous future for all.” He also asserted the importance of the alliance in addressing global issues such as humanitarian, economic, and geopolitical challenges.
In the latest BRICS summit, the member states adopted a unified stance over the issue of reforming global monetary institutions such as the IMF and the World Bank. The proposed reforms seek to make these financial institutions more inclusive, effective, and representative of the increasing worth of the Global South. The BRICS members are committed to promoting trade in local currencies, to decrease the US financial monopoly and hegemony over the globe. The member states expressed their concern over the increasing protective measures by the United States, including the recent trade tariffs. They held that these measures contradict the rules established by the World Trade Organization (WTO) and “threaten to reduce global trade, disrupt global supply chains, and increase uncertainty.”
The unified declaration of the recent summit challenged the US dominance over the globe, indicating that no single country is allowed to claim global supremacy and dictate to the developing nations. Formerly, the BRICS alliance was seen as a loosely aligned bloc of developing countries. However, the recent summit suggests that it has emerged as a strong and collective voice for the developing and underdeveloped nations. The latest summit marked a significant development in ushering in a more inclusive, multipolar world order.
The recent inclusion of Indonesia as a member state and Bolivia, Cuba, Belarus, Uganda, Uzbekistan, Kazakhstan, Nigeria, and Malaysia as partner states highlights the increasing growth and success of the organization. Many other developing nations, including Afghanistan, Bangladesh, Pakistan, and Sri Lanka, have also shown their interest in BRICS membership, indicating the inevitable decline of the US-led unilateral world order and the rise of a new and more inclusive multipolar global system.
Аbbas Hashemite – is a political observer and research analyst for regional and global geopolitical issues. He is currently working as an independent researcher and journalist
