Comment About the Delhi Declaration

Comment About the Delhi Declaration

Today’s world economy is facing the huge risk of economic policies’ adjustment in the developed countries. In the Delhi Declaration, the leaders of BRICS paid attention to the uncertainty of world economic growth, in particular, worried about the negative impact of European sovereign debt crisis and the fiscal restructure of troubled countries in euro zone. They pressed that the developed countries reduce their economic policies’ spillover effect in order to play a responsible role in international community.

The BRICS was critical of the governance reforms in IMF, and specially complained that, not only the unreasonable quota formula, but also the slow pace of quota adjustment. Of course, it has come to light that the major developed economies have been the preventer of further reforms. The BRICS emphasized again that they would like to increase the financial resources of IMF and the voice and representation of emerging countries in IMF in order to advance IMF’s legitimacy and prestige to tackle global common challenge.

Traditionally, somebody from developing countries could not been chosen as the leaders of international financial organizations. The BRICS sorely dissatisfied that European and American have monopolized the heads of IMF and World Bank for long time. So, they claimed that international community should choose the leaders of multilateral institution based on the open principle and candidatures’ merit in order to promote the equal cooperation with all members.

The fair and reasonable global governance should consist of several or many layers. The leaders of BRICS believed that setting up a new Development Bank to support the sustainable development in the emerging economies is an essential supplement to the existing mechanism. Understandably, they intended to create a new channel to enhance the BRICS’ independence in dealing with global issue.

The BRICS deeply recognize the significance to take pragmatic steps to promote the bilateral cooperation in trade, investment and financial fields. So, they determined to initiate the regular consultation mechanism among their Trade Ministers, EXIM/Development Banks, and Central Bank. In addition, they hope to strengthen cooperation in capital market such as setting up of BRICS Exchange Alliance. Also, the BRICS hope to reform the UN and to improve its efficiencies so that the UN can play a central role in dealing with global challenges and threats. Meanwhile, China and Russia support Brazil, India and South Africa to play a greater role in the UN.

All in all, the Delhi Declaration of BRICS actively focused on the hot points in today’ international issue. It was rich in content and embodied an equal, cooperative and harmonious relationship among BRICS.

This article is  published in Expresso: http://expresso.sapo.pt/brics-um-plano-de-acao-de-reforco-do-poder-do-grupo=f717125;

Administradores.com.br:http://www.administradores.com.br/informe-se/artigos/o-que-saiu-da-cimeira-dos-brics-de-nova-deli/62638/)