The 16th BRICS summit in Kazan, Russia, marked a significant moment for the group’s evolution, as it was the first since the inclusion of Egypt, Ethiopia, Iran and the United Arab Emirates (UAE). With Russia chairing this year’s summit, Western media described the event as dominated by Russian influence, speculating that the BRICS bloc was becoming a tool for its ambitions. However, instead of pushing for dramatic changes, the summit prioritized continuity.

It is crucial to distinguish between the BRICS as a collective and Russia’s individual objectives. Decisions within the BRICS are based on consensus, which often moderates the positions of individual members. While Russia pushed for a more assertive agenda, it faced skepticism from other members, leading to a more balanced outcome.

Furthermore, viewing the BRICS through an “anti-Western” lens overlooks the broader motivations of their constituents in the Global South. For many, like South Africa, the BRICS is not about moving away from the West but about diversifying, especially in finance and trade. In the Kazan declaration, the BRICS positioned themselves as a complementary entity to existing institutions such as the Group of Twenty (G20), emphasizing greater coordination led by India, Brazil and South Africa, which currently hold consecutive G20 presidencies.

Summit discussions focused on contemporary global challenges, including supply chain issues and conflicts in the Middle East and Africa. Ukraine was mentioned only indirectly. The bloc remains committed to addressing broader structural challenges, such as reforming international financial institutions to make them more effective. Those issues took priority over contentious geopolitical issues, reflecting a pragmatic approach to decision-making.

One such pragmatic mechanism being discussed is the BRICS Cross-Border Payments System, which aims to facilitate trade in local currencies. This is partly due to the perception of increasing risk associated with the US dollar. However, the move to local currencies is not just about de-dollarization but rather a move towards cheaper and more efficient transactions. Russia, isolated from the Society for Worldwide Interbank Financial Telecommunications (SWIFT), sees it as a financial lifeline. Instead, Egypt sees it as a relief from pressure on foreign reserves. Meanwhile, South Africa, Brazil and India prefer cautious diversification without completely divesting from the dollar.

Another significant development was the effort to strengthen the New Development Bank (NDB), focusing on expanding lending in local currencies. The bank aims to provide 30 percent of financing in the local currency of borrowing members. The growing role of the NDB is crucial for countries seeking flexibility beyond the often restrictive terms of traditional institutions.

The summit introduced a new “partner countries”, which provides a level of participation below full membership but more involved than the BRICS+ outreach initiative, established in 2017 for informal engagement with countries in the Global South. This new partner status will grant access to the BRICS initiatives without requiring the complex negotiations of full membership. The specific countries that will be included in this new partner level have not yet been announced, avoiding the confusion of 2023, when Indonesia, Saudi Arabia and Argentina were invited but then declined or did not respond to the invitations.