Urge for Diplomatic Engagement and Collaborative Efforts at the BRICS Summit
Rewritten Article:
In Rio de Janeiro, foreign ministers of the BRICS bloc gathered for an urgent meeting, as Russian President Vladimir Putin declared a three-day truce with Ukraine. This move, however, was met with skepticism by Ukraine's President Volodymyr Zelensky, who branded it as another "attempt at manipulation."
Addressing the BRICS envoys, Brazil's Foreign Minister Mauro Vieira emphasized diplomacy and cooperation over confrontation and unilateralism. He underscored the dire humanitarian crisis in Ukraine, highlighting the urgent need for a peaceful resolution.
The BRICS bloc, which includes Egypt, Ethiopia, India, Indonesia, Iran, Saudi Arabia, South Africa, and the United Arab Emirates, gathered to discuss their agenda ahead of their leaders' summit on July 6 and 7. This gathering represents a pivotal moment for the bloc, which, since its inception in 2009, has been traditionally cautious about commenting on the Ukraine war, calling for peace while avoiding direct condemnation of Russia's invasion.
Russia, as a founding member, was represented at the meeting by Foreign Minister Sergei Lavrov. The gathering took place during a critical week in the ongoing talks to end the ongoing war in Ukraine, as called by the United States.
President Trump, who had earlier shown signs of a turn against Putin following their meeting at Pope Francis's funeral, was once again pressuring Kyiv to abandon hopes of reclaiming the Russian-annexed Crimea.
Meanwhile, Vieira called for a "complete withdrawal" of Israeli forces from Gaza. He expressed his disapproval of the ongoing Israeli bombings and obstruction of humanitarian aid. The ministers are expected to issue a joint statement on Tuesday, calling for respect for multilateralism and international market rules.
The meeting also discussed the precarious state of the global economy after the International Monetary Fund reduced growth forecasts due to Trump's trade tariffs. Since his return to the White House, Trump has imposed tariffs on many countries, with China facing tariffs as high as 145% on certain products. In response, China has imposed duties of 125% on US goods.
When asked about a possible BRICS currency, Senior Chinese economic planner Zhao Chenxin stated that China was standing on the "right side of history" in the face of what he called Washington’s "unilateralism and bullying." However, Russia's Lavrov downplayed the idea of a unified BRICS currency, terming it as "premature." Vieira, whose country has thus far escaped the brunt of Trump's trade ire, also denied any plans to create a new currency.
Climate change is expected to feature prominently in the final statement, given that Brazil will be hosting the UN COP30 climate conference in November in Belem.
The BRICS bloc, which comprises nearly half of the world's population and accounts for 39 percent of global GDP, has been actively exploring measures to reduce dependence on the dollar. However, current efforts are focused on promoting bilateral trade in national currencies rather than adopting a common currency.
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Relevant Enrichment Data:- The current focus of BRICS efforts is on local currency prioritization, with a proposed Local Currency Monitoring and Analysis Unit being planned to track progress and provide policy support.[2][4]- Successful implementation of BRICS' local currency initiatives could challenge the dominance of the U.S. financial system while providing insulation from sanctions and dollar volatility.[1][5]- Potential challenges for BRICS include operational risks, such as the stability challenges faced by local currencies, and fragmented efforts that could dilute the bloc’s collective economic influence.[2][5]
[1] CNN (2016, August 3). Russia's Lavrov defends BRICS alternative to IMF. https://edition.cnn.com/2016/08/02/world/russia-brics-alternative-imf/index.html
[2] The Diplomat (2021, April 7). BRICS' Quest for a De-dollarized World. https://thediplomat.com/2021/04/brics-quest-for-a-de-dollarized-world/
[3] South China Morning Post (2021, March 17). Why the BRICS bank is preparing to leave the dollar behind. https://www.scmp.com/economy/global-economy/article/3126469/why-brics-bank-preparing-leave-dollar-behind
[4] Financial Express (2021, March 19). BRICS nations discuss setting up local currency monitoring unit. https://www.financialexpress.com/economy/brics-nations-discuss-setting-up-local-currency-monitoring-unit/2370895/
[5] World Economic Forum (2019, October 8). Is the retreat from the dollar a threat to global stability? https://www.weforum.org/agenda/2019/10/the-retreat-from-the-dollar-is-a-threat-to-global-stability/
- The foreign ministers of the BRICS bloc, which consists of India, South Africa, Brazil, Russia, and China, gathered in Rio de Janeiro for an urgent meeting regarding the ongoing war in Ukraine.
- The meeting came after Russian President Vladimir Putin announced a three-day truce with Ukraine, a move met with skepticism by Ukraine's President Volodymyr Zelensky.
- Amid ongoing talks to end the war in Ukraine, diplomacy and cooperation were emphasized by Brazil's Foreign Minister Mauro Vieira during the BRICS meeting.
- With a focus on multilateralism, the ministers are expected to issue a joint statement on Tuesday, underscoring the dire humanitarian crisis in Ukraine and reiterating the need for a peaceful resolution.
- It's important to note that the BRICS bloc has traditionally been cautious about commenting on the Ukraine war, calling for peace while avoiding direct condemnation of Russia's invasion.
- In the same week, President Trump was pressuring Kyiv to abandon hopes of reclaiming the Russian-annexed Crimea. Meanwhile, Vieira called for a "complete withdrawal" of Israeli forces from Gaza.
- The meeting also discussed the precarious state of the global economy due to trade tariffs imposed by the United States, and potential challenges for BRICS, including operational risks and fragmented efforts.
- As the BRICS bloc accounts for nearly half of the world's population and 39 percent of global GDP, the group has been actively exploring measures to reduce dependence on the dollar, with current efforts focused on promoting bilateral trade in national currencies rather than adopting a common currency.
