Asian-Pacific countries are racing for the historic ascension unto BRICS+ (Brazil, Russia, India, China and South Africa), but Indonesia has categorically declined to broker its bid to join the association. As an association of emerging-market economies, it was established initially as RIC (Russia, India and China) almost two decades ago, in 2015, and was later enlarged with Brazil and South Africa. At the South African summit held in August 2023, the association witnessed the second wave of expansion with five more members: include Iran, Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates.
Under Russia’s presidency, BRICS+ has attracted world-wide more than 30 countries with highly-potential interest which would enhance its geopolitical standing and expand its economic influence, especially in non-western markets in Asia-Pacific, Africa and Latin America. Most importantly, BRICS+ is leveraging its geopolitical position to influence global affairs and pursuing a more balanced and diversified foreign policy. Some experts say, Russia is capitalizing on BRICS+ for its remote goals of fighting isolation and against western hegemony.
As far back as 2012, Indonesia’s interest in becoming at that time the newest member of BRICS was unswerving, even with wide-ranging debates on the future and efficacy of South-South groupings. In 2012, Indonesia’s development statistics made the country a shoe-in for membership: it had the largest economy in southeast Asia and was a demographic giant with a population of 248 million people, making it the fourth most populous country in the world, ahead of even Brazil and Russia. China and India were still incomparable a decade ago.
In terms of South-South cooperation, and in light of a redefined system of North-South dialogue within a gradually more multipolar world, Indonesia has its place among the top categories of states influencing how transnational global world develops. Furthermore, given the country’s pragmatic foreign policy practices and long-term cooperation with countries of the region and beyond, Indonesia could strengthen the common voice of emerging economies via BRICS. With the potential entrance of Indonesia, BRICS would then need to redefine, or rather refine its status as (possibly) one of the most important inter-regional groupings of countries of the Global South.
Another significant issue is the investment sector, on which developing or emerging economies rely heavily. Foreign Direct Investment (FDI) into Indonesia, and Indonesian FDI flown into other, less strong economies across southeast Asia and beyond, could be further encouraged by BRICS membership, which would facilitate better trans-regional cooperation.
For instance, it could pave the way for increased South-South cooperation in Africa, with a more substantial Indonesian role in project generation and financing. In addition to China’s and India’s growing presence and involvement in the African continent, Indonesia could play (a bigger role), particularly if we (acknowledge) the growing amount of official development assistance (ODA) emerging economies have granted Africa.
Its domestic market is huge and the current economic boom can be attributed to its political stability and sound economic and monetary policies, which have attracted consistent FDI. In short, Indonesia is an economic power to be (reckoned) with and its decision to join the BRICS could have a huge impact in terms of the body’s credibility. Indonesian membership will definitely solidify BRICS capital composition, and also bring on board extraordinary fiscal capability.
On the one hand, Russia is set to re-emerge as a strong global power with a dominant role in central and western Asia, along with India and China. But India needs to sort out its internal rifts and neighbourhood problems first, while China is becoming a strong force to reckon with in Asia, Africa and Europe. China is definitely the (primary) growth-engine of Asia and is stepping up its influence in the global economy to match its ambitions.
Indonesia, on the other hand, is more comfortably clustered with South Africa and Brazil as a regional power and an economic anchor-country for the southeast Asian region, but lesser on a wider global scale. Another possibility is the re-emergence of a politically stronger ASEAN, now that Burma (Myanmar) is opening up to its neighbours. In this context, the MIST countries – Malaysia, Indonesia, Singapore and Thailand – will become more relevant, if they can overcome their internal problems and play the regional integration card.
On the eve of the Kazan’s BRICS Summit, a new report said that Indonesia would likely decided on joining BRICS only in the next government term. According to the report, Indonesian Foreign Affairs Minister Retno Marsudi announced that the decision regarding the country’s potential membership in the BRICS economic bloc would be made during the next government term under President-elect Prabowo Subianto.
“The decision will be made by the next government, but we will continue to provide inputs on BRICS to the President-elect,” Marsudi stated during a working meeting with the House of Representatives at the parliament complex, News.Az reports citing foreign media. Marsudi said she had spoken to Prabowo about BRICS shortly after being announced as the winner of the 2024 Presidential Election. “Not long after the President-elect was determined, I had the opportunity to talk with Mr. Prabowo, and I briefed him about BRICS,” she remarked.
She explained that Indonesia’s visibility to become a member of BRICS depends on the economic benefits that can be derived from joining the alliance. “Because BRICS is an organization for economic purposes. Therefore, we will try to see from the economic side first whether the benefits are there so we can decide (on whether) to join BRICS,” the foreign minister explained.
An interesting new term is currently used to describe BRICS, referring to it as forming part of global majority. Some say its simply non-western association whose majority members are located in the Global South. Collectively, BRICS association already incorporates some 45% of the world population, while its trade turnover and share in the global economy has been growing steadily.
South Africa Summit reports indicated that Indonesia was given an invitation to join BRICS during the 15th BRICS Summit held in Johannesburg, South Africa, on August 22-24, 2023. Geographically located in Southeast Asia and Oceania, between the Indian and Pacific oceans, Indonesia is classified as a newly industrialized country, with its economy the world’s 16th-largest by nominal Gross Domestic Product (GDP) and is considered a middle power in global affairs. In addition, Indonesia is a member of several multilateral organizations, including the United Nations, World Trade Organization, G20, and a founding member of the Non-Aligned Movement, Association of Southeast Asian Nations, East Asia Summit, D-8, APEC, and the Organization of Islamic Cooperation.