BRICS Expansion: New Members Could End US Dollar Dominance, Boost AI

The BRICS alliance, a powerful bloc of emerging economies, is experiencing a surge of interest with a reported 36 countries applying for membership in 2024. This development highlights the growing influence of the alliance and its potential to reshape the global economic landscape.

BRICS Attracts Developing Economies

South Africa’s Foreign Minister, Naledi Pandor, confirmed the applications from developing economies seeking to join the alliance. These countries view BRICS as a promising path towards economic transformation. A key driver of this interest is the alliance’s focus on de-dollarization, promoting local currencies for international transactions and reducing reliance on the US dollar.

Selective Expansion on the Horizon

While 36 countries have expressed interest, membership approval rests with the existing members. Potential members will need to meet specific criteria to gain entry. The alliance will carefully evaluate the economic and political value each applicant brings to the table. It’s likely that only a select few will receive invitations in 2024.

Saudi Arabia’s AI Ambitions and Potential BRICS Entry

Saudi Arabia, a potential new member, recently announced a massive $40 billion investment in Artificial Intelligence (AI). This ambitious plan positions them as a major player in the booming AI sector, potentially challenging the US’s current dominance. Saudi Arabia’s potential dual membership in the alliance and leadership in AI could create a powerful economic and technological force.

Weighing the Benefits: Saudi Arabia Considers BRICS Offer

Saudi Arabia is currently examining the invitation to join the alliance. Membership could provide them with access to funding to support de-dollarization efforts, while also offering a platform to collaborate on AI development with other members. However, some analysts believe BRICS needs Saudi Arabia more than vice versa, given the potential financial and technological contributions the Kingdom could bring.

Conclusion

The surge in applications for BRICS membership reflects the growing importance of the alliance in the global economic landscape. With a potential influx of new members and Saudi Arabia’s AI ambitions, the alliance is poised to play a significant role in shaping the future of international trade, finance, and technology.

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