Benzinga - by Piero Cingari, Benzinga Staff Writer. Global economic order sees potential disruption as dozens of countries are eyeing membership in BRICS, a collective of Brazil, Russia, India, China and South Africa. This group, positioned as a counterbalance to Western dominance, is convening in Johannesburg this week, sparking speculations about new entrants.
Potential Entrants: Economic Powerhouses and Diplomatic Maneuvers Several nations are on the radar for BRICS membership, with Argentina, Egypt, Indonesia and Saudi Arabia at the forefront, as the New York Times reports. Iran’s interest is also notable.
China’s push for expansion finds favor with Xi Jinping, while India’s Narendra Modi exercises more caution due to geopolitical dynamics.
The group of the five nations currently represent 40% of the global population and over a quarter of the world’s GDP.
Insights into Prominent Contenders
Argentina: Economic Struggles and BRICS Backing Argentina, with a significant economy in Latin America, seeks backing from India, Brazil and China. Amid economic turmoil, high inflation, and debt woes, Argentina’s potential BRICS membership could offer economic revitalization.
Iran: Energy Reserves and Geopolitical Alliances Iran’s vast energy resources make it a compelling contender. Applying for BRICS membership aligns with its non-Western alliances, signifying economic and political collaboration.
Indonesia and Egypt: Strategic Alliances and Geopolitical Shifts China and India advocate for Indonesia’s BRICS entry. Meanwhile, Egypt’s pivot away from dollar dependence and its strengthening ties with Russia and China add intrigue to the group’s expansion.
BRICS’ Expansion: 5 ETFs To Monitor
- This ETF tracks the MSCI Saudi Arabia IMI 25/50 Index, providing exposure to Saudi Arabian equities.
- This ETF aims to replicate the performance of the MSCI All Argentina 25/50 Index, offering exposure to companies in Argentina.
- This ETF seeks to replicate the MVIS Egypt Index, providing exposure to publicly traded companies that are domiciled and primarily listed in Egypt.
- This ETF aims to track the performance of the MSCI Indonesia Index, offering exposure to Indonesian equities.
- This ETF tracks the MSCI Emerging Markets Index, providing broad exposure to emerging market equities across various countries.
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Shutterstock
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.