New geography of development: BRICS leaders discuss future of global economy

BRICS leaders and ministry representatives addressed the group’s Business Forum on the eve of the summit in New Delhi. They discussed the role of member states in shaping a new model of global development and emphasised the need to strengthen trade links, develop industrial cooperation, attract investment and expand the use of digital technologies.

Brazil’s Foreign Minister, Mauro Vieira, highlighted the far-reaching transformations in the global system resulting from the growth of the Global South. According to the minister, since 1960, the share of low- and middle-income countries in global GDP has risen from 20 per cent to over 50 per cent.

Vieira emphasised that strengthening ties between the manufacturing sectors of the group’s member states is of particular importance and highlighted Brazil’s commitment to economic openness and the diversification of partnerships.

"Within the BRICS framework, our trade with member countries accounts for more than a third of Brazil’s total foreign trade. In 2024, Brazil implemented its most far-reaching tax reform to date, aimed at simplifying the system and bringing it into line with modern international practices. In 2025, Brazil became the world’s third-largest recipient of foreign direct investment, attracting over US$77 billion,” he noted.

The minister highlighted the participation in the forum of senior executives from more than 15 major Brazilian companies. According to him, the economies of the group possess complementary strengths and are uniquely positioned to spearhead the creation of a new development model based on sustainable agriculture, advanced manufacturing, renewable energy, the bioeconomy, and artificial intelligence.

Iranian President Masoud Pezeshkian stated that the true strength of BRICS is realised when the capabilities of the member countries are transformed into a network of trade links, investment cooperation and joint financing.

"To expand trade within BRICS, we must move from fragmented cooperation to the gradual integration of trade infrastructure. Of particular importance are the digitalisation and integration of customs procedures, the reduction of regulatory barriers, the development of cross-border markets and joint private-sector investment. We also propose strengthening cooperation in the field of standardisation so that BRICS can transform from a market for the exchange of raw materials into a network of production chains and joint industrial production," he said.

Pezeshkian highlighted the need to expand the use of national currencies in mutual trade and to establish mechanisms for managing currency risks. According to him, the New Development Bank should become the main instrument for financing infrastructure and energy projects through special credit lines and guarantee instruments designed to attract private capital.

A separate proposal from Iran is the creation of a joint BRICS reinsurance company with an initial capital of US$10 billion to provide insurance cover for the risks associated with major infrastructure and energy projects.

"BRICS will become a real force in the global economy when our cooperation is reflected in concrete contracts, factories, ports and the day-to-day economic life of the peoples of the member countries," concluded Pezeshkian, reaffirming Iran’s readiness to work alongside all members of the group to create a more open, sustainable and equitable economy.

South African President Cyril Ramaphosa emphasised that developing economies had long participated in global supply chains primarily as suppliers of raw materials, whilst value addition remained in other regions. In his view, this model must not be replicated within the expanded BRICS.

"We must deepen the production links between our economies. [...] We must channel investment into the development of manufacturing, the processing of raw materials and the creation of added value for products extracted in our countries," said the South African President.

Ramaphosa called for the development of industrial technologies, energy systems, infrastructure and logistics, and urged companies to invest not only to gain access to markets but also to build production capacity and local expertise.

According to Russian President Vladimir Putin, a strong economic partnership and reliable business ties form the basis of international relations and enable the overcoming of crises. He cited objective data: over the past five years, the BRICS states have accounted for more than 40 per cent of global GDP. The countries of the group have contributed almost half of global economic growth over the same period.

"Our common task is to realise the potential of BRICS for the benefit of our countries and our peoples. We must strengthen the mechanisms of practical business cooperation – so-called 'business diplomacy' – so that companies and entrepreneurs find it easier to find partners, make payments, transport goods and invest in our countries. [...] We are not working against anyone in particular. We are working for ourselves, for our own interests, but we are ready to cooperate with all our partners," the Russian head of state concluded.

He added that a National Committee for BRICS Business Cooperation had been set up to step up efforts and that a new investment platform had been proposed to attract private funding for infrastructure and technology.

Indian Prime Minister Narendra Modi stated that the country is committed to reducing trade barriers and creating new business opportunities. According to him, during India’s BRICS Chairship, new mechanisms for cooperation were established in areas such as agriculture, healthcare, skills development, and smart energy grids.

"Since 2014, we have concluded free trade agreements with nearly 40 countries. Our approach remains focused on reducing barriers and expanding opportunities for business. [...] In order to connect start-ups and small and medium-sized enterprises with markets and finance, we have launched initiatives such as the BRICS Business Incubator, the BRICS MSME Cooperation Portal and the BRICS Startup Innovation Fund. You can utilise these cooperation mechanisms to expand the exchange of investment and talent between our countries," said Modi.

The Prime Minister paid particular attention to India’s digital infrastructure. According to him, the UPI fast payment system has significantly expanded opportunities for financial inclusion and digital transactions.