BRICS - hip hooray

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Anonymous (not verified)
BRICS - hip hooray

Brics summit of emerging nations to explore bank plan

The main emerging economies have met in the Indian capital, Delhi, to look at ways of strengthening their position against Europe and the United States.

Brazil, Russia, China, India and South Africa (the Brics group) are proposing an alternative to the World Bank.

Leaders of the five nations, which now account for nearly 28% of the global economy, discussed closer trade links.

In their joint Delhi Declaration, they also said dialogue was the only route to lasting solutions in Syria and Iran.

The summit was held amid Tibetan protests aimed at China's president.

Hu Jintao joined other Brics leaders for the fourth meeting of the bloc of emerging economies. On Wednesday, a Tibetan activist died in Delhi after setting himself on fire two days earlier in protest at Mr Hu's visit.

Brics nations' share of the global economy has risen fast in recent years and is expected to continue to grow. Correspondents say they are also growing in diplomatic clout.

"The Brics countries have agreed to examine in greater detail a proposal to set up a South-South development bank, funded and managed by the Brics and other developing countries," Mr Singh later said.

The Delhi Declaration expressed concern over the current global economic situation, especially in the euro zone.

It said the Brics nations were ready to work with the international community to ensure that the world economy was taken forward, and Europe was given the necessary assistance so it could help itself. (It already did at the expense of the poor natives)

The meeting also agreed to expand the capital base of the World Bank and other multilateral institutions to ensure global economic stability.

But, Mr Singh said that "institutions of global political and economic governance created more than six decades ago have not kept pace with the changing world" and that developing countries needed access to capital.

The five nations, in their closing statement, voiced concern about slow reforms and called on the International Monetary Fund to make its surveillance framework "more integrated and even-handed".
'Unjust policies'

The countries also resolved "to promote greater interaction among the business communities of Brics nations and easier visa facilities for businessmen".

Mr Singh said the Brics group must speak with one voice on important issues such as reform of the UN Security Council.

President Hu said Brics nations should "enhance co-operation and intensify communication in international trade".

Brazil's Dilma Rousseff said the Brics had become "the most important engines of the world economy in the past few years. Together, we will be responsible for more than half of the foreseen growth for 2012, 56% according to the IMF".

She blamed the developed world for hindering other nations with "unjust" monetary policies.

Correspondents say the joint development bank is expected to be established along the lines of the World Bank and Asian Development Bank, offering funding outside the current global financial system.

The Brics leaders also discussed the volatile situation in Syria and Iran and stressed the "vital importance that stability, peace and security of the Middle East and North Africa holds for the international community".

"We call for an immediate end to all violence and violations of human rights" in Syria, the declaration said adding that "the situation concerning Iran cannot be allowed to escalate into conflict, the disastrous consequences of which will be in no one's interest".

The Brics nations have radically different economies and political systems and have often struggled to find common ground in the past.

But, they have been looking at ways to increase their trade links and decrease dependency on Europe and the United States.

kaibo888 (not verified)

30 Mar, 2012, 05.52AM IST, ET Bureau
Brics summit: Not just talks, but serious economic integration

The leaders of Brics nations have adopted the idea - put forward in this column - of conducting trade between the five nations in their own currencies. Two agreements, signed among the development banks of Brazil, Russia, India, China and South Africa, say that local currency loans will be made available for trade between these countries.

With five fast-growing nations participating in local currency trade, it is unlikely that the system will fall into the rupee-rouble rut into which Indo-Soviet trade sank in the 1980s. It will allow participants to diversify their foreign exchange portfolios, hedging against movements in, say, the dollar. Higher intra-Brics trade, conducted in our own currencies will shield our economies from disruptions in the west.

How will the exchange rates between these five currencies be determined? In the short run, it will be determined by the rates at which these trade against liquid currencies like the dollar. But if the dollar peg is to be truly broken, then the Brics currencies will have to trade amongst themselves vigorously, creating an intra-Brics currency market which will set rates.

This will deepen demand for our currencies and spur further opening up of our trade and investment systems. With this, the annual Brics meeting evolves from an occasion for polite shop talk, to a forum to link our growing economic clout to global policy interventions. The group, which accounts for half of humanity and a fifth of the world's trade volumes, is now taken seriously by many.

Now, Brics is showing that it is prepared to take itself seriously as well. Brics has a take on relations with nations like Iran and Syria, which is very different from western perceptions. India, for example, imports vast quantities of oil from Iran. Recent US-European sanctions have made it tough to pay for these imports.

Hawkish talk on Iran and Syria has driven up oil prices, a drag on the growth of oil importers like China and India. It is necessary to speak against the bullying of Iran, but also to reduce our dependence on west Asian crude. Cooperation with energy-surplus Russia will help.

kaibo888 (not verified)
Warren Bevan on the USD

Fundamental Review
We’re seeing more and more evidence of a move towards skirting the US Dollar in trade, especially throughout Asia. It’s only a matter of time now until the US Dollar reaches the next step in it’s lifecycle and that is the loss of the it’s status as the worlds major reserve currency.
Australia and China have agreed to a $30 billion currency swap to facilitate trade between the two countries in they own currencies, not the US dollar. This follows a recent similar move by China and Japan.
The US dollar is going to be used less and less as time goes on and it’s value continues to deteriorate. It’s a certainty that the US dollar will continue to depreciate as more and more dollars are printed as the US goes further and further into debt with no chance of ever paying it off, ever!
China will be the dominant world power in terms of money, it’s just a matter of time and they are taking the right steps towards that by stockpiling real goods like commodities and oil along with securing financial and mining arrangement throughout the world and slowly loosening their monetary stance. Al being done peacefully thus far.
Nothing against the US, it’s just a cyclical trend that happens over and over again as history unfolds. No country can remain the monetary power forever and the sooner we all study and understand this the better we can prepare for the change.
Physical gold and silver are a key factor in prospering during this slow change.
Norway sees this as well and is restructuring their sovereign wealth fund to take advantage of it. They are cutting exposure to Europe as they have much of the same issues as the US, and focusing on emerging countries along with the Asia-Pacific region.
South Korea has also reduced US dollar reserves in favour of increases in Australian and Chinese currencies. There is definitely a trend here and I assure you the big players are following suit or even leading the central banks as in the case of the legendary Jim Rogers who now lives in Singapore. He also happens to be very keen on silver.
To finish it all off South Africa is also endorsing the Chinese Renminbi and planning on using it for bilateral trade between the two countries.
The world is indeed shifting gears away from the US dollar.

Last seen: 16 hours 29 min ago
Joined: 11/14/2010 - 12:00

For a number of reasons, your post here is simply ridiculous. Utter nonsense. Possibly, some time in the future, what you seem to want could happen, but give me a break on equating any currency with the power of the dollar. Especially the Chinese Renminbi./jimo

kaibo888 (not verified)

Those posts are not my thoughts ... they are a collective of commentaries via the link from regular, respected voices. All have gone astray. I have placed a little comment here and there. This is how people think now - right now in our time and in our world. This is the reality of the changes. Only reason I want it is because I want silver to blast me through the turnstiles. I am as selfish as the next man with a penchant for victory. Regardless, the deceit has been too great from the imperialists. This whole 'ship of fools' is hood winked so 'what will be, will be.' There is little left to hang your coat and hat on - developing socialist nations are shaping the new norm but the powerful capitalists are the ruling elite backing the shift. The USD and economy is so manipulated it is a joke. It is an imperial stench in the nostrils of any semblance of freedom. Any alternative is better than an out of control machine that sought to monopolize and dominate by cornering exchange. The only reason the USD is so powerful is because it is reserve. 300,000 US citizens can't match the power and might of a BRICS conglomerate. A multi-polar world is a good alternative with a basket of currencies justly weighted on a partial gold standard as proposed by Russia and China and seconded by Germany. Of course that is the reasoning they want us to adopt because in my opinion that is the stage that can finally trigger this whole mess into a possible conflict in Meggido. The US will kick against the pricks as they have been highjacked by the phoenix as well. This shit is universal so I go where the wind blows and the wind is blowing the change right now. We will never be the same. The first plank of communism was the abolition of private property and that's what the bastards are taking across the USA now. All property has been globalized and the birds of prey are closing in for the kill. There is nothing sacred anymore. Nothing is simple anymore. This is notch 5.5 on a seven stage cycle of finality. Who knows how this will all pan out but I am on the side of reason to observe history so rapidly transforming our times right before our eyes. When the numbers are up they are dated. Nothing I can do or say will make one damn difference.

kaibo888 (not verified)

US Giants invest in BRICS nations.

In India, Cisco, based in San Jose, Calif., said it will invest several million in a venture capital fund that specializes in rural areas. Cisco has already invested $200 million in India and plans to do more.

In fiscal 2011 ended July 30, Cisco reported U.S. revenue rose 6 percent compared to emerging market revenue that rose 14 percent.

International Business Machines (NYSE: IBM), the world's No. 2 computer company, won a $1 billion, 10-year deal from Brazilian tycoon Eike Batista's EBX Group, but also said it would invest in his group's SIX Automacao, which provides technology services to various industries.

In addition, IBM will establish a research center in Rio, joining other global centers in places including Zurich, with an estimated 100 scientists. IBM has already been working with Rio with its "smarter cities' initiative in advance of the 2016 Olympics.

In the fourth quarter of 2011, IBM reported revenue from the BRICS sector rose 10 percent, compared with only a 3 percent gain for the Americas. The company is managed from Armonk, N.Y.

Ford (NYSE: F), the No. 2 auto maker, announced plans to spend as much as $600 million in China for a factory in Chongqing, where it plans to double manufacturing to exceed 1.3 million vehicles by 2020.

Ford, unlike Cisco and IBM, didn't make any money in China last quarter. Indeed, its Asia Pacific Africa revenue declined 13.6 percent to $1.9 billion, on which there was a loss of $92 million, compared with a profit of $189 million in 2010.

kaibo888 (not verified)
City of London Inc.

As the world's financial hub, London City, has endorsed CNY to step up closer to achieving FMES and future inclusion in the new reserve currency. Move over dollar bugs, here comes the judge!

City of London partners with banks to support yuan trading
Partners include Bank of China, Barclays, Deutsche Bank, HSBC and Standard Chartered
London already accounts for 26% of global offshore yuan spot trading

DBK.XE -2.14% LONDON (Dow Jones)--The City of London Corp. Wednesday formed a working group with five leading banks as well as U.K. Treasury, the Bank of England and the Financial Services Authority to support growth of yuan business in the city.

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