Putin Remains Focused on Needed BRICS Economic Mechanisms
July 7—Russian President Vladimir Putin, unable to participate in the BRICS Summit in person due to an arrest warrant issued by the International Criminal Court, spoke to the first plenary session July 6, by video. He conveyed his optimism over the BRICS work, noting its growing “global authority and influence” which has resulted from the members’ deepening cooperation in the areas of politics, security, economy and finance, cultural and humanitarian contacts. Included now in the ranks of its members are leading states from Eurasia, Africa, the Middle East, and Latin America, which, together, possess “a vast political, economic, scientific, technological, and human potential.”
In his short speech, Putin picked up right where he left off at the end of the 2024 BRICS summit last October that he hosted and chaired in Kazan, when he raised the urgent need for a new credit mechanism to fund development in the Global South and East, with credit generated from within the BRICS countries themselves through its New Development Bank,—i.e., outside the bankrupt dollar-denominated trans-Atlantic system.
“Multiplying mutual capital investment by the BRICS countries, including through BRICS mechanisms, primarily, the New Development Bank, appears to be an important goal as well. To this end, Russia proposed creating a whole new BRICS investment platform. The idea behind it is to jointly develop coordinated instruments to support and to bring in the funds from the economies of BRICS countries and from the Global South and Global East countries.” Brazil, he said, was receptive to this initiative, and continued the discussion of the idea under its BRICS' chairmanship.
Other actions are needed, he specified, such as “creating an independent payment and monetary system within BRICS [which] will expedite currency transactions while also ensuring their effectiveness and security.” He cited such other possibilities, such as creating a special mechanism for holding consultations on World Trade Organization matters, a grain exchange, a climate research center, a permanent logistics platform, and a permanent tax secretariat within BRICS.
From the outset of his remarks, Putin stressed that the BRICS have so many supporters in the Global South and East because “the culture of an open partnership and cooperation, mutual respect and consideration for each other’s interests in the group appeals to them.” Thus, the new category of BRICS partner states was agreed on at the last summit in Kazan.
“The BRICS countries represent different development models, religions, authentic civilizations and cultures, while unanimously upholding equality and neighborliness … striving to contribute to global stability and security, the prosperity and success of all nations. Without doubt, this constructive approach and unifying agenda are highly relevant amidst the geopolitical challenges of today.”