Introduction to a Historic Milestone
Indonesia became the newest member of the BRICS group on Monday, marking a significant milestone for Southeast Asia’s largest nation. Brazil, a founding member of the bloc, announced the country’s formal entry while holding the rotating presidency for 2025. This move cements Indonesia’s position as a key player in reshaping global governance and enhancing South-South cooperation.
What Is BRICS?
BRICS is a coalition of major developing economies formed in 2009. It originally included Brazil, Russia, India, and China, with South Africa joining in 2010. Over time, the alliance has expanded to include nations like Iran, Egypt, Ethiopia, and the United Arab Emirates. The group serves as a counterbalance to the G7, a bloc of advanced economies consisting of the United States, Canada, the United Kingdom, France, Germany, Italy, and Japan.
The Importance of Indonesia’s Membership
Indonesia’s inclusion brings a fresh perspective to BRICS. With over 270 million people, it is the fourth-most populous country and the largest economy in Southeast Asia. Its membership strengthens the bloc’s influence and reflects a shared vision for a fairer global economic order. Indonesia also aligns with BRICS’ mission to reform global institutions and deepen ties between developing nations.
Why Indonesia Joined Now?
Indonesia’s membership was first endorsed in August 2023 during a BRICS leaders’ summit. However, the country delayed formal accession until its newly-elected government took office. By joining now, the country signals its readiness to engage actively in global discussions and strengthen multilateral cooperation.
A Growing Alliance
With Indonesia’s addition, BRICS now represents nearly half of the world’s population and a significant portion of global GDP. The group focuses on economic collaboration, reducing reliance on the US dollar, and fostering local currency transactions. Recent expansions reflect the bloc’s growing appeal to countries seeking alternatives to Western-dominated financial systems.
Saudi Arabia and Other Aspirants
Saudi Arabia has been invited to join BRICS but has not yet formalized its membership. Other nations, including Turkey, Azerbaijan, and Malaysia, have also expressed interest. The alliance’s expanding influence showcases its importance as a platform for developing economies.
BRICS’ Vision and Goals
The most recent BRICS summit in Kazan, Russia, emphasized the need for economic reforms. Member states discussed strategies to strengthen local currencies and reduce dependency on the US dollar in international trade. This approach has drawn criticism from the United States, with President-elect Donald Trump warning of tariffs against BRICS nations.
Upcoming BRICS Summit in Brazil
This year’s BRICS summit is scheduled for July in Rio de Janeiro, Brazil. Leaders will likely discuss strategies to enhance cooperation among member states and address global economic challenges. Indonesia’s role in this gathering will be closely watched as it brings Southeast Asia’s perspective to the table.
Indonesia’s Statement on Membership
Foreign Affairs Ministry of the country celebrated the nation’s inclusion, describing it as a testament to its growing role in global issues. Officials emphasized their commitment to fostering a fairer, more inclusive international system. Indonesia aims to use its membership to advocate for policies benefiting developing nations.
Implications for the Region
Indonesia’s membership strengthens the voice of Southeast Asia in global affairs. It also reinforces BRICS as a coalition representing diverse regions and interests. For the country, this opens doors to new economic partnerships, investments, and technological collaboration.
A New Era for BRICS and Indonesia
Indonesia’s accession to BRICS signals a transformative shift in global economic dynamics. The nation’s inclusion enhances the bloc’s diversity and reach while reflecting its commitment to multilateralism. As BRICS prepares for its next summit, the world will watch closely to see how Indonesia shapes and benefits from this powerful alliance.