BRICS Gains Traction Among Southeast Asian Countries Amid Economic Opportunities
The rising economic allure of BRICS is becoming a significant catalyst for interest among Southeast Asian nations. The BRICS alliance, which currently includes Brazil, Russia, India, China, South Africa, Iran, Egypt, Ethiopia, Saudi Arabia, and the United Arab Emirates, represents a substantial share of the global economy. With collective efforts to expand membership, BRICS offers an expansive market for Southeast Asian goods and services. The group’s combined GDP accounts for a large portion of the global economy, making it an enticing prospect for economic collaboration.
As BRICS nations occupy roughly 30 percent of the Earth’s land and 45 percent of the global population, they hold considerable economic clout. This includes major players like South Africa, Brazil, Russia, India, and China, all ranking among the world’s largest economies. Many members are also part of the G20, collectively contributing a nominal GDP of US$28 trillion, which represents 27 percent of the global economy. Their combined GDP (PPP) is around US$57 trillion, accounting for 37.3 percent of the global GDP PPP, supported by total foreign reserves estimated at US$4.5 trillion.
Expanding Trade and Investment Opportunities
The BRICS framework provides Southeast Asian countries like Indonesia, Malaysia, Vietnam, Thailand, and the Philippines with pathways to diversify their trade and investment partnerships. With China and India serving as major economic engines, these nations are keen to harness mutual benefits. Notably, the Regional Comprehensive Economic Partnership (RCEP) includes several BRICS members, creating an attractive foundation for deeper economic integration.
Infrastructure Development Prospects
The establishment of the New Development Bank (NDB) by BRICS marks a significant opportunity for Southeast Asian nations to secure funding for critical infrastructure and sustainable development projects. Countries such as Indonesia and Malaysia can potentially leverage NDB resources to enhance their infrastructure, thereby improving regional connectivity and access to broader markets.
Amplifying Political Influence
Membership in BRICS could empower Southeast Asian countries to elevate their voices within international forums, potentially influencing key global decisions.
Fostering Regional Cooperation and Stability
BRICS also serves as a platform for these nations to tackle regional challenges, addressing security, environmental concerns, and sustainable development collaboratively. While the ASEAN Regional Forum has traditionally spearheaded such discussions, BRICS may offer an additional avenue with greater global relevance.
Geopolitical Significance
The geopolitical ramifications of BRICS membership are increasingly important for Southeast Asian countries. The region’s strategic positioning, bridging the Pacific and Indian Oceans, places it at the center of global power dynamics.
Strengthening Strategic Ties
Aligning with BRICS could enhance Southeast Asian countries’ strategic partnerships, particularly with China and India, essential trading partners in the region. This synergy is vital as these nations navigate the complex geopolitical landscape of the Indo-Pacific.
Country-Specific Interests in BRICS
Indonesia: As the largest economy in Southeast Asia, Indonesia’s potential membership in BRICS has gained momentum, with decisions anticipated in the next government term under the new President-elect.
Vietnam: Vietnam is keenly interested in joining BRICS, recognizing the economic and political advantages it could bring. The country has fortified its economic relations with BRICS nations, particularly with China and Russia, and is actively partaking in initiatives like the Belt and Road Initiative (BRI).
Philippines: Economic considerations primarily drive the Philippines’ interest in BRICS, aiming to bolster trade and investment with member countries, notably China.
Thailand: Thailand has indicated its desire to join BRICS, formalizing this interest through a request highlighting potential economic cooperation and regional stability, especially given its strong economic ties with China.
Malaysia: Malaysia is assessing the advantages of BRICS membership, focusing on trade and investment restoration and regional cooperation. The country’s strategic maritime position enhances its role in BRICS, highlighted by Prime Minister Anwar Ibrahim’s acceptance of an invitation to the upcoming BRICS summit in Kazan, scheduled for October 22-24, following Malaysia’s official application to join in July 2024.
The growing enthusiasm among Southeast Asian countries to engage with BRICS underscores its rising economic and political significance. The potential advantages—including enhanced trade, investment, and political influence—are key drivers of this burgeoning interest.
