Ebrahim Patel, South Africa's Minister of Trade and Industry, has highlighted the profound implications of the announced expansion of the BRICS family, which has ignited optimism and expectations for increased job opportunities, investment, and economic growth within the bloc and beyond.
With the addition of six new members – Argentina, Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates – BRICS now has a larger population, an expanded market and better investment opportunities, the South African minister said.
"What we have now is a bigger number of people, a bigger market, a bigger investable capability, and that will mean that BRICS' weight in the global economy has clearly increased," Patel said in response to a Sputnik Africa question on the sidelines of the 15th BRICS summit on Thursday. "Our job now is to ensure that out of the combined BRICS membership, we're able to ensure value to every BRICS member."
Patel added that the integration of these six countries strengthens the connections among the economies of the South, forging a game-changing alliance.
He explained that the collective resources, including abundant raw materials, substantial capital and technology, and a large labor force, create tremendous opportunities for growth and development.
"Within all of those economies, you've got enormous resources of raw materials. You have huge, fulsome capital and technology. You've got a large labor force. More than 45% of the world's labor force is now in BRICS. Those are important opportunities that BRICS can play to ensure growth in the global economy," the minister said.
Minister Patel underscored that the increased growth generates a higher aggregate demand, creating opportunities for countries beyond BRICS to export their products into member nations. This symbiotic relationship fosters economic development and improved living standards for people across the globe.
"When BRICS does well, the global economy, too, gets a dividend in increasing growth because with growth it goes increased aggregate demand. We suck in products from other parts outside the BRICS family, and that is good timing for citizens all over the world," the South African official concluded.
On August 22-24, the leaders of the BRICS countries, as well as other leaders of friendly countries interested in joining the five-nation economic bloc, gathered in the South African city of Johannesburg for the 15th BRICS Summit.
Six countries, namely Egypt, Ethiopia, Argentina, Iran, Saudi Arabia and the United Arab Emirates have been approved to become full members of BRICS effective January 1, 2024.