Indonesia has officially become a member of the BRICS group, which includes emerging economies like Russia and China, and is regarded as a counterbalance to Western influence. Brazil, currently holding the rotating presidency of BRICS, announced that Indonesia would be joining as a full member. In response, Indonesia expressed its enthusiasm, stating that it “welcomes” the news.
Strategic step for collaboration
The Ministry of Foreign Affairs in Jakarta released a statement highlighting that joining BRICS represents “a strategic step to enhance collaborations and partnerships with other developing nations, grounded in the principles of equality, mutual respect, and sustainable development.” The ministry also conveyed its “gratitude to Russia,” the chair of BRICS for 2024, for its assistance and leadership in facilitating Indonesia’s entry into the group.
Read more | BRICS expansion: Nine new partner countries set to join in January 2025
Shared goals within the Global South
Earlier, Brazil’s foreign ministry remarked that Indonesia, the most populous country in Southeast Asia, “shares with the other members the will to reform the institutions of global governance and contribute positively to cooperation within the Global South.” Indonesia’s application to join the bloc received approval during a summit held in Johannesburg in 2023.
Origins and expansion of BRICS
The acronym BRICS was initially introduced by a Goldman Sachs banker at the turn of the century. The group was formally established in 2009 with founding members Brazil, Russia, India, and China, and South Africa joined the following year. The bloc saw further expansion last year when Iran, Egypt, Ethiopia, and the United Arab Emirates became full members.
Counterbalance to Western influence
BRICS is increasingly perceived as a counterbalance to Western powers, with a significant objective being the “de-dollarisation” of international trade. Many member countries have accused Washington of leveraging the U.S. dollar as a political instrument, and the group has proposed the idea of a common currency.
Future trade dynamics and tariffs
US President-elect Donald Trump has threatened to impose 100 percent tariffs on BRICS nations if they opt to replace the dollar in international commerce. Nonetheless, Brazil has expressed its intention to advance this initiative during its presidency of BRICS. The government of President Luiz Inacio Lula da Silva has stated that its goal is to develop alternative payment methods to enhance trade among member countries.
Indonesia’s commitment to multilateral cooperation
In its statement, Indonesia remarked: “This achievement shows Indonesia’s increasingly active role in global issues and commitment to strengthening multilateral cooperation to create a global structure that is more inclusive and fair.”
