It is not surprising that the BRICS+ formation will usher in a new economic order if the group of seven (G7) does not pull up its socks, as the
group’s expansion presents new economic opportunities for developing countries.

There is no doubt that the establishment of the BRICS (originally Brazil, Russia, India, China and South Africa) represented a major step forward in the long-term process of member countries’ integration, both politically and economically.

To quicken the pace of national development, countries can form political, social and economic alliances. According to projections for 2023, the BRICS+ countries account for 46% of the global population. IMF estimates indicate that by 2026, the G7 will account for 29% of
global GDP, while BRICS+ will make up 38%. Therefore, a revolutionary change in the world order has been subtly taking place, even as all eyes are on the wars raging in the Middle East and Eastern Europe, as well as the growing number of armed conflicts between the world’s superpowers.

Large emerging nations are
beginning to build institutions that challenge Western-led organisations and are beginning to exert more influence over international economic matters.
In addition to the five permanent members, the grouping also comprises five new members (Egypt, Ethiopia, Iran, Saudi Arabia, and the United
Arab Emirates) who were invited or joined in January 2024. When taken as a whole, these 10 countries produce
and export about 40% of all crude oil.

Furthermore, they make up almost half of the world’s population, 25% of the global GDP, and 25% of the global goods trade. The bloc would now account for one-third of the world’s GDP if the 12 additional countries that have applied for membership, among
them several dynamic emerging markets like Bangladesh, Vietnam and Thailand, are admitted. Thus, G7 will have to put in a lot of work, or else the BRICS will take their place in 10 to 15 years.

Remarkably, Türkiye has applied to join BRICS, a group of countries that offer potential economic benefits without requiring major political or financial commitments. As mentioned by the country, Türkiye has begun looking into alternative economic platforms as a result of the present deadlock in the EU accession process.
They emphasised that seeing BRICS as an additional channel for economic cooperation rather than as a replacement for the EU or NATO was important. Hence, there is now more intra-BRICS trade intensity because trade in goods between BRICS economies has significantly outpaced trade between BRICS
and G7 countries. Many of these economies now carry significantlymore weight in the global economy as producers and consumers because of decades of rapid growth. These countries can form another alliance that is less reliant on the West since many of them are involved with
both China, which is viewed as an economic and trade superpower, and advanced economies.

What’s in it for Namibia?

Strategic alliances and partnerships are essential for promoting growth and prosperity for both businesses and nations in the dynamic global economy. With great potential for promoting economic cooperation and mutual benefits, the BRICS alliance is an important alliance of emerging economies. Interacting with the BRICS can create new opportunities for growth, expansion and access to global markets for small nations like Namibia and Namibian businesses. Hence, there is no doubt that BRICS will benefit Namibia. The potential integration comes at an opportune time when Namibia is in the process of implementing
the Sixth National Development Plan (NDP 6) and structural reforms to make our economy globally competitive, reduce the cost of doing business, attract investment, and stimulate economic growth.

Namibia can expand its market access, stimulate industrialisation and amplify its contribution to BRICS+ through harmonised trade policies and market integration. Namibia’s role within proximity to the BRICS network is
not merely symbolic; it presents an opportunity
for the nation to assert its presence on the global stage, and contribute to reshaping the economic dynamics of emerging economies. By fostering economic stability, investing in infrastructure, empowering human capital, promoting exports
and aligning regional and multilateral efforts, Namibia can carve a niche within BRICS that is both impactful and mutually beneficial. As Namibia embarks on this transformative journey, all stakeholders with an interest in the country must recognise the immense potential of collaborative action, and work collectively to position the nation as a driving force within the BRICS consortium.

Hence, this requires comprehensive and dynamic efforts that bolster Namibia’s export market access and diversify its markets to new regions and new products, while also strengthening regional trade. BRICS will serve as a source of growth that Namibia cannot afford to ignore.

Should Namibia become a member, it would also attract investments from
other nations, including China and India, which are still major players in the world economy.
Simply by being a member of BRIC+, China has
also been commended for the Belt and Road Initiative, which has the potential to accelerate economic growth and development.

US-Namibia relations 

Under the African Growth and Opportunity Act (AGOA), Namibia may lose its preferred access to American markets. Namibia’s economy would suffer from the loss or reduction of access to US trade benefits under the Agoa. Under the AGOA programme, Namibia can export more than 6 400 goods to the US tariff-free. Economic setbacks for the country could result from decreased trade opportunities, foreign direct investment and economic aid. The challenge for Namibia is to clearly define and persistently pursue its own interests.

Moreover, it is beyond any doubt that the introduction of the New Development Bank BRICS implied a very important step forward in the long process of ending the dominance of the World Bank and the International Monetary Fund. The introduction of BRICS single currency will halt the use of other currencies. Even though it is unlikely that the US dollar won’t be dethroned as the world’s reserve currency any time soon, I caution the world to be ready when the time comes. The availability of alternatives in currency and new technologies, combined with the concerted actions among adversaries and allies alike to establish non-dollar–based alternative infrastructures and international financial arrangements.

To this end, Namibia can’t afford to back out of the BRICS alliance. Global investment, trade and economic growth are significantly influenced by these nations.

Thus, the BRICS nations have the potential
to be major actors in international affairs, stabilising the world economy and promoting international stability.

*Josef Kefas Sheehama is an independent economic and business researcher.