Bangladesh takes formal steps to join BRICS coalition

Bangladesh has made an official request to join the BRICS coalition, as reported by the Dhaka Tribune.

This request was made after a meeting between prime minister Sheikh Hasina and the South African president Cyril Ramaphosa in Geneva last week.

A formal application

BRICS, an association comprising the most-developed emerging national economies, Brazil, Russia, India, China, and South Africa, which together boast a combined population of 3.1 billion people, representing around 40% of the world’s population.

With a collective nominal GDP of $40 trillion, these countries contribute more than 20% to the global gross domestic product. 

China, as the largest member in terms of population, nominal GDP, and export value, holds an unofficial leadership position within the association. The inaugural BRICS summit took place in Russia on June 16, 2009, and has since convened annually, rotating among all member countries.

As Bangladesh formally applies to join the BRICS coalition, which now sees interest from approximately 24 countries in using its currency for trade, concerns arise over the potential implications for the dominance of the U.S. dollar in international transactions.

Furthermore, with the inclusion of Saudi Arabia and five other Arab nations in the BRICS alliance, the American economy faces a potential impact, considering Saudi Arabia’s significant influence as a major oil exporter.

As the eagerly anticipated BRICS summit approaches, slated to be held in South Africa this August, talks of potential new memberships are expected to take center stage. Bangladesh, currently acknowledged as a “Friend of BRICS,” actively engaged in the Friends of BRICS Foreign Ministers’ Meeting on June 23, further indicating its involvement and interest in the coalition.

Summit draws closer

As the highly anticipated BRICS summit draws closer, the focal points of the upcoming discussions are set to revolve around expansion plans and the exploration of an alternative currency.

With an aim to diversify their financial systems, the BRICS countries will undoubtedly delve into the potential merits and challenges associated with adopting bitcoin as a viable alternative currency during the summit.

The growing fascination surrounding the BRICS currency and the potential expansion of the alliance are poised to bring about substantial transformations in the global economic arena.