Prime Minister Narendra Modi’s extensive multi-nation tour across Africa and South America, including the BRICS summit, signifies a shift towards securing economic and political opportunities and strengthening India internally.
- However, India’s “multi-alignment” strategy, involving engagement with both BRICS and the Quad, is increasingly proving costly and complex.
About BRICS
- BRICS is a grouping of five major emerging economies: Brazil, Russia, India, China, and South Africa. It was originally formed as “BRIC” in 2006, with South Africa joining in 2010.
Key Features
- Population: Represents over 40% of the global population.
- Purpose: To promote multipolarity, economic cooperation, and reform of global governance institutions like the IMF and World Bank.
- Initiative: The New Development Bank (NDB) is a bank set up by BRICS in 2014 to fund infrastructure and development projects in BRICS and other developing countries. It’s headquartered in Shanghai and gives all members equal voting power.
Limitations of BRICS
BRICS, which was once envisioned as a powerful entity challenging American dominance and establishing a new world order, now faces significant internal contradictions and has diminished in effectiveness.
- Internal Discord: Deep divisions are apparent within BRICS, most notably between India and China. This internal conflict fundamentally undermines the group’s original aspiration to counter the Western order.
- Failure in Collective Defense: The ineffectiveness of BRICS was clearly demonstrated when members like Russia and China failed to offer meaningful open support to Iran during attacks by the US and Israel. Their lack of overt action was driven by individual national interests, such as Russia’s ongoing conflict and China’s trade dynamics with the US.
- Declining Appeal: Argentina’s decision to decline BRICS membership further highlights the forum’s decreasing attractiveness on the global stage.
- Russia’s Dependence on China: Russia’s actions, including the annexation of Crimea and the invasion of Ukraine, have pushed Moscow significantly closer to Beijing. This raises serious concerns about Russia’s traditional role as a balancing power for India against China in Asia.
- Prioritization of Bilateral Deals: Despite rhetoric about an “alternative global order,” key BRICS members, including Russia and China, are striking bilateral deals with Washington, showcasing their self-serving behavior.
- De-dollarization Ambiguity: While de-dollarization is discussed within BRICS, India has not overtly supported it due to potential trade disruption. However, India does engage in local currency trade with Russia.
- De-dollarization refers to the process by which countries reduce their reliance on the U.S. dollar in international trade, finance, and foreign exchange reserves. Example: Using local currencies or alternatives.
About Quad (Quadrilateral Security Dialogue)
- The Quad (Quadrilateral Security Dialogue) is a strategic group of India, the US, Japan, and Australia.
- It aims to ensure a free, open, and inclusive Indo-Pacific, focusing on maritime security, technology, climate, and disaster response.
- It is seen as a counter to China’s growing influence.
Challenges Within the Quad
The Quad, primarily established to contain China’s growing hegemony in the Indo-Pacific, is also encountering significant challenges.
- US “America First” Policy: President Donald Trump’s approach and his demand for allies like Australia and Japan to increase defense spending to 3 percent of GDP or more, are creating friction and distrust among allies.
- Undermining Security Alliances: Trump’s “trade first” strategy is threatening long-standing security alliances between the US and its Asian partners.
- US-China Rapprochement: Trump’s openness to pursuing “big beautiful deal” with China. along with improving US-China commercial ties, compels US allies to question Washington’s long-term Indo-Pacific strategy.
- US-Pakistan Engagement: Trump’s unexpected overtures to Pakistan have caused unease in India.
India’s Evolving Diplomatic Approach and National Interest
- India’s foreign policy has not progressed linearly over the past decade.
- Initial optimism regarding improved ties with China was quickly dispelled by border aggressions in Doklam and Galwan, demonstrating Beijing’s aggressive intentions.
- The growing power imbalance with China presents a long-term strategic challenge for India.
Way Forward
- Prioritizing Bilateral Engagement: India must focus more on bilateral engagements that directly serve national interests and prioritize substance over symbolism.
- Strengthening Domestic Foundations: India’s ability to project power internationally depends on internal strength and resilience. Accelerating economic reforms and restoring domestic political unity are critical.
- Reclaiming Regional Leadership: China is moving to fill the regional vacuum created by India’s troubled ties with Pakistan and Bangladesh, exploiting the dysfunction of SAARC.
- Beijing has already created an Indian Ocean forum of its own.
- It is consolidating its economic presence in Argentina, Brazil, Ghana, and Namibia
- India must reclaim its leadership role in South Asia without being hindered by an “inferiority complex” about being a “big brother.”
- Pragmatic Partnerships: Engagements with developing countries should focus on tangible cooperation in trade, technology, and defense, rather than ideological alignment.
Conclusion
At a time when new uncertainties envelop India’s relations with great powers as well as neighbours, India needs to focus on accelerating economic reforms at home, restoring domestic political unity, reclaiming the leadership of the Subcontinent, and strengthening ties with key developing nations.
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