GDI and GSI point way forward for economic bloc

By Yu Jiang/Jia Ding

As the first offline meeting of BRICS since 2020, the 15th summit of the grouping to be held in South Africa from Aug 22 to 24 is of great significance. At a time when the global economy is yet to recover from the effects of the COVID-19 pandemic, BRICS members are trying to overcome difficulties and improve people's livelihoods amid geopolitical risks and threats to international peace.

For a long time, developing countries have been trying to further integrate into the global economy, by participating more actively in global economic governance, preventing risks, and making efforts to make the international economic order fairer, and more equitable and mutually beneficial. BRICS countries have striven to increase the say and influence of emerging markets and developing countries to constantly inject positive energy into the world of change and disorder.

After more than a decade of development, BRCIS has become an important platform for emerging markets and developing countries to seek strength through solidarity. The BRICS members have continuously advanced three-driver cooperation, namely political and security cooperation, economic cooperation and people-to-people exchanges, which has yielded fruitful outcomes, and this is the source of confidence for BRCIS cooperation.

As President Xi Jinping, in his speech at the 14th BRICS Summit in 2022, said: "Over the past 16 years, the giant ship of BRICS has sailed forward tenaciously against raging torrents and storms. Riding the wind and cleaving the waves, it has embarked on a righteous course of mutual support and win-win cooperation."

South Africa, which occupies the rotating chair of BRICS this year, has always attached great importance to BRICS cooperation. It has appropriately chosen the theme of "BRICS and Africa: Partnership for Mutually Accelerated Growth, Sustainable Development and Inclusive Multilateralism" for the summit, and plans to make good use of this year's meeting by extending invitations to world leaders across Africa, Asia, Latin America and the Caribbean. Many believe the Aug 22-24 summit will help deepen cooperation among developing countries.

The world is at a critical stage of post-pandemic recovery. Despite major economies having basically adjusted their pandemic prevention and control policies, global economic growth is yet to fully recover. In the first half of this year, the growth of major developed economies such as the United States and the European Union was relatively low, while their government and corporate debts reached historic highs, highlighting their unsustainable economic model.

While the global and regional industry and supply chains are still undergoing adjustments, the Ukraine crisis has affected the global market and impacted different countries and regions, affecting people's livelihoods and the stability of many developing countries, and inhibiting global economic and trade cooperation.

Although developing countries pursue sustainable development, in an environment of rising global political and security risks and declining economic and trade exchanges and cooperation, their domestic consumption and investment cannot make up for diminishing global demand. At the same time, developing countries also lag far behind developed countries in terms of factors of production, innovation capacity, manufacturing base and domestic market size. It is important therefore to place development at the center of the international agenda, further build international consensus on promoting development, and safeguard the legitimate development rights of developing countries. Efforts should be made to revitalize the global development partnership and foster new drivers for global development. Developed countries should be promoted to earnestly honor their aid commitments, to make sure more benefits of development reach people in all countries..

As a successful example of institutionalized cooperation among developing countries, the BRICS cooperation mechanism, which covers nearly half of the global population and accounts for nearly one quarter of the world's GDP and land area, should continue making the right choice on behalf of the people of developing countries and uphold world peace and security at this critical moment when humankind has reached a new crossroad. And BRICS members should promote cooperation and common development, while striving to build a community with a shared future for mankind, and working to meet the ever-growing needs of the people in developing countries for a better life.

As the world's largest developing country, China is committed to contributing to global governance, especially in meeting the development and security challenges plaguing developing countries. The Global Development Initiative and the Global Security Initiative, which President Xi proposed, while focusing on development and security, are aimed at helping developing countries realize the UN 2030 Agenda for Sustainable Development.

In order to address the problems faced by developing countries such as unbalanced global economic development, deteriorating financing environment, increasing barriers to markets and insufficient competitiveness, the BRICS members should make use of the GDI to further advance the BRICS Partnership on New Industrial Revolution and deepen cooperation in trade and investment, fiscal governance, the digital economy and connectivity. They should actively make use of the New Development Bank as a platform to innovate its financing models and instruments, mobilize resources extensively, reasonably balance sovereign and non-sovereign businesses, so as to better meet the diversified needs of NDB member countries and facilitate sustainable development. They should also use "BRICS Plus" cooperation as a platform to deepen cooperation with Africa, the continent with the largest concentration of developing countries, and other developing economies.

China has been playing a constructive role in helping settle major international and regional hotspot issues. In February, for instance, China released a paper on its "Position on the Political Settlement of the Ukraine Crisis". More important, it played a pivotal role in the historic reconciliation between Saudi Arabia and Iran.

The BRICS members, therefore, should promote the GSI, and strengthen communication and coordination through such mechanisms as the Foreign Ministers' Meeting, the Meeting of High Representatives on National Security, the Counter-Terrorism Working Group, the Working Group on Security in the Use of ICTs and regular consultations, and speak with one voice on major issues concerning international peace and security, in order to make the international order fairer and more equitable, resolve global security issues and promote world peace.

Yu Jiang is the full-time deputy secretary-general of Xi Jinping Thought on Diplomacy Studies Center and vice-president of the China Institute of International Studies; and Jia Ding is an assistant research fellow at Xi Jinping Thought on Diplomacy Studies Center.