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Energy & Economics
Prime Minister of India Narendra Modi addresses BJP activist during an election campaign rally ahead of Lok Sabha or general election 2019 on April 03, 2019

Strategic Advantages of India in Shaping the Global Order

by Talal Rafi

한국어로 읽기 Читать на русском Leer en español Gap In Deutsch lesen اقرأ بالعربية Lire en français India, being the largest country by population, has a great responsibility and right to show global leadership. Having chaired the recent G20 summit successfully, and as a member of important global partnerships such as BRICS and Quad, India is strategically placed to play a crucial role in geopolitics in the coming decades. Being the world’s largest democracy places a responsibility on India to drive a global agenda that will foster democracy in other countries. As a member of the Quad, with three other democracies, India can play a key role in upholding a rules based international order. Today, we live in a world that is much different to the world that emerged in 1945, after the Second World War, or in 1991 when the Cold War ended. In both instances, the United States emerged as the dominant superpower. American power, relative to the rest of the world, is now in clear decline and therefore even a loose alliance of democracies that includes India shifts the tide against competing structures of governance. Economic Rise of India India is the fastest growing major economy in the world today and is set to be the third largest economy in the world by the end of this decade. Of course, an alternative way to assess India’s development may be to measure its gross domestic product (GDP) per capita which is relatively low at less than US$3,000. However, the sheer size of its overall GDP and growing population gives the overall economy serious importance. India’s large population and the steady expansion of its middle class positions India as a lucrative economic ally for many countries in the world, both as a market and supplier of goods and services. It also makes India an attractive market to invest in, particularly in the current climate of de-risking and diversifying supply chains. Many global corporate powerhouses such as Facebook, Google, Apple, and Saudi Aramco have invested in India. Economic cooperation also inevitably results in stronger political relations, and it is very likely that this trend will continue. Strategic Advantages of India India’s greatest asset in terms of geopolitics and economics will be its democratic system of governance. India presence in the Quad for instance has legitimising effect. All members are democracies, but India is by far the world’s largest democratic nation. Democracy will also help India on the economic front. All advanced economies, with the exception of a few oil rich nations and city states, are democracies. That is because, as argued in a piece for the IMF in 2022, economic growth needs innovation, and innovation is better fostered in a democracy where there is free thinking and creativity. Many nations can become middle-income nations without democracy, but to transition to an advanced economy, they need stronger democratic values. South Korea and Taiwan provide examples of middle-income nations that evolved into high-income economies after a stronger transition toward democracy. Democracy together with population diversty can be a major factor that pushes India to break through the middle-income trap. Meanwhile, the median age of India, which is 32 years, is around 10 years younger than China’s. This is a strategic advantage not only in economic terms but also politically in international relations for India. This will mean an increase in the workforce which can help produce India’s industrial and services goods. A younger population will also result in a larger consumer market and will, more importantly, drive greater inward foreign direct investment. Additionally, a younger population will also result in larger tax revenue for the Indian government which can be used for development. It also results in less financial resources being directed towards an ageing population. As countries such as China, Vietnam, and Bangladesh grow, with outsourced manufacturing playing a large role in their economic agendas, India, which is weaker on manufacturing, has the advantage when it comes to services exports, such as consulting, IT-BPM, and education. India is a center for services outsourced by Western companies, with services exports anticipated to hit US$2 trillion by 2030. English proficiency in India adds to the advantage, but many other factors also play major roles. India has a large skilled workforce especially in information technology, software development, and business process outsourcing. Technology hubs around the country, such as in Bangalore where large global tech companies and startups are based, and government support, add to the scale at which India can expand this critical export in the coming decades. The software services industry, for example, has matured, resulting in sector upscaling. Interestingly, 20 percent of the world’s semiconductor design engineers are employed in India. These aforementioned attributes position India as an ideal strategic partner for many countries. Countries such as the United States, United Kingdom, European nations, Japan, Australia, Canada, and South Korea consider India a natural ally. India is also building ties in its region with the Gulf nations to its west and with the ASEAN nations to its east. India’s neighbour to its south, Sri Lanka, recently went through its worst economic crisis since independence in 1948. After defaulting in April 2022, Sri Lanka came to a standstill with no fuel for 3 weeks, 12 hour power cuts, and food and medicine shortages. It was India that came to the rescue, with US$4 billion at its most vulnerable time, giving a clear message to the world that India is a partner that will stand up for them. Talal Rafi is an Economist and Expert Member of the World Economic Forum. He is currently a Consultant on Economic Policy at the Asian Development Bank, and also a Regular Columnist for the International Monetary Fund. His work has been published by the World Bank, International Monetary Fund, Asian Development Bank, World Economic Forum, London School of Economics, UNFCCC, Chatham House London, Deloitte and Forbes.

Diplomacy
Map Indo-Pacific. RCEP country overview.

False democracies in the Indo - Pacific

by Juan Antonio Sacaluga

In the first two months of the year, general elections (presidential and/or legislative) were held in three countries of the Indo-Pacific, the area towards which the center of gravity of the world balance is shifting, according to experts: Bangladesh, Pakistan, and Indonesia. Together they account for nearly 700 million inhabitants, almost 9% of the world’s population, and host the largest number of Muslims in the world. The authoritarian bias there is so significant that the elections are mere ceremonies of power legitimization, more directed outside than inside of the country. The same happens in the Philippines, Malaysia, Thailand, etc. Dynastic democracies, tutelary democracies, or both at the same time. False democracies. Bangladesh: a party-state? In Bangladesh, the Awami League won three out of four seats in the Parliament in January, a slightly lower percentage than in the 2018 elections, but with no diminution of its overwhelming power. The country’s prime minister is Sheikh Hasina Wajed, daughter of the father of independence, Sheikh Mujibur Rahman [1]. Abstention, estimated at 60%, best explains the electoral result. The main opposition parties boycotted the elections in protest against the lack of transparency of the process and, above all, against the attacks on basic freedoms. Some of the opposition leaders are serving prison sentences for unjustifiable reasons. Reports of arbitrary arrests and extrajudicial executions are frequent [2]. Hasina claims to maintain the progressive line of her father, but the evolution of her regime indicates otherwise. The Awami League has maintained a power alternation with the conservative nationalists. But lately, her most feared enemy has been the Islamist radicals. In this fight, Hasina has counted on the support of India. The current government of Narendra Modi was more sympathetic to the nationalists, but pragmatism has imposed a close collaboration. Authoritarian drift in both countries has favored this convergence. Pakistan: a dictatorship in disguise In Pakistan, the elections have been even more controversial and stormy. The army is the real – if not the only – effective political actor [3]. The parties have wielded power since the military formally ceded it to them in 1998. Only nominally. The military domination over the institutions of the State remains unchanged. The reactive coup d’état has been replaced by preventive actions that determine or strongly condition the electoral result. Those who deviate or threaten to step out of the military script are discredited. It happened again this year. The populist movement of Isham Khan (a former cricket champion, the national sport) was until just two years ago the ruling party, having won the 2018 election. But he was covertly accused of a series of crimes, convicted, and imprisoned in 2022. Ironically, Khan had been the military’s preferred candidate, without whose favor he could hardly have secured victory. He believed that with his popularity, he could sideline his former protectors. Grave mistake. The military pulled the strings of justice, and Khan’s party was prevented from contesting in the elections [4]. The cricketer did not give up. From jail he denounced the military tutelage (which he had previously accepted with better or worse taste) and promoted candidacies related to his party under the label of “independents”. The challenge has been successful but insufficient. The “independents'' won a hundred seats, which are not enough to form a government majority [5]. The two parties that have been alternating in power in the last decades, the Muslim League (led by the conservative Sharif Brothers) and the People’s Party (political structure of the Bhutto family, of a confused and debatable center-left) hastened to agree to form a coalition government. Between them they have more than 130 deputies [6]. The cynicism of Pakistani politics is more than remarkable. The two parties now joining forces have been close enemies with a shared fate: both have been battered by the military, which has imprisoned and forced their leaders into exile on several occasions. In fact, the founder of the Bhutto dynasty (Zulfikar Ali) was overthrown after a military coup in 1971, charged and convicted in 1974 for the alleged murder of a political opponent and finally executed in 1979. His daughter Benazir was twice prime minister, deposed, exiled, and assassinated by an alleged Islamic extremist in 2007, when she was returning to her country. The Sharifs, powerful businessmen, have had a less tragic fate, but they have lived between favor and disgrace. Corruption has been the legal basis for their downfalls, with no little foundations. But it has been used as a weapon when it was convenient for the headquarters. Nawaz Sharif has now preferred to step back from the front line and reinstate as prime minister his brother Shehbaz, who held the post after the fall of Khan. The head of the clan went into exile in Saudi Arabia and only when he successfully negotiated the cancellation of the penalties, he returned to Pakistan to control the political process after the partial liquidation of Imran Khan. The post-election pact also has a prize for the Bhutto family. Although the formal leader of the PPP is Bilawal, Benazir’s son, who really pulls the strings is his widowed father, Asif Ali Zardari, who has also served sentences for corruption, of which there are few doubts. Zardari will be the new President, a more ceremonial position, but not without power to maintain his privileges. The outlook for the two now coalited dynasties is frightening. By 2026, Pakistan will have to pay $78 billion in foreign debt service, one of the highest in the world. This represents almost a quarter of its GDP (340 billion). Negotiations with the IMF are a dogfight, but the room for maneuver is almost nil [7]. Economic deterioration has been unstoppable in recent decades. At the beginning of the century, Pakistan’s economy was five times smaller than that of its rival, India; today it is one tenth [8]. Neither the military nor the political elites have been able to redirect the successive crisis. Pakistan is a ship adrift, in a permanent state of war with India. Both enemies have nuclear arsenals, which adds an enormous factor of danger to their recurrent disputes. Pakistan has been a major player in the protracted war in Afghanistan, as both, an ally and a rival of the United States, successively or alternately. In Washington they never knew whether the Pakistani military was helping or boycotting them. Bin Laden was killed by an American commando while hiding in Abbottabad, a city where many officers live, but the powerful military intelligence always denied knowing his whereabouts. After the withdrawal from Afghanistan, relations between Pakistan and the United States have lost weight. In Washington, the “Indian card” is now a priority. However, the traditional economic and military ties between Pakistan and China compel Americans not to neglect this elusive and chaotic partner. Indonesia: Duo of former rivals In Indonesia, things are not looking any better. In the presidential elections, the winner was Prabowo Subianto, an authoritarian military officer who played an outstanding repressive role during the military dictatorship of his father-in-law, General Suharto, who led the country in the last third of the century, amid atrocious violations of human rights [9]. If the pacts in Pakistan lack any political ethics, in Indonesia it is three quarters of the same. Or worse. Five years ago, the current President, Joko Widowo (known as Jokowi), abandoned the pale progressivism of the ‘Democratic Party of Struggle’, founded by Megawati, Sukarno’s daughter, and joined the populist current in vogue. With this tactical shift he managed to defeat the conservative nationalist of GERINDRA (Great Indonesia Movement), who had turned to Prabowo as a ‘strongman’ figure to seize power. Widowo consolidated his hold on power with a populist policy of large infrastructure projects, partly financed by China, a tough hand against crime and radical Islamism, and an ambiguous balance in relations with Washington and Beijing. When he felt strong, Widowo integrated Prabowo into his government as no less than the Minister of Defense. Sukarno would have turned in his grave. That was not all. Jokowi wanted to form his own dynasty, but his son Gibran was still too young to inherit his post. He even had to twist the law (with the complicity of a judge who was his brother-in-law) so that he could be a candidate… but not for his party, from which he definitely separated, but as Prabowo’s second [10]. Success was guaranteed. The duo of former rivals has won the presidential elections by a wide margin. But in the legislative elections the result was more disputed. According to provisional data, the former general will not be able to count on an aligned Parliament. In any case, in such a corrupt and institutionally fragile country, cohabitation could be smoother than expected [11]. The director of the Asia-Pacific program at London’s renowned Chathan House anticipates changes, but he is confident that Prabowo’s pragmatism will limit his authoritarian instincts [12]. This ‘wishful thinking’ by Western analysts when assessing authoritarian regimes with a democratic façade is very recurrent and responds to the persistent logic since the Cold War. After all, what determines their blessing is not the democratic quality of political systems but their willingness to defend or act in accordance with Western interest. And in today’s times, being on the “right side” of history essentially means taking sides with the West in the strategic dispute with China. NOTES [1] https://www.cidob.org/biografias_lideres_politicos/asia/bangladesh/hasina_wajed [2] “Bangladesh is now in effect a one-party state”.THE ECONOMIST, 8 de enero. [3] “The Military is still pulling the strings in Pakistan’s election”. MUNEEB YOUSUF & MOHAMAD USMAN BHATTI. FOREIGN POLICY, 5 de febrero. [4] “Pakistan’s real test begin after elections”. AL JAZEERA, 8 de febrero. [5] “The rise and fall, and rise again of Imran Khan”. THE NEW YORK TIMES, 11 de febrero. [6] “Imran Khan’s opponents reach deal to shut his allies out of government”. THE NEW YORK TIMES, 14 de febrero. [7] “Pakistan can’t stop the cycle of discontent”. HUSAIN HAQQANI. FOREIGN AFFAIRS, 16 de febrero. [8] “Pakistan is out of friends and out of money”. THE ECONOMIST, 14 de febrero. [9] “Indonesia’s election winner has a dark past and a cute image”. JOSEPH RACHMAN. FOREIGN POLICY, 14 de febrero. [10] “Indonesia’s election reveals its democratic challenges”. THOMAS PEPINSKY. BROOKINGS, 12 de enero. [11] “La démocratie indonésienne résistera-t-elle à la presidence de Prabowo Subianto?” COURRIER INTERNATIONAL, 16 de febrero; “The world’s third-biggest democracy could be sliding backwards”. ISHAAN THAROOR. THE WASHINGTON POST, 14 de febrero. [12] https://www.chathamhouse.org/2024/02/continuity-prabowo-means-change-indonesia; “Indonesia’s democracy is stronger that a strongman”. BEN BLAND. FOREIGN AFFAIRS, 13 de febrero.

Defense & Security
Map of the border between Iran and Pakistan

Opinion: Iran's Strikes In Pak Reveal Islamabad's Strategic Collapse

by Kabir Taneja

In the middle of December last year, Jaish ul-Adl (also known as Jaish al-Zolm, translated to "Army of Justice" in English and formerly known as 'Jundullah'), a Sunni militant group operating around the Baluch insurgency across Pakistan's Balochistan region and Iran's Sistan and Balucchestan province, attacked a police post in the small Iranian city of Rusk. 12 Iranian police personnel were killed in a gun battle that lasted hours. The attack on Rusk was one of many attributed to Jaish ul-Adl over the years. Yesterday's Iranian missile strikes inside Pakistan brought to the forefront long standing differences between the two countries over Baluch militancy and the ethnic tensions that revolve around it. The missile attacks come at a moment of fragility in not just a regional but also the global security order. Pakistan responded by condemning Iranian actions and summoning their charge d'affaires. According to Iranian press, Jaish ul-Adl have confirmed the strikes on their positions in Balochistan's remote mountains. Interestingly, Iran's Foreign Minister Hossein Amir-Abdollahian and Pakistan's caretaker Prime Minister Anwaar Ul Haq Kakar had met hours before at the Davos economic summit in Switzerland while Iran's Special Representative for Afghanistan, Hassan Kazemo Qami, visited Pakistan for consultations. During his visit, Qami was quoted by the Afghan press as saying that "Islamabad and Tehran have reached an agreement on interaction with Kabul". This has spurred a wave of rumors on whether Tehran sounded out Islamabad about the strike against Jaish ul-Adl before it took place. With Pakistan already facing serious security challenges from the Tehrik-e-Taliban Pakistan (TTP), Islamic State Khorasan (ISKP) and its deteriorating relationship with the Afghan Taliban - a group it sheltered for decades - direct aggression by Iran is another frontPakistani military may be unable to afford. The tri-nexus between Iran, Pakistan and the Taliban on Baloch militancy is very complicated. The Afghan Taliban is often blamed for both privately supporting and more publicly decrying groups such as Jaish ul-Adl. The complexities do not stop within these impoverished geographies. The founding leader of Jaish, Salahuddin Farooqui, has also previously opposed Iranian support for Syria's president Bashar Al-Assad. Tensions between Pakistan and Iran over Jaish's activities around their borders go back to 2011-12. Iran, since then, has blamed Pakistan for being soft regarding its concerns over these entities, and has blamed its other foes such as Israel, US and even Saudi Arabia and the UAE for offering their support. While some analysts are looking at the Iranian action in Pakistan from the lens of its ongoing strategic play in the Middle East, this hypothesis may be a bit of a stretch. The issue of groups such as Jaish and tensions between Iran and Pakistan over Baluch militancy pre-date the ongoing war in Gaza or the deteriorating security situation in the Red Sea. Iran has often reiterated that it would target Jaish safe spaces inside Pakistan over the years, and the exchange of fire between troops at the border between the two countries has been a regular occurrence. This incident is uniquely a bilateral and border management matter between the two countries, which is today further complicated with the Afghan Taliban seizing power in Kabul in 2021. The ideological nature of Jaish makes it difficult for the likes of the Taliban to shun them or their cause, in exchange for political and geopolitical upmanship, considering they are an Islamist ideological movement first, and a political entity later (as showcased by the continuing logjam within the Taliban regarding girls' education in the country). For Pakistan, this new theatre is another gash on a rapid disintegration of its now institutionally failed policies of promoting state-sponsored extremism and terrorism. As the country's economy collapses further and it fails to control its own strategic assets from turning against its rule, other countries and interests seem to be looking at this time in history as the most opportune to target these ecosystems unilaterally as well. With only caretakers managing the madhouse, political will seems limited, and the military has been too busy undermining its parallel civilian challenges from figures such as Imran Khan who got too big for the military's comfort level. A significantly disconcerting fact around events such as the Iranian missile strike is that Pakistan, in fact, is a nuclear power. Nuclear deterrence was clearly not in play as Tehran planned its targeting of Jaish ecosystems in Baluchistan, which begs the question on what kind of strategic thinking, if at all, is taking hold in the corridors of power when it comes to its position as one of the very few nuclear powers in the world. The fact that Pakistan's all-powerful army chief reportedly requested American help to take on the TTP threat as part of a counter-terrorism narrative went unsold in Washington. The only other good use Pakistan could make of its nukes today is to create a fear of the weapons landing in hands of militants. As noted scholar Stephen P Cohen had once said, Pakistan negotiates with the world by pointing a gun to its own head. Finally, this event has brought to the forefront for the international community the fact that the Afghanistan - Pakistan theatre has not disappeared and cannot be ignored. For Iran, despite strong disagreements with the Taliban, it is working with the regime towards a longer goal, to make sure the West, and particularly the US military power, never returns that close to its borders again. Disclaimer: These are the personal opinions of the author.

Energy & Economics
EURO vs. Yuan. European and Chinese flags

Overcoming an EU-China trade and trust deficit

by Shairee Malhotra

Beijing seeks normalisation of ties with Europe; however, for Brussels, reconciliation will be conditional on Beijing’s willingness to address fundamental divergences On 7-8 December, European Commission President von der Leyen and European Council President Charles Michel will be in Beijing for the 24th European Union (EU)-China summit, but the first in-person one in four years, taking place at a critical juncture in EU-China ties. At the previous EU-China virtual summit in April 2022, the Ukraine conflict was the primary talking point for the Europeans and other issues such as climate and economics were relegated to the back burner. This time, the focus is likely to be economics. A relatively constructive meeting between United States (US) President Joe Biden and Chinese President Xi Jinping on 15 November, which led to the resumption of US-China high-level military dialogue and Xi’s assurances on Taiwan, has contributed to paving the way for the EU to focus on ironing out economic irritants. Deficits, dependencies and de-risking With daily EU-China trade amounting to 2.2 billion euros, the EU is concerned about its widening goods trade deficit with China—400 billion euros in 2022—referred to by EU Ambassador to China, Jorge Toledo, as the “highest in the history of mankind”. In the context of China’s restrictive environment for foreign companies, the EU is keen for a level playing field and greater reciprocity in trade. Another major area of contention is Chinese overcapacity through subsidies in key industrial export sectors such as electric vehicles (EVs) that are undermining European automotive industries. The European Commission has already launched a probe for the EVs sector and is now considering other major sectors including wind energy and medical devices. In addition, Europe is heavily dependent on critical raw materials such as lithium and gallium from China, which are intrinsic to its green transition. While over 90 percent of the EU’s supply of raw materials comes from China, the EU aims to address this dependency through its Critical Raw Materials Act. Factors such as Chinese aggression in the South China Sea, human rights violations in Xinjiang, and pandemic-era supply chain disruptions have deteriorated European perceptions of China. The downswing in EU-China ties was further accentuated by Beijing’s posture in the Russia-Ukraine conflict and the failure of European leaders to coax China to positively use its influence with the EU’s most immediate security threat, Moscow. Thus, a major trust deficit has accompanied the trade deficit. On 6 November, only a month before the summit, von der Leyen in her speech warned against “China’s changing global posture” with its “strong push to make China less dependent on the world and the world more dependent on China”. While acknowledging China as Europe’s most important trading partner, she emphasised the “explicit element of rivalry” in the relationship. Another dialogue of the deaf? The EU and its member states are recalibrating their China policies, with countries such as Germany even releasing China-specific documents outlining their approach. The EU’s “de-risking” strategy aims to reduce dependencies in critical sectors, and through an expansion of its policy toolbox, the Union is implementing a range of measures including greater scrutiny of inbound-outbound foreign investments, anti-coercion instruments, and export controls for dual-purpose technologies. In this context of an evolving European approach, the upcoming summit is a much-anticipated one for EU-China watchers. Despite the strain in relations, high-level diplomatic exchanges have continued in full swing, many of which, such as von der Leyen’s visit to China in April, EU Trade Commissioner Valdis Dombrovskis’s visit in September, and EU Foreign Policy Chief Josep Borrell’s visit in October were conducted in preparation for this summit. A sluggish Chinese economy gives Europe room to wield its economic leverage. However, grey areas in Europe’s China policy remain, especially with regard to the implementation of measures and the need for more effective coordination, often compromised by a lack of unity amongst member states and tendencies of leaders such as French President Emmanuel Macron and German Chancellor Olaf Scholz to prioritise business interests over all else. Thus, straddling the fine balance between economic opportunities and security risks will continue to be a test for how Europe manages its interdependence with the lucrative Chinese market. Previous EU-China summits have not produced a joint statement, and according to sources, this summit is unlikely to produce one as well. Yet it is an opportunity for the EU to put forward unresolved concerns and forge some common ground. Without concrete deliverables, the upcoming summit risks being another “dialogue of the deaf” as Borrell famously described the previous one. Amidst renewed transatlantic solidarity, Beijing’s rhetoric indicates that it seeks normalisation of ties with Europe and a more independent European policy towards China away from Washington’s influence. Yet for Brussels, reconciliation will be conditional on Beijing’s willingness to address fundamental divergences.

Diplomacy
Pakistani protestors holding up Pakistani flags

Pakistan’s Political Crisis - A country in transformation

by Joel Moffat

An unpredictable political establishment and a swiftly deteriorating economic situation; recent developments in Pakistan expose the instability at the core of the state, threatening its intricate, yet delicate, domestic power balance. The political chronicles of Imran Khan’s and his treacherous challenge to the political establishment retain a prominent shadow over the countries upcoming elections. The ex-cricketer’s ousting last year and his subsequent extensive legal ordeals are indicative of the entrenched political dynasticism of Pakistan. The transitional governments that have overtaken Khan have experienced persistent shock and tragedy in their first year of power. With the turbulent context surrounding Khan, the build-up to the upcoming general elections early next year could prove to be some of the most consequential periods of the country’s recent history. With the recent return of three-time PM Nawaz Sharif to the political sphere, the situation remains dynamic. By: Joel Moffat Keywords: South Asian Politics, Military leadership, Internal Rivalry A Background on Pakistani Politics Following the violent cessation of Bangladesh in 1971, Pakistan has shifted between intermittent eras of military dictatorship and civilian governance. The latter periods have been characterised by the intertwining dynasties of the Bhuttos and the Sharifs. Through their associated political parties, the Pakistan People’s Party (PPP) and the various incarnations of the Pakistan Muslim League Nawaz (PMLN), respectively, the two families have long dominated civilian governance. However, even during these intervening periods of civilian control, the military has retained its domineering influence over domestic politics in a clandestine manner. Indeed, it is often seen as the country’s ‘kingmaker’. Pakistan is territorially divided into four provinces (Baluchistan, Punjab, Khyber-Pakhtunkhwa, and Sindh) and two administrative units (Azad and Jammu Kashmir and Gilgit-Baltistan). The capital Islamabad operates as a distinct federal territory. These divisions are generally distinguished by their linguistic and ethnic characteristics but are also indicative of distinctive voting patterns. Indeed, Pakistan’s predominant parties have often defined themselves along these regional cleavages. For instance, Sindh has been the historic centre of PPP support, whereas the PMLN has generally been favoured in Punjab [1]. With the latter province being by far the most populous of the country, it holds a fundamental role in the political process. Indeed, governments are often made through winning a majority vote in Punjab. The creation of the Pakistan Tehreek-e-Insaaf (Movement for Justice, PTI) party by Imran Khan in the late 1990s significantly upset a political status quo defined by entrenched dynasticism. At the creation of the PTI party, Khan had already cemented his position as arguably Pakistan’s most recognisable face, enjoying a notorious playboy lifestyle during his Oxford education and then gaining international stardom by bringing Pakistan to it’s one and only Cricket World Cup victory in 1992. Despite the publicity of its figurehead, the party initially achieving little success for the first few decades of its existence. In one election the only Parliamentary seat the party won was for Khan himself [2]. However, its victory in the 2018 General Elections proved a historically unprecedented moment, becoming the most voted party in Punjab in the 2018 General Elections. This robbed the PMLN of its regional stronghold. The Ousting of Imran Khan and the Pakistani Judicial System Despite riding a seemingly perfect storm of political ascension, Khan’s Prime Ministership was cut short by the no-confidence vote placed against him in April 2022. Khan attempted to block this vote by dissolving parliament, an action the Supreme Court quickly ruled unconstitutional [3]. Khan persistently stressed a US-backed conspiracy against him during his tenure, founded on a continued unwillingness to reduce support for Russia and China [4]. For example, Khan travelled to Russia to meet with Putin just prior to the Ukrainian invasion. It was this move away from dogmatic adherence to US interests that he claims prompted the military elite to facilitate his downfall. Following his removal, Shehbaz Sharif (brother of three-time PM and recent returnee Nawaz Sharif) took the position of interim Prime Minister. The aftermath triggered a period of heightened internal political tension. The subsequent year has witnessed Khan’s fight for his political future. This has been met with widespread protest across Pakistan. Khan’s fate has been tested through an extensive legal battle and a seemingly infinite set of allegations. The first arrest of Khan was based on multiple corruption accusations that he has consistently rejected as “biased” [5]. These attacks have allowed the ex-PM to depict himself in a classically populist fashion. The continuous strain of legal charges against Khan only serve to facilitate the image of an individual struggle against the corrupt establishment, as a true representative of the people’s will. The first arrest of Khan in April allowed for the mobilisation of the populace, actualising grievances that had simmered for the preceding months. Following the claims of Khan, pro-PTI protesters targeted their indignation at the military. The official residence of an army commander in Lahore and the army headquarters in Rawalpindi were both targeted [6]. This extensive legal battle has exposed a previously unseen rift between the courts and the military. The military has long acted as the domineering influence on the judicial system, in many cases covertly dictating its rulings [7]. Where it was in the interest of the military for dissidents to be removed or journalists pushed away, the courts provided legal recourse. Indeed, they even granted three military coups the legal stamp of approval [8]. Shortly following Khan’s arrest, the Supreme Court issued a declaration that the act was unlawful and ordered his immediate release [9]. Furthermore, the Islamabad High Court granted Khan pre-emptive bail on several corruption cases [10]. The emergence of the judicial system as an independent power broker within the Pakistani political domain is historically unprecedented. The conflation of interest between the courts and the military regarding Khan’s political campaign against corruption facilitated his successful rise to power in 2018. It is ultimately the break of this coercive alliance that is facilitating Khan’s survival, with the Supreme Court issuing several rulings that have undermined the military’s attempts to permanently remove Khan from the Pakistani political realm. However, more recent legal proceedings appear to expose this as a temporary phenomenon, as the courts are seemingly once again swept under the wing of the military. The 5th of August saw a further arrest of Khan, representing the culmination for months of turmoil. This has proved a significant upset to the ongoing political drama of the preceding year. The final verdict found Khan guilty of financial corruption, forcing him to serve a 3-year term [11]. During this time he will be unable to run for office. Following the arrest, Khan posted a video to his personal twitter page demanding the immediate mobilisation of his supporters. As the battle against the state appears increasingly futile, Khan’s political future appears increasingly dim. These allegations have been reinforced by an additional legal case. Mr. Khan is alleged to have leaked a clandestine cable that proved the US had pressed the Pakistani military to orchestrate the fall of his government in 2022 [12]. Despite proving to be evidence to legitimate Khan’s narrative, the evidence has yet to be released publicly. The chances of this happening are now very slim. The Transition Government and The Upcoming Election The arrest of Khan saw a subsequent transitionary government come to power. The first incarnation of this was headed by Shebhaz Sharif, younger brother to three-time PM Nawaz Sharif. Last month saw the former step down following the completion of the Parliamentary term [13]. Though currently holding an interim government, Pakistan looks to be pre-emptively establishing its post-election government. Despite initial plans to hold elections in November, these have been pushed back. This is to allow the interim government to allow completion of a census to redraw electorates [14]. As has been illustrated throughout the political history of Pakistan, much of the political movement of the state appears to concern elite military manoeuvring and not the democratic will of the people. In late October, Nawaz Sharif stood in front of thousands of PLM-N supporters in Lahore, a grand gesture to mark his return from exile in the UK [15]. The older brother of until-recent PM Shehbaz Sharif, Nawaz is a storied figure of Pakistani politics. This is his fourth bid for power, with three preceding terms marking him as the countries longest serving PM. Despite only escaping his seven-year prison sentence due to an artificially extended medical leave in the UK, Sharif appeared to face no fears of arrest when re-entering the country [16]. Just prior to Mr. Sharif’s arrival he was granted protective bail by the Islamabad High Court [17]. The appointment of his younger brother as PM certaintly facilitated this environment of re-acceptance into the Pakistani political establishment. As with Khan, the military have rewarded or punished Sharif relative to their interests. The same elite-military establishment that ensured his arrest in 2017 is the very same establishment that is now facilitating his return. With the PLM-N losing Punjab to the PTI in 2018, it is notable that the signal of Nawaz Sharif’s return was held in Lahore. It is clear that the winds of changing favour in Pakistan are reserved to the realm of its dynastic political parties. Their success or failure is ultimately at the will of the entrenched elite military establishment. The domestic political strife of Pakistan is not beholden to the realm of elite political manoeuvring. The Pakistani people are victims of severe national financial insolvency. Indeed, the country is surviving month to month. It is predicted that a failure of IMF support will ensure a near 100% chance of government default within 6 months [18]. Sharif’s government worked to unlock at least a portion of the $2.5 billion left out of a $6.5 billion programme Pakistan entered in 2019, which was set to expire by the end of July [19]. The government was able to secure this money by the middle of that month [20]. The recently proposed budget must satisfy the demands of the IMF lest Pakistan be plunged further into a fiscal crisis. Furthermore, the interim government is still dealing with the previous year’s traumatic floods that submerged much of the country early in its tenure. The financial resources needed for reconstruction and safeguarding the vulnerable are simply not available domestically, with foreign aid and investment also being dreadfully insufficient [21]. With Pakistan under significant risk from climate-induced threats, securing financial resources to ensure future climate security is an existential threat. Yet, the internal power politics and kingmaking of Islamabad have left little time for politics to leave the confines of the capital’s courts and ministries. Despite retaining significant historic support across Punjab, the PLM-N party will need to modernise and adapt its public appearance. The PTI have long retained their effective use of social media [20]. This use of social media is particularly attractive to the significant Pakistani diaspora, who’s engagement with their home country may remain online. With the expulsion of several PTI politicians, the party is in dire circumstances. Indeed, the witch-hunt of PTI members, with disappearances lasting weeks. The preceding year has witnessed a domestic crisis engulf Pakistan. Since the ousting of Khan, the provisional government has fought a political battle for the future of the state. The continued contention of Khan against this transitory government has exposed the dissolution of the delicate power balance between Parliament, the Supreme Court, and the military that has historically been a tenet of the state. The transitional government’s management of this situation is beset by several domestic challenges that have disputed their tenure since its initiation. Politics work fast and unpredictably in Pakistan. With the return of Nawaz Sharif and protest to the arrest of Khan, anything is possible in these months leading up to the election. The stakes of control have never been higher. References [1] - “Explainer: Pakistan’s Main Political Parties”, Al Jazeera, 6 May 2013 https://www.aljazeera.com/news/2013/5/6/explainer-pakistans-main-political-parties [2] - “Pakistan Tehreek-e-Insaaf: Pakistan’s Iconic Populist Movements”, Populism Studies, February 3 2021 https://www.populismstudies.org/pakistan-tehreek-e-insaf-pakistans-iconic-populist-movement/ [3] - “Pakistan court rules presidents move to dissolve parliament is unconstitutional”, NPR News, April 7 2022 https://www.npr.org/2022/04/07/1091487882/pakistan-court-rules-presidents-move-to-dissolve-parliament-is-unconstitutional [4] - “Imran Khan ousted as Pakistan’s PM after vote”, BBC News, 10 April 2022 https://www.bbc.com/news/world-asia-61055210 [5] - “Former Pakistan Prime Minister Imran Khan arrested by paramilitary police”, CNN News, May 9 2022 https://edition.cnn.com/2023/05/09/asia/imran-khan-arrest-intl/index.html [6] - “Imran Khan, Pakistan’s Ex-Leader, is Arrested”, The New York Times, May 9 2023 https://www.nytimes.com/2023/05/09/world/asia/imran-khan-arrest-pakistan.html [7] - “Pakistan’s Powerful Military Faces New Resistance From Courts”, The New York Times, May 31 2023 https://www.nytimes.com/2023/05/31/world/asia/pakistan-courts-challenge-military.html [8] - “Pakistan’s Powerful Military Faces New Resistance From Courts”, The New York Times, May 31 2023 https://www.nytimes.com/2023/05/31/world/asia/pakistan-courts-challenge-military.html [9] - “Pakistan’s Powerful Military Faces New Resistance From Courts”, The New York Times, May 31 2022 https://www.nytimes.com/2023/05/31/world/asia/pakistan-courts-challenge-military.html [10] - “Islamabad Court Grants Imran Khan Bail”, The Diplomat, May 12 2023 https://thediplomat.com/2023/05/islamabad-court-grants-imran-khan-bail/#:~:text=Friday%E2%80%99s%20ruling%20by%20the%20Islamabad%20High%20Court%20gave,usually%20is%20renewed%20in%20the%20Pakistan%20judicial%20system [11] - “Imran Khan: former Pakistan prime minister sentenced to three years in jail”, The Guardian, 5 Aug 2023, https://www.theguardian.com/world/2023/aug/05/former-pakistan-prime-minister-imran-khan-jailed-for-three-years [12] – “Pakistan court extends ex-PM Imran Khan’s custody in ‘cipher’ case” Pakistan court extends ex-PM Imran Khan’s custody in ‘cipher’ case | Imran Khan News | Al Jazeera [13] – “Pakistan Imran Khan Custody Extended” https://apnews.com/article/pakistan-imran-khan-custody-extended-3da6e3a8ae98378f13ab94bce9f3802c [14] – “Imran Khan family fear former Pakistani PM may be killed in jail” https://www.abc.net.au/news/2023-09-22/imran-khan-family-fear-former-pakistan-pm-may-be-killed-in-jail/102870032 [15] – “Pakistan looks back to the future as Nawaz Sharif eyes fourth stint as pm” https://www.theguardian.com/world/2023/oct/27/pakistan-looks-back-to-the-future-as-nawaz-sharif-eyes-fourth-stint-as-pm [16] – “Pakistan looks back to the future as Nawaz Sharif eyes fourth stint as pm” https://www.theguardian.com/world/2023/oct/27/pakistan-looks-back-to-the-future-as-nawaz-sharif-eyes-fourth-stint-as-pm [17] – “Pakistan’s ex-PM Nawaz Sharif to return from exile for political comeback” https://www.theguardian.com/world/2023/oct/21/pakistans-ex-pm-nawaz-sharif-to-return-from-exile-for-political-comeback [18] - “Pakistan lays out budget but may not satisfy IMF”, Al Jazeera, 9 June 2023, https://www.aljazeera.com/economy/2023/6/9/pakistan-lays-out-budget-but-may-not-satisfy-imf [19] - “Pakistan lays out budget but may not satisfy IMF”, Al Jazeera, 9 June 2023,https://www.aljazeera.com/economy/2023/6/9/pakistan-lays-out-budget-but-may-not-satisfy-imf [20] - “Will Pakistan’s IMF agreement save its economy”, Al Jazeera, 14 July 2023, https://www.aljazeera.com/news/2023/7/14/will-pakistans-imf-agreement-save-its-economy#:~:text=The%20International%20Monetary%20Fund's%20board,the%20South%20Asian%20country's%20economy [21] - https://www.youtube.com/watch?v=KrYYsWXG2Z8 – (Pakistan’s FM: ‘We’re at the fork in the road towards democracy’: Talk to Al Jazeera) [22] - “Pakistan’s ex-PM Nawaz Sharif to return from exile for political comeback” https://www.theguardian.com/world/2023/oct/21/pakistans-ex-pm-nawaz-sharif-to-return-from-exile-for-political-comeback

Diplomacy
South China Sea on a map

Beijing’s Aggression Behind Emerging India-Philippines Defense Relationship

by Peter Chalk

The People’s Republic of China’s increasingly assertive stance on affirming its territorial claims in the Indo-Pacific is informing the evolution of a closer defense relationship between New Delhi and Manila. On September 25, the Philippine Coast Guard removed a floating barrier that China had installed at Huangyan Dao (黄岩岛, an island in the Scarborough Shoal) in the South China Sea (SCS) the previous day. Responding to questions about the incident, PRC Foreign Ministry spokesperson Wang Wenbin (王文斌) maintained that “China Coast Guard did what was necessary to block and drive away the Philippine vessel,” and that “Huangyan Dao has always been China’s territory. What the Philippines did looks like nothing more than self-amusement” (FMPRC, September 26; FMPRC, September 27). Earlier in September, New Delhi’s Ambassador to the Philippines Shambu Kumaran expressed solidarity with Manila by pointedly rejecting the Chinese Communist Party (CCP)’s new extended ten-dash map of its sovereignty claims in the South China Sea (SCS) and Line of Actual Control (LAC). He criticized the move from Beijing as unhelpful “cartographic expansionism” (Manila Times, September 3). These two incidents, occurring in the space of less than a month, are only the most recent in a string of aggressive acts in recent years. The reactions of both India and the Philippines are indicative of growing unity among some of China’s neighboring countries as a direct response to the security threat that China poses. In recent years, these two partners have increased the areas of engagement for security collaboration and expressed an intent to further such initiatives. The PRC lambasts the Philippines for choosing “to ignore China’s goodwill and sincerity” (MOFA, August 8), but this rhetoric only reaffirms Manila’s shifting calculus. There are limits to how close the Indo-Philippines defense relationship will get, but there is still ample room to explore various forms of cooperation short of a mutual defense treaty. The coming years will see much more of that exploration start to materialize. The PRC has several options in terms of responding to this emerging dynamic. These range from economic coercion, influence operations, and leveraging its relationship with Russia to put pressure on India. It is unclear which combination of these the PRC will ultimately pursue, though the PRC has made it abundantly clear that backing down in the South China Sea is not an option it is willing to entertain. India’s Reorientation over the SCS and Growing Defense Cooperation with the Philippines In June, the fifth session of the Joint Commission on Bilateral Cooperation (JCBC) took place at Hyderabad House in New Delhi. At the meeting, the Philippine Secretary for Foreign Affairs, Enrique Manalo, and Indian External Affairs Minister (EAM), Dr. Subrahmanyam Jaishankar, issued a joint communiqué calling for full adherence to the 2016 Arbitral Award on the SCS. This was the first time that the Narendra Modi government explicitly endorsed the Permanent Court of Arbitration (PCA)’s ruling in favor of Manila. Until then, the administration had adopted a neutral stance on the issue, merely stressing that it supports freedom of navigation, overflight, and unimpeded commerce in the region, based on the principles of international law. Even after the 2016 judgment, India only acknowledged the outcome of the award, and did not take sides on the legitimacy of the decision (Observer Research Foundation, July 12; South China Morning Post, July 9). The June 2023 statement is therefore a highly symbolic diplomatic gesture, indicating a burgeoning bilateral relationship between New Delhi and Manila to promote an open, rules-based order in the Indo-Pacific. India’s tensions with China have long revolved around managing disputed territory along their 2,100-mile-long northern border in the Himalayas, known as the Line of Actual Control. For a long time, the Modi administration maintained a neutral stance on the SCS disputes. This is not just to avoid unwanted provocation: The Modi government has also been sensitive to the possibility that blanket opposition to the PRC’s stance in the SCS could provoke Beijing to expand naval deployments in the Indo-Pacific, potentially undermining the regional balance of power—and concomitant stability—that is critical to India’s own economic development. New Delhi has also generally been unwilling to comment on the domestic policies of its neighbors in Southeast Asia, lest this be construed as violating the two cardinal principles of the so-called “ASEAN way”: non-interference in internal affairs and mutual respect for national sovereignty. Although these considerations are still germane, the Modi administration has recently exhibited a more outspoken and proactive position on the SCS. Not only is preserving peace and stability in this body of water now a central tenet in the prime minister’s reinvigorated Act East Policy (EAP), in August 2021 his government sent naval ships to the region to take part in a series of coordinated sailings and exercises with Australia, Indonesia, Japan, the Philippines, Singapore, the United States, and Vietnam (The Tribune, August 3, 2021; South China Morning Post, August 13, 2021). New Delhi is also a member of the Quad, a grouping of like-minded states that in 2022 declared their joint opposition to any unilateral or coercive actions that seek to change the status quo in the East and South China Seas. While the wording of the declaration does not mention the PRC by name, its message clearly aims to denounce Beijing’s activities as a threat to stability, transparency, and the rules-based order in the region. Indeed, during a state visit to Washington, DC in June 2023, Modi and President Biden declared themselves “among the closest partners in the world” and committed to forging a more robust relationship—within the parameters of the Quad—to countering a clear and upward trend of Chinese aggression in the SCS (Asia Financial, June 29). India has also been more direct in articulating its concerns over the harmful effects the PRC is having on diplomatic efforts to resolve territorial disputes in the SCS. For instance, at the 15th East Asia Summit in November 2020, EAM Jaishankar expressed concern about actions and incidents in the SCS that “erode trust” and said ongoing negotiations on the proposed code of conduct “should not be prejudicial to legitimate interests of third parties and should be fully consistent” with the UN Convention of the Law of the Sea (UNCLOS) (The Hindustan Times, November 14, 2020). It is in this context that India has steadily moved to ramp up its defense cooperation with the Philippines. Security Collaborations In recent months, New Delhi and Manila have closely collaborated on a range of security matters beyond the explicit recognition of the 2016 PCA’s ruling against Beijing in the SCS. In January 2022, the government of Ferdinand Marcos Jr. signed a deal worth $374.96 million to obtain a shore-based variant of the BrahMos supersonic anti-ship cruise missile system. This makes Manila the first foreign customer for the weapons platform jointly developed by India and Russia (The Hindu, January 28, 2022). The Philippine Marine Corps’ newly developed Coastal Defense Regiment (CDR) will receive three batteries, the first of which will arrive before the end of 2023 (Indian Aerospace & Defence Bulletin, August 3). Notably, during Balikatan 23 (April 11–28), the most recent iteration of the annual military exercises between Manila and Washington, the CDR played a leading role in helping to retake the Filipino island of Bosco from a fictitious foreign aggressor, i.e. China. During the 13th India-Philippines Foreign Office Consultations in August 2022, both sides expressed their desire to deepen security cooperation, which they again reiterated at the conclusion of their 4th Joint Defense Cooperation Committee and 2nd Service-to-Service meeting in March 2023 (Manila Times, August 23, 2022; The Economic Times, June 30). To give substance to this commitment, the two countries agreed to work together on projects related to cyber and space security, military medicine, and humanitarian assistance and disaster relief. They also pledged to look into the possibility of deploying a permanent Indian Defense Attaché (DA) to Manila (Philstar, April 4). This latter possibility was again highlighted as a shared desire by both parties at the fifth JCBC meeting in June 2023, as was enhancing security ties through regular or upgraded interactions between defense agencies and combined maritime drills. India also offered the Philippines a concessional line of credit to buy indigenously manufactured military equipment, including naval and aviation assets (The Hindu, June 29; South China Morning Post, June 30; Mint, August 15). In August 2023, the Philippine and Indian coast guards signed a memorandum of understanding (MoU) to enhance professional maritime linkages in the areas of law enforcement, search and rescue, and pollution response. The MoU additionally mentioned exploring future avenues for joint exercises and training collaboration, while the two services also inked a Standard Operating Procedure for exchanging “white” (aka, licit) shipping information (The Economic Times, August 23). Rationalizing India’s Recalibrated Policy to the SCS and the Philippines Accounting for India’s recalibrated approach to the SCS issue and its defense relations with the Philippines relies on several interrelated factors. First, the Modi government has clearly balked at the CCP’s growing assertiveness in the region. New Delhi views it as a direct threat to freedom of navigation in a strategic sealine of communication that plays a crucial role in fostering the Act East Policy’s long-term goal of deepening engagement with Southeast Asia. Beijing’s extensive territorial claims in the SCS also undermine political and economic stability in the broader Indo-Pacific region and challenge the legitimate sovereign rights of littoral states. All of this runs counter to New Delhi’s prioritization of a peaceful, transparent, and inclusive maritime order. Second, India’s membership of the Quad has further reinforced and entrenched the country’s commitment to offsetting the PRC’s rapidly rising influence by supporting an open and rules-based Indo-Pacific and opposing unilateral actions that unduly raise tensions in the South and East China Seas. This was precisely the message that emanated from the Quad’s most recent Ministerial Meeting in New Delhi on March 3, 2023, where the grouping expressly presented itself as a force for regional and global good (The Hindu, March 3). Third, the June 2020 border clash with China in the Galwan Valley on the LAC (and subsequent periodic flareups) have encouraged New Delhi to assume a much more forceful stance against Beijing. Modi’s government now sees the PRC as the only major power in the region that poses a direct threat to its core national security interests (China Daily, July 27). Moreover, the border clash, which left 15 Indian soldiers dead, has encouraged India to be more supportive of countries in the Indo-Pacific that have similarly suffered from China’s belligerence. The Philippines is one such country, having borne the brunt of the PRC’s incursions in the SCS (especially in and around the Manila-controlled Second Thomas Shoal in the Spratly Island chain). Fourth, forging a closer defense relationship could open the door for India to ink more high-tech arms agreements with the Philippines. In this way, the sale of the BraMos cruise missile system in 2022 could be the first of many. As noted above, in June 2023 the Modi administration offered Manila a concessional line of credit to buy indigenously produced military hardware, so a suitable funding mechanism for orchestrating munition transfers is in place. Any future agreement to send advanced weapon platforms to the Philippines would represent a significant export revenue stream for New Delhi. The country’s coast guard has already expressed interest in buying a batch of MK III multi-role light helicopters from India (The Print, July 17; The Eurasian Times, August 24). Just as importantly, such deals would send a strong signal to the PRC of the type of security and diplomatic headaches India is willing to instigate for Beijing if it pushes its territorial claims along the LAC too aggressively. Fifth, since assuming office on June 30, 2022, President Marcos has reversed the previous administration’s foreign policy agenda to one that is now largely congruent with India’s: emphasizing adherence to democratic principles, ensuring the country’s sovereign border rights, reconsolidating the military alliance with the United States, and shoring up links with regional allies to counter Chinese intimidation. With similar outlooks on regional affairs and no immediate conflict of interests, it should come as no major surprise that the two nations have found common ground in strengthening and enhancing their bilateral defense cooperation. Deepening Collaboration Short of Alliance The PRC’s aggressive advances in the Indo-Pacific provide a mutual motivation for New Delhi and Manila to cooperate militarily. A serious escalation of tensions along the LAC or an act of overt aggression in areas of the SCS that fall within the Philippines’ exclusive economic zone could well precipitate a renewed push to further intensify bilateral ties based on a common commitment to deter and blunt Chinese adventurism. The likelihood of a codifying bilateral defense commitments, however, is low. India has always been wary of such formalized arrangements, especially in the conflict-prone Indo-Pacific theater, as they could ultimately force the country into a costly confrontation with China. The statutory strategic partnership agreement that Australia concluded with Manila in September is therefore something that the Modi administration would likely eschew. Rather, future defense relations can be expected to take the form of more flexible MoUs and protocols calling for greater information sharing, additional port calls, a higher tempo of exercises and training, and increased support for international rulings on the law of the sea. None of these will transform the Indian-Philippine partnership into a “mini alliance.” Nevertheless, opportunities for deepening the strategic coordination of two nations that already engage in a range of security collaborations represent a enhancement of India’s positioning in the region, to the exclusion of China. The PRC will doubtless interpret closer ties between New Delhi and Manila as part of a wider U.S.-led containment policy aimed at shutting China out of its own geostrategic “backyard.” As it routinely does when outside nations dispatch forces to the SCS, Beijing will almost certainly reject any Indian naval presence in the area as an unjustified—if not illegitimate—intrusion in its sovereign sphere of influence. For instance, an August article from Baijiahao, one of China’s largest blog platforms for independent writers, argues that New Delhi’s approach to the Philippines in part of a broader plan to wrest control of the entire SCS (Baijiahao, August 27). This echoes a line that CCP propaganda has often deployed in recent years (Remin Zixun, March 3, 2021). Despite these rhetorical protestations, the PRC would probably not move to actively counter any such deployment for fear that this could spark a direct clash both with New Delhi and its partners in the Quad. The preferred strategy would likely default to economic coercion—wielding the country’s considerable financial leverage to pressure pliable Southeast Asian actors into distancing themselves from the Indo-Philippine partnership. As has been evident with past “lobbying” efforts directed at Cambodia, a precedent exists for this type of economic offensive. The PRC may also look to subversive foreign influence operations (FIOs) as a means for decoupling Indian-Filipino maritime defense cooperation. The CCP’s United Front Work Department (UFWD), which has a remit for exercising political influence inside and outside China, enjoys an active presence in the Philippines. Local intelligence sources have already linked the Department to FIO campaigns aimed at manipulating public and elite opinion in favor of Beijing’s claims in the SCS (China Brief, May 19). As it has done with regards to negatively shaping popular attitudes on Manila’s alliance with Washington, the PRC could easily use the UFWD as a conduit for generating opposition—if not outright hostility—to Marcos’ closer security collaboration with Modi. Finally, the CCP may move to capitalize on Russia’s growing reliance on Chinese support—which has become more pronounced in the wake of the Kremlin’s international isolation over its war in Ukraine—to pressure President Vladimir Putin into towing an anti-India agenda in the Indo-Pacific. While Moscow and New Delhi have historically enjoyed warm ties, bilateral relations have cooled somewhat in recent years due to the latter’s closer alignment with the United States. This, combined with the fact that Russia continues to have strategic relevance for India, accounting for around 45 percent of the country’s arms imports (The Hindu, March 13), could make Putin a useful ally in backing a PRC drive to counter Modi’s evolving defense outreach to the Philippines.

Diplomacy
The Westland Lynx, British military helicopter with Royal Navy ship on the background

The UK’s new direction: Prioritising the Indo-Pacific

by Girish Luthra

The recent steps undertaken by the UK show the growing engagement with the Indo-Pacific and the clear intent to accelerate the same In March 2021, the United Kingdom (UK) released ‘The Integrated Review of Security, Defence, Development, and Foreign Policy’, outlining its vision, priorities, and strategies for ‘Global Britain in a Competitive Age.’ While it covered a broad range of areas aligned with its national objectives, two aspects stood out from a policy-reorientation perspective. One, a departure from its earlier approach of cordiality and accommodation with China; and two, its decision to deepen engagement with and play a more active role in the Indo-Pacific region. It included a separate section ‘The Indo-Pacific Tilt: A Framework’, which stressed that “we will be the European partner with the broadest and most integrated presence in the Indo-Pacific.” The ’tilt’ framework met with scepticism, in some cases with cynicism, because the UK had remained somewhat withdrawn, in general, and peripheral to the Indo-Pacific region, in particular, in the preceding few years. There were questions about the UK’s seriousness and headroom available for resource allocation to follow through with this new strategy. Notwithstanding, the UK government started to take new steps, as well as moving forward with some earlier initiatives related to the Indo-Pacific. The big announcement in September 2021 of AUKUS (Australia, the UK, and the US), an informal security alliance focused on the western Pacific, sent the clearest signal that the ‘tilt’ was more than just a strategy paper. It also indicated that the plans “… to enhance China facing capabilities to respond to systemic challenges it poses to our security, prosperity, and values…” would be realised through partnerships and alliances. The UK seeks to contribute to deterrence against China through the AUKUS, which has taken numerous steps in the last two years to expand defence collaboration in emerging technologies and industrial capabilities. The UK’s ‘tilt’ implementation challenges were compounded by the post-pandemic economic slowdown and the Russia-Ukraine war. At the same time, there were rapid changes in the global and regional strategic environment. For the UK, these implied the continued indispensability of the US, the criticality of the EU, and the importance of the Indo-Pacific. A revised strategy articulation was accordingly done through a comprehensive document titled ‘Integrated Review Refresh 2023: responding to a more contested and volatile world’, published in March 2023. It updated the broad strategic framework across geographies, sectors, and themes and was more explicit about the China challenge. With respect to the Indo-Pacific, it outlined the progress made since the announcement of the ‘tilt’ strategy. These included FTA agreements with Australia, Japan, the Republic of Korea, New Zealand, Singapore, and Vietnam. It highlighted deepening several bilateral relationships, partnership roadmaps with India and Indonesia, dialogue partner status with ASEAN, applying for joining the ASEAN regional forum and ADMM Plus, progressing negotiations to join the CP-TPP, deployments by the Royal Navy to the region, digital partnerships, and working together on green transitions. It pointed out that the Euro-Atlantic would continue to be the overriding priority, followed by the Indo-Pacific. Overall, the ‘Refresh’ document showed that the UK’s engagement with the Indo-Pacific was progressing well and that there was a clear intent to accelerate the same. The last two and a half years have firmly established the UK’s new direction, with emphasis on outcomes that are based on diplomatic and cooperative instruments. This trend is supported by a growing anti-China sentiment, increasing consensus for alignment with the Indo-Pacific framework, and a broader agreement on strengthening resilience against coercion and unforeseen events. A recent report by the UK House of Commons Foreign Affairs Committee, released on 30 August, has brought out a detailed assessment of the evolution and progress of the Indo-Pacific ‘tilt’ strategy. While recognising the steps taken towards implementation, it has made several recommendations. Some of these include a cross-government approach, focus on long-term objectives and outcomes, seeking to join the Quad, inviting Japan and the Republic of Korea to join AUKUS for ‘Strand-B’ activities of defence cooperation, pushing for Japan to eventually join AUKUS, campaigning to admit Taiwan to CP-TPP, dropping overcaution about offending the CCP over Taiwan, and releasing an unclassified version of its China strategy. This stems from a broad assessment that while Euro-Atlantic is the overriding priority, the long-term threat is from China. Another report on China by the Intelligence and Security Committee of the UK parliament, presented in July 2023, has highlighted that the Chinese approach to pursuing its global ambitions makes China a national security threat to the UK. The report covers diverse challenges emanating from espionage, interference, influence operations, and investments (the UK receives the highest FDI from China, compared to any other European country). It concludes that the response and preventive actions have been slow and inadequate, and recommends a proactive approach to counter China, with increased allocation of resources. These reports are indicative of increased political convergence on the need to take forward the plans for the Indo-Pacific and China with a sense of urgency. The coming months are likely to see increased momentum in the implementation of priorities indicated in the ‘Refresh’. In addition, delivering on the India-UK comprehensive strategic partnership and the 2030 Roadmap for India-UK future relations is being accorded high priority. It is important that this joint roadmap, the UK’s integrated review, and its plans for the Indo-Pacific are seen in sum and as mutually reinforcing. While attention is currently focused on the ongoing negotiations for the India-UK FTA—expected to come to fruition soon—it needs to be highlighted that there are many other important lines of action being pursued under the 2030 roadmap. The term ‘Tilt to the Indo-Pacific’ has also been a subject of debate since it was unveiled. To many, it seemed to suggest movement at the cost of some other important region. The ‘Refresh’ document refers to it but appears to somewhat deemphasise the term. The recent Foreign Affairs Committee report also recommends moving away from using it. While the use of ‘tilt’ in official language may fade away, the UK is likely to continue to lean heavily towards the Indo-Pacific. This priority can be expected to become more enduring, and increasingly credible in the coming years.

Diplomacy
Narendra Modi with Secretary Antony Blinken and Vice President Kamala Harris

India and Vietnam are partnering with the US to counter China − even as Biden claims that’s not his goal

by Leland Lazarus

This fall, Senate Majority Leader Chuck Schumer is slated to lead a bipartisan group of U.S. senators to China. The planned trip, like other recent visits to China by high-ranking U.S. officials, is aimed at improving the relationship between the U.S. and China. Such efforts to ameliorate U.S.-China diplomatic relations come amid growing tensions between the two economic giants. They also run parallel to U.S. efforts to strengthen ties with Indo-Pacific countries to limit Beijing’s influence. Take, for example, President Joe Biden’s September 2023 trips to India for the G20 summit and to Vietnam, where U.S. competition with China was a focus of Biden’s discussions. While he was in Asia, Biden made several agreements in science, technology and supply chain security designed to bolster U.S. relations with India and Vietnam. “I don’t want to contain China,” the president told reporters in Hanoi on Sept. 10, 2023, shortly after meeting with Vietnam’s communist party leader. U.S. Reps. Mike Gallagher and Raja Krishnamoorthi echoed similar sentiments during an event held by the Council on Foreign Relations think tank in New York City the following day. But even if the U.S.’s stated goal isn’t to limit China’s global influence, its recent agreements with India, Vietnam and other countries may do exactly that. What US-led G20 deals mean for China The U.S. is actively looking for ways to blunt one of China’s best tools of influence: international loans. During the G20 summit Sept. 9-10 in New Delhi, the U.S. pledged to help reform the World Bank and International Monetary Fund to make them more flexible in lending to developing countries to finance renewable energy, climate mitigation and critical infrastructure projects. Biden committed the first US$25 billion to make those reforms possible and secured additional financial pledges from other countries totaling $200 billion in new funding for developing countries over the next decade. The U.S. also signed onto a deal with the European Union, Saudi Arabia and India that will help connect the Middle East, Europe and Asia through rails and ports. Characterizing it as a “real big deal,” Biden said the rail and ports agreement would help stabilize and integrate the Middle East. These plans are aimed at providing an alternative to China’s Belt and Road Initiative. Commonly referred to as BRI, the initiative is China’s international infrastructure loan program. Over the past decade, Chinese government agencies, banks and businesses have loaned more than $1 trillion abroad, and 60% of the recipient countries are now in debt to these Chinese entities. The U.S. and other countries have long criticized BRI as “debt trap diplomacy.” One study suggests that the trillions of dollars in infrastructure loans to countries by the government and quasi-government bodies in China typically lead to debt problems that the borrowing countries can’t manage. As China grapples with a slowing domestic economy, it may become more difficult for Chinese entities to keep shelling out funding for big-ticket overseas projects. The new U.S.-led agreements that come out of the G20 could fill the coming gap. These G20 plans complement existing Western economic initiatives to compete with the BRI, including U.S. trade pacts for the Indo-Pacific region and the Americas, the EU’s Global Gateway and the G7’s Partnership for Global Infrastructure and Investment. What the US’s agreement with India means for China In their meeting on the sidelines of the G20, Biden and Indian Prime Minister Narendra Modi agreed to deepen collaboration on developing critical and emerging technology, such as quantum computing and space exploration, as well as 5G and 6G telecommunications. This will help India compete with China in the technological arena in the Indo-Pacific. The telecommunications portion of a joint statement by Biden and Modi specifically mentions the U.S.’s Rip and Replace program. It is about helping smaller telecommunications companies rip out technology from Chinese companies like Huawei or ZTE and replace them with network equipment from the West that will protect users’ data. The U.S. has banned Huawei and ZTE equipment from its telecommunication networks, deeming those companies national security risks. The U.S. and India’s pledge to support Rip and Replace is a direct counter to China’s telecommunication technology expansion. What the US’s agreement with Vietnam means for China In Vietnam, Biden elevated the bilateral relationship to a comprehensive strategic partnership, expanding the relationship in everything from economics to education to technology in a country that has long counted China as its top trading partner. The enhanced partnership includes the U.S. providing $2 million to fund teaching labs and training courses for semiconductor assembly, testing and packaging. One company in Arizona and two in California have already pledged to set up semiconductor factories and design centers in Vietnam, and the U.S. artificial intelligence company Nvidia will help Vietnam integrate AI into automotive and health care systems. All these investments will make Vietnam even more attractive to U.S. and Western companies that don’t want China to be the sole source of their supply chain. As Vietnam becomes a key player in the semiconductor market, it will shrink China’s share of the market as well as its regional technological advantage. The U.S. also agreed to provide nearly $9 million to help Vietnam patrol the waters around its borders and beef up port facility security, as well as boost efforts to fight illegal, unregulated and unreported fishing, or IUUF. While not explicitly mentioned, China is the target of this initiative; China and Vietnam continue to be at loggerheads over disputed claims over the Spratly Islands in the South China Sea, and Chinese industrial fishing vessels are the largest culprits of IUUF around the globe. By inking these agreements at the G20 in India and in Vietnam, the U.S. broadened its circle of allies and partners in the Indo-Pacific that can help counterbalance China. Along with similar diplomatic accomplishments by Vice President Kamala Harris at the recent ASEAN summit in Indonesia; security partnerships like AUKUS, between the U.S., Australia and the UK, and the Quad, between the U.S., India, Australia and Japan; increased military sales and training to Taiwan; and the recent Camp David meeting Biden held with Japan and South Korea, the U.S. is building partnerships all across Asia. These actions are aimed at restraining China’s political, economic and military might, even if U.S. leaders don’t explicitly say that is their intention. Regardless of rhetoric, actions speak louder than words.

Diplomacy
The leaders of four BRICS countries, Lula, Xi Jinping, Cyril Ramaphosa with Russian Foreign Minister Sergey Lavrov

BRICS and the West: Don’t Believe the Cold War Hype

by Cedric H. de Coning

While it is prudent to be cautious, it may also be wise to explore cooperation in those areas where there are shared interests rather than assume that the BRICS and the West are strategic rivals on all fronts.This analysis was first published in the Global Observatory, 30 August 2023.When Jim O’Neill coined the BRIC acronym in 2001, the point he was trying to convey was that the global economic system needed to incorporate the world’s largest emerging economies. His advice fell on deaf ears and in 2009, Brazil, China, India and Russia decided to take matters into their own hands and formed the BRIC grouping. South Africa joined the group in 2010 to form the BRICS. This July, the group held its 15th summit in South Africa, where they decided to add six new members: Argentina, Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates. More are likely to join in the future, including countries like Indonesia and Nigeria. What these countries have in common is a frustration, if not a grievance, about being side-lined to the periphery of the world economy. Together, the BRICS represent approximately 40% of the world’s population. The combined size of their economies are approaching approximately 30% of the world’s GDP, which puts them roughly on par with combined size of the economies of the G7 countries, depending on whether size is measured in GDP or PPP.  More importantly, in the next few decades, the combined size of the BRICS economies will surpass that of the G7. Despite this growing parity, all the members of the BRICS, with the exception of Russia, self-identifies as being part of the Global South, i.e., they feel excluded from a global system dominated by the Global North. Their stated aim is to work towards a future system of global governance where they will have equal political and economic say in global institutions, and where no one state will dominate others. In pursuit of this aim, BRICS countries have established their own development bank, set up their own contingency reserve arrangement, are developing their own payment system, and have started to trade with each other in their own currencies. The BRICS want to free their economies from the dollar-based international financial system. They feel exposed to United States interest rates that can have a negative effect on their economies, for no domestic reasons. The dollar-based financial system also provides the US with significant advantages in the global economy, which the BRICS see as unfair. They also feel a dollar-based financial system gives the US hegemonic influence in global affairs, through for example, exerting US jurisdiction on all dollar-based trade or investments that flow through US banks or financial institutions. While the BRICS countries have these clear shared macro-economic interests, many of the members also have competing interests in other domains. China and India are geopolitical rivals in South Asia. Egypt and Ethiopia are at loggerheads over the Nile. Brazil, India, South Africa and the newly-added Argentina are democracies, while other countries in the group are governed by a diverse set of autocratic regimes, which could set up an irreconcilable clash of values on some issues. Many of the members of the BRICS also have close ties to the United States and Europe, including Egypt, India, Saudi Arabia and South Africa. South African President Cyril Ramaphosa, in a televised statement to the nation on the eve of hosting the BRICS summit in South Africa, explained that South Africa remains non-aligned, and he announced that in 2023 the country will also host a major United States-Africa trade meeting and an EU-South Africa summit. South Africa will also host the G20 in 2025, the first in Africa. For many countries, membership of the BRICS does thus not necessarily imply aligning themselves with one global alliance versus another, but rather cooperation in a group around a series of shared interests. Where does this place the BRICS on the Russian war in Ukraine? The BRICS summit in Johannesburg steered clear of taking a position on the war, other than welcoming mediation aimed at resolving it through dialogue and diplomacy. Some BRICS members like Iran are clearly supporting Russia, while most others have stopped short of either supporting or condemning Russia. For many such as Egypt, the war has adversely affected their economy. Two of the BRICS members, Egypt and South Africa, are part of an African initiative to seek a mediated end to the conflict, which is perhaps the first African initiative to mediate an international conflict. Overall, however, the BRICS have their eyes on the medium- to long-term transformation of the global macro-economic and financial system, and countries like China are probably frustrated that the Russian war in Ukraine has drawn attention away from this larger objective. Are the BRICS and the West headed for a new cold war? The shift in the center of gravity of the global economy to the East is an unstoppable fact driven by demographics and economic factors like the cost of production. At the same time, Europe and the United States will remain major economic players. In tandem with these changes in the global economy, it is clear that the global political order will become more multipolar, with China, Europe, India, and the United States representing some of the major centers of influence. In an August 27 article, Jim O’Neil argues that the influence of the BRICS will be determined by their effectiveness, not their size. An expanding BRICS will most likely succeed in helping its members to break free from a dollar-based international financial system, but that will take several decades of incremental change before it reaches a tipping point. Whether that is a good or bad thing depends on the degree to which your economy is tied to the United States. Many of the BRICS countries, including China, Egypt, India, Saudi Arabia, and South Africa all have economies whose prosperity are closely tied to the Unites States. They will thus have an interest in a slow, stable freeing up of the international financial system, and this should give everyone that is prudent time to adapt. The same logic also applies to changes in global governance architecture. Apart from Russia, all the other BRICS countries have an interest in making sure that changes in the global order are managed at a slow steady pace that does not generate instability. All the BRICS countries, apart from Russia, are also strong supporters of multilateralism, with the United Nations at its center. Many Western countries and BRICS members may thus have more shared interests than the doomsday headlines suggest. While it is prudent to be cautious, it may also be wise to explore cooperation in those areas where there are shared interests rather than assume that the BRICS and the West are strategic rivals on all fronts.

Defense & Security
The leaders of four BRICS countries, Lula, Xi Jinping, Cyril Ramaphosa with Russian Foreign Minister Sergey Lavrov

BRICS rises

by Manoj Joshi

Now with 11 members, BRICS’ decision-making by consensus will be that much more difficultOnce upon a time, the BRICS were nothing but a slogan devised by Goldman Sachs’ economists to describe four emerging market economies to which South Africa was later added. But more than a decade later, the grouping, now with an investment bank—New Development Bank—of its own is besieged by dozens of countries of the Global South for membership.The Johannesburg summit of BRICS has drawn unusual interest around the world. There was a time when it barely merited a mention in the western press, but now it has been the subject of major stories, in which some saw BRICS as brittle whiel others thought it was  seeking to challenge the G7 and the western world through a process of enlargement. While the BRICS puts itself forward as a unified face of the emerging economic powers, the reality is that within the organisation—which  is neither a trade nor military bloc—there is considerable jostling between two Asian powers who are developing a global imprint—India and China.BRICS expansion announced in JohannesburgOne of the issues where this jostling played out in was the BRICS expansion process. Reportedly, 40 countries have expressed interest in joining BRICS, though some 22 nations had formally expressed interest in joining the bloc. With the latest expansion, Iran, Egypt, Argentina, Ethiopia, Saudi Arabia and UAE have been offered membership effective 1 January 2024. That there was a bit of lobbying is evident from the fact that  last week, President Ebrahim Raisi of Iran spoke on the phone with Prime Minister Modi. According to the official spokesman, they talked about “regional and bilateral matters” as well as issues like the expansion of BRICS. The two leaders later met in Johannesburg as well.There was some doubt at the beginning of the summit as to whether expansion would actually be announced. This was because of the intense negotiations over the names of the proposed members.Earlier this month, an Indian official spokesman had clarified that India believed that BRICS expansion should take place through “full consultation and consensus” among members of the bloc. In his speech at the summit, the Prime Minister made it clear that “India fully supports the expansion of the BRICS membership. And welcomes moving forward with consensus in this.” On Thursday, too, there were reports that there were “eleventh hour negotiations” over the potential new members. Reuters claimed that an agreement had meant to be adopted on Wednesday, but it was delayed by India’s introduction of new criteria for membership. On Tuesday President Lula of Brazil had made it clear that his country was did not want to be any kind of “a counterpoint to G7, G20 or the United States. We just want to organise ourselves.”In an organisation that acts through consensus, getting in is difficult, but global politics is about give and take and a certain degree of persuasion and arm twisting does go on. So does the notion of giving a push to countries who you see eye to eye with and blocking countries that you don’t. Sometimes the negotiation involves two powerful players splitting the difference and negotiating the entry of countries in such a way that a balance of sorts is maintained. This is the way India became a member of the Shanghai Cooperation Organisation dominated by China. India’s case was pushed by Russia to balance China, and Beijing finally agreed to have India, if Pakistan, its “iron” friend, could become a member at the same time.Another element in such organisations is that countries seek membership not just to further their interests but to block the ambitions of others. In this way, China sought and became a member of the Asia Pacific Economic Cooperation (APEC) arrangement and once in there, it has used its vote to block efforts by the United States (US) to shape APEC into an Asia Pacific Economic Community in the manner of the European Economic Community that finally gave rise to the European Union.India has been reportedly joined by Brazil in resisting the haste and suggesting that new members may first be given the status of observers. The Indian position has been that while it was all for expansion, there was need to develop and standardise mechanisms to consider the applications and move on them.As of now, BRICS is more of a symbol than a unified and purposive entity. True, it has members like China and India who wield substantial power in their respective regions, but the entity itself hardly functions as an economic bloc of any kind. It does have the New Development Bank headquartered in Shanghai, which, in 2021, sharply stepped up its disbursements to US$7.6 billion, with its total disbursements being of the order of US$32 billion for infrastructure and sustainable development in four continents . The initial subscribed capital of the bank is equally distributed among the BRICS members.China’s role in and vision for BRICSBeijing, no doubt views BRICS as a means of offsetting US global power. In a page 2 commentary in the People’s Daily by someone with the nom de plume  “Huanyu Ping,” said that currently the world governance system was “at a historical turning point”. The growth of the emerging market and developing countries has enhanced their influence. But the western-dominated global order was a “stumbling block to world economic development and social progress.” The multilateralist BRICS was therefore providing a model for decisions to be made on the basis of equality and consensus, as testified by the share-holding of the New Development Bank. They also actively promoted reform of the global governance system and upheld the validity of multilateral and multipolar solutions.There should be no doubt about the weightage China has within BRICS. It has a GDP more than twice the size of the other members combined. Its economy may have slowed down but it is still growing, with IMF predicting a 5.2 per cent growth as against 5.9 for India. The others are growing at less than 1 per cent.  It has played a significant role in getting together two of the new incoming members, Saudi Arabia and Iran. In 2022, China was the largest trading partner of South Africa, India and Brazil.There should be little doubt that China sees Africa as a battleground in the global struggle against the US. In a meeting with President Cyril Ramaphosa on Tuesday, President Xi spoke of the urgent need for China to promote cooperation with Africa because of “changes and chaos” in the world, an indirect allusion to the US. He took up the theme in the Business Forum meeting that he did not attend, but where his speech was read out: “Right now, changes in the world, in our times, and in history are unfolding in ways like never before, bringing human society to a critical juncture.”China may swear by multilateralism, but it is not really comfortable with it. What it is seeking to do is to shape institutions like BRICS in its own image for countering its principal rival, the United States of America. In this, it is unlikely to get Indian support, so what it is trying to do is to pack its membership with countries where it has already made significant investments through its Belt & Road Initiative. Such countries would be inclined to follow its global agenda, which is now manifesting itself as the Global Security Initiative, Global Development Initiative and the Global Civilisation Initiative.The Chinese aim, according to James Kynge in the Financial Times is two-fold. The first is to ensure that large parts of the world remain open to Chinese investment and trade in an environment where western attitudes are increasingly hardening. And the second is to have a bloc of votes in multilateral forums like the United Nations (UN) to project Chinese influence.In the turbulent world, China’s path is not an easy one. Its economy is slowing down and its global security calculations have been roiled by the Russian adventure in Ukraine. Further, in promoting the Global South it runs up against India which has its own ambitions, as well as the backing of the west. Even while promoting the UN and its institutions, China is not interested in any serious reform there because that could result in a bigger role for its adversaries like Japan and India.Done increases with the expansion of its membership. Now, with 11 members, things will be that much more difficult. The BRICS countries have economies and geopolitical profiles that are hugely divergent, and which makes consensus-based decision-making hugely difficult.