By Kalyani Shankar
Following last week’s significant BRICS summit in Delhi, what are the next steps? The summit produced several recommendations that could help advance the BRICS agenda. It has positioned India to play a proactive role in shaping global governance, and the Modi government is likely to seize these opportunities to advocate for a multipolar world that includes emerging economies in decision-making.
The summit took place amid significant conflict in West Asia and the ongoing war between Russia and Ukraine. Trade and supply chains have been disrupted due to strained relations among key global players, with the US using trade and tariffs as tools.
During this important time, leaders from China (Xi Jinping), Russia (Vladimir Putin), Iran, South Africa, Abu Dhabi’s Crown Prince, and the presidents of Vietnam, Malaysia and the Indonesia met. The summit showed that countries with different interests can come together around a common goal that helps the Global South, even amid regional rivalries. This meeting occurred while there was significant conflict in West Asia and an ongoing war between Russia and Ukraine.
One of Modi’s most immediate priorities will be to strengthen trade agreements and economic partnerships with other BRICS nations—Brazil, Russia, China, and South Africa—while also exploring partnerships with other emerging economies. By fostering closer ties with these countries, India aims to diversify its trade relationships beyond traditional Western markets.
For India, ensuring an uninterrupted flow of foreign investment, especially in technology, manufacturing, and sustainable energy, will be critical to stimulating economic growth. Although India has come a long way since the 1991 foreign exchange crisis, it still needs foreign investment.
Recognising startups’ role in driving economic change, Modi’s administration aims to implement measures to build a robust entrepreneurial ecosystem. This may include simplifying regulations that hinder business development, offering financial incentives such as grants and subsidies, and establishing innovation hubs across the country. These initiatives aim not only to attract domestic and foreign investors but also to encourage homegrown talent to innovate, thereby creating jobs and stimulating local economies.
Modi might introduce a suite of structural reforms across sectors to improve India’s ease of doing business. These reforms could focus on regulatory reforms:
Enhancing infrastructure through increased public and private investments will be crucial. Improved roads, ports, and digital infrastructure will support business operations and attract foreign investments.
With a focused approach to technology, renewable energy, and sustainable practices, the government can offer incentives to attract investment. This may include tax breaks for green energy projects or support for technological advances across industries.
As climate change remains a major concern, Modi is likely to place significant emphasis on renewable energy initiatives after the summit. By committing to ambitious renewable energy targets, New Delhi aims high.
These initiatives may include investments in solar, wind, and other green technologies; fostering partnerships with other nations to drive innovation; and sharing technological advancements that can benefit developing countries in the Global South.
During the BRICS summit, a spotlight was shone on the issues faced by emerging economies, particularly those in the Global South. Modi is expected to strengthen India’s advocacy for policies that address climate change, poverty alleviation, and sustainable development. By rallying support from fellow BRICS countries and other emerging economies, India can work to create frameworks that promote collaboration on these challenges.
Alongside economic strategies, enhancing regional security will remain a key focus for Modi. Strengthening ties and security partnerships with neighbouring countries will be pivotal for ensuring stability in the region. This could include increased intelligence sharing, joint military exercises, and collaborative efforts to combat cross-border terrorism. Strengthening regional ties will not only raise India’s global profile but also foster trust and collaboration among neighbouring nations, aligning their collective interests.
India’s active participation in international forums will also be a priority. After the BRICS summit, Modi may engage in discussions at various multilateral platforms.
As India prepares for Assembly elections, it may take steps to reassure voters that their economic futures are secure. By highlighting investments in education, health infrastructure, and social welfare programs, Modi can appeal to a broad demographic. His government may also promote policies centred around green technology and environmental sustainability, showcasing a commitment to future generations.
Prime Minister Modi’s steps after the BRICS summit will be multifaceted and strategically aligned with India’s long-term goals. By prioritising economic revitalisation, fostering innovation, strengthening regional cooperation, and advocating for the Global South, India can strengthen its role as a vital player on the global stage. The coming months will be critical as Modi’s administration lays the groundwork for a more prosperous and influential India in a rapidly evolving multipolar world.
If India wants to remain one of the world’s fastest-growing economies over the next twenty years and become a leader in the Global South, it must engage actively with BRICS. (IPA Service)
