Powerhouses slowing down but still vital: BRICS in the wall

This research paper examines the evolving role of the BRICS grouping amidst a slowdown in China's economy. It argues that while the group was initially viewed through the lens of economic growth engines, its current value lies in political economy and its collective assertiveness in global economic governance, including efforts to reform the IMF and reduce reliance on the US dollar.

• There is growing concern regarding the 'Chindown', characterized by a slowdown in China's manufacturing sector and flagging domestic economy and export performance. This decline raises worries about the impact on the BRICS grouping, particularly since the countries were originally envisioned by Jim O'Neill as the world's new growth engines and a lifeline out of the global economic crisis.
• The BRICS grouping represents a significant global presence, accounting for 25% of global GDP, 30% of global land area, and 45% of the world's population. The group consists of regional leaders with economies that are growing faster than those of the US and Europe, with South Africa being the largest economy on the African continent.
• The BRICS face internal challenges to their long-term sustainability, including a lack of cohesive identity and a heterogeneous nature compared to the G7. Additionally, trade and investment linkages between member countries are described as fragile and disjointed, except for bilateral relationships with China.
• The group is increasingly assertive in global economic governance. Key actions include a joint commitment to the multilateral trade system and the Doha Round at the WTO and G20, and an agreement to establish a system for trading in national currencies to remove the US dollar as the trading currency, exemplified by a currency swap between China and Brazil.
• BRICS countries have pledged contributions to a new IMF 'firewall' fund to prevent future financial crises. This move is intended to secure the implementation of the 2010 governance and quota reform decision, which would increase the voice of BRICS and other developing countries within the IMF.

APA

South African Institute of International Affairs (2012). Powerhouses slowing down but still vital: BRICS in the wall. https://saiia.org.za/research/powerhouses-slowing-down-but-still-vital-brics-in-the-wall/

Chicago

South African Institute of International Affairs. Powerhouses slowing down but still vital: BRICS in the wall. 2012. https://saiia.org.za/research/powerhouses-slowing-down-but-still-vital-brics-in-the-wall/.

Wikipedia

{{cite report |author=South African Institute of International Affairs |title=Powerhouses slowing down but still vital: BRICS in the wall |date=24 June 2012 |url=https://saiia.org.za/research/powerhouses-slowing-down-but-still-vital-brics-in-the-wall/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{southafricaninstituteofinternationalaffairs2012powerhouses, author = {{South African Institute of International Affairs}}, title = {{Powerhouses slowing down but still vital: BRICS in the wall}}, institution = {South African Institute of International Affairs}, year = {2012}, month = jun, url = {https://saiia.org.za/research/powerhouses-slowing-down-but-still-vital-brics-in-the-wall/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }