India, as a principal member of the BRICS alliance, has clearly articulated its disapproval of Pakistan's potential membership into the group. This stance brings a new level of complexity to the intricate geopolitical environment, compounded by the historical relationship between India and Pakistan, fraught with conflict since their 1947 separation. India's position stems from its qualms about Pakistan's alleged endorsement of cross-border terrorism, a claim persistently refuted by Islamabad, yet still affects bilateral relations.
India's Firm Stand on Pakistan's Inclusion
It's apparent that India is proactively attempting to prevent Pakistan's inclusion into the BRICS alliance. It's evident that the Indian government is making every possible effort to ensure that Pakistan is not incorporated into the BRICS framework. An Indian government official, requesting to remain unnamed, made the government's stance clear: India will dispute Pakistan's attempt to join BRICS. The reasoning? BRICS constitutes emerging market economies, not an assembly of every nation. This reflects ingenuity in preserving the alliance's economic focus, lightly implying that the addition of Pakistan could potentially disrupt this core focus.
The Indian official noted his reservations about Pakistan's likely benefits, or shortfall, to the BRICS alliance. The official assessed that Pakistan's inclusion could likely introduce complex political scenarios that outweigh its economic contributions. He emphasized that the BRICS forums ordinarily refrain from engaging in bilateral concerns. Adding new members to BRICS is a consensus-based process, but India feels assured about its potential to sway the decision favorably.
Implications on Global Relations
India's calculated approach within BRICS embodies a broader strategy in its global economic framework. Recently, India initiated an effort to encourage 22 countries to adopt the Rupee for international commerce, striving to minimize reliance on the US dollar. However, the realities of international finance prove to be a formidable challenge. A notable proportion of these countries, spanning Asia, Africa, and Latin America, are now expressing reluctance to hold the Rupee in their reserves. Worries arise from the Rupee's depreciatory trend against the US dollar, provoking doubts about its feasibility as a reserve currency.
India faced a setback recently concerning Russia, a fellow BRICS member. Trade of oil with India was momentarily halted by Russia due to payment disputes, specifically India's unwillingness to adopt the Chinese Yuan for settlements. Russia's insistence on payments in either the US dollar, the Chinese Yuan, or a combination of both, puts India in a difficult position, especially considering its unwillingness to utilize the Chinese currency. This stalemate has resulted in a pause in crude oil supplies, hinting at possible fractures in the BRICS image of unity.
The Indian government's proposed solution to conduct payments using UAE's Dirhams in place of the Yuan was not well-received by Russia. This impasse brings to light the intricate nature of international trade discussions and currency shifts, particularly within a coalition aiming to challenge the established economic standards dictated by Western currencies like BRICS.
In conclusion, the ongoing issue of Pakistan's bid for BRICS membership, complicated by India's staunch resistance, symbolizes more than mere bilateral disagreements. It illustrates the multifaceted interaction of regional politics, global economic ambitions, and changing international alliances. As BRICS continues developing its position as a formidable global entity, group dynamics will be closely scrutinized for their economic consequences and geopolitical implications.
