Chris Devonshire-Ellis BRICS Interview On Newsweek
Discusses BRICS expansion and US sanctions
Chris Devonshire-Ellis, the Chairman of Dezan Shira & Associates, has been interviewed by Newsweek as concerns the current status of the developing BRICS grouping, the Global South and the impact on the United States. Some of his comments appeared in an article titled “BRICS Is Evolving from China-Russia Dream to Potential U.S. Nightmare” here.
That was truncated from the initial Newsweek Q&A, which to place matters into a wider context we duplicate below:
Newsweek: “What do you think are the top factors driving interest in BRICS, especially across the Global South, and what effects could this expansion have on the global economic order over time?”
CDE: “The main drivers are to do with an overall belief that the United States has become both unreliable and overbearing in its foreign policy. Unreliability such as issues concerning the recent US debt ceiling – which has only been pushed back to 2025 – and the risks of sanctions. Overbearing in that it has used international mechanisms to punish countries it doesn’t agree with (cutting countries off SWIFT) and has appeared to use the G7 as an economic ‘gang’ to support and justify what it does elsewhere.
Other countries are starting to become concerned at this type of behaviour: unsustainable debt levels and the imposition of a ‘rules based order’ and global economics that only appear to service the US and its immediate allis – at the expense of everybody else. Simply put, numerous global leaders from Africa, Latin America, Central Asia and the Middle East, as well as China and Russia have stopped believing in the United States as a responsible global leader.
Consequently, they are looking for a global trade alternative that can function without Western based politics or trade systems such as the US dollar, SWIFT or be subject to US sanctions or tariffs impositions. Western media suggests otherwise but outside of this, people are losing confidence in the entire US based trade, finance and involvement in international institutions. They feel a re-balancing is necessary and are instigating this to change the global structure to a more sustainable model.”
Newsweek: “The U.S. has long expressed skepticism toward BRICS, but there has been increased backlash in Washington as partners such as Brazil, India, South Africa and most recently Saudi Arabia discuss alternatives to the Western-led financial order. Does this pose a challenge to the U.S. ability to assert its influence and interests abroad, especially in the Global South and particularly as we see such heightened levels of sanctions being levied around the world?”
CDE: “Absolutely. In fact, it’s not just the BRICS – which also has another 13 countries who have expressed interest in joining – but also other organisations such as the Eurasian Economic Union, a regional free trade bloc, and the Shanghai Cooperation Organisation which now has 25 countries as members or dialogue partners, including Turkey, a NATO member. There are increasing calls to expand integration between the BRICS, EAEU and SCO and discussions are on-going about achieving this.
If that happens, this will create a new grouping that would create an entity with a GDP 30% larger than the United States, over 50% of the global population and in control of 60% of global gas reserves. That would usher in an alternative to the United States in terms of a global ‘rules-based order’. Significant partners in Latin America, Africa and the Middle East are also largely on board with this concept. While it may not be so apparent now, this move is occurring and is likely to speed up. Any default by the US on its next scheduled debt ceiling rise at the end of 2024 – just 18 months from now – would completely change the global position.”
Chris Devonshire-Ellis can be reached via asia@dezshira.com
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