Who’s Really Isolated? Iran Set To Join BRICS Bank, Strengthen Ties With Brazil

 

As US hegemony wanes in the face of dysfunctional domestic politics, foreign policy confusion, and a “lead from behind” mentality, the world has begun to transition towards a kind of new world order both politically and economically.

On the geopolitical front, we’ve seen a resurgent Russia take charge in Syria after the situation spiraled out of control, leaving hundreds of thousands dead and creating the worst migrant crisis in Europe’s history.

On the economic front, the BRICS nations have embarked on a series of projects designed to supplant the US-led multinational institutions that have dominated the post-war world.

​‘BRICS system’ – healthy alternative to ‘defunct dollar system’

The BRICS Bank marks a major step to de-dollarization, and a new monetary system. It should replace the Western-dominated “predatory casino scheme” that has contributed to world wars and “economic terrorism,” says former World Bank economist Peter Koenig.

“A ‘BRICS system’ would offer a healthy alternative to the highly indebted and defunct dollar system, where money is printed at will,” Koenig said in an interview with Asam Ismi of the Canadian Centre for Policy Alternatives.

A ‘BRICS system’ should be based on a new currency, which Koenig called ‘Bricso.’

Putin Signs Secret Pact to Crush NATO

Today everyone sees BRICS, but they do not see the SCO or know what purpose it serves. As the article states, it is Russia and China’s answer to the West. Moreover, it is a world-wide war axis. Over the years it has been playing it cool as to not arouse suspicion, however the military relationships are increasing and becoming more deep as larger war games and military exercises are being held. China recently hosted its largest drill ever under the SCO banner.

Militarily, this is the brass knuckle added to Russia and China’s ‘One Clenched Fist’. However, America pays no mind and continues buying New Lies for Old while suicidally disarming.

 

Back on September 11 and 12, there was a summit meeting in a city that involved an organization that most Americans have never heard of. Mainstream media coverage was all but nonexistent.

The place was Dushanbe, the capital of Tajikistan, a country few Westerners could correctly place on a map.

But you can bet your last ruble that Vladimir Putin knows exactly where Tajikistan is. Because the group that met there is the Russian president’s baby. It’s the Shanghai Cooperation Organization (SCO), consisting of six member states: Russia, China, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan.

The SCO was founded in 2001, ostensibly to collectively oppose extremism and enhance border security. But its real reason for being is larger. Putin sees it in a broad context, as a counterweight to NATO (a position that the SCO doesn’t deny, by the way). Its official stance may be to pledge nonalignment, nonconfrontation, and noninterference in other countries’ affairs, but—pointedly—the members do conduct joint military exercises.

BRICS nations could rival US in global influence

The rise of the BRICS countries–Brazil, Russia, India, China and South Africa–may challenge the world order and lead to the end of US domination.

The five countries set up the New Development Bank during a recent summit in Brazil, which offers an alternative to the US-led International Monetary Fund and the World Bank.

The five countries participating in the economic cooperation forum are likely to deepen their cooperation in various fields, which may rival the dominance of the United States and G7 countries in the world.

The BRICS countries will also increase their sway if they can improve their governance, considering the fact that they account for 42% of the global population and their GDP and trade volume each make up for about 20% of the world’s total.

BRICS shake up global economic architecture

By creating their own multilateral financial institutions, the BRICS emerging-market powers are shaking up global economic governance but remain far from dismantling the post-war system dominated by the West.

For the past 70 years, the International Monetary Fund and the World Bank have been the pillars of the world’s economic system, coming to the rescue of countries in trouble and supporting development projects, respectively.

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China, the world’s second-largest economy, continues to have just slightly more voting power in the IMF than Italy, about five times smaller.

And, since their creation in 1944, the IMF and the World Bank have only been led by Americans and Europeans.

BRICS nations likely to announce setting up of $100-billion fund at fifth summit in Brazil

NEW DELHI: The BRICS nations are likely to formally announce the setting up of a $100-billion fund, which will help member countries tide over a current account deficit crisis, at their fifth summit next week in Brazil.

China will be the largest donor to this fund and is expected to contribute around $41 billion. India, Russia and Brazil will contribute $18 billion each with South Africa bringing in the remaining $5 billion. Typically, these contributions are in the form of commitments and no actual fund flow happens until the money is required.

Russian President Vladimir Putin had last year spoken about creating a $100-billion fund to steady currency markets at a meeting of BRICS leaders. This fund is in addition to the development bank, the other important part of the evolving BRICS financial architecture, which is expected to be formally launched through a treaty next week in Brazil.