Argentina declines membership in BRICS

According to several news media outlets, Argentina has officially declined an invitation to join the BRICS group of nations.

The rejection was conveyed through an official letter sent to the leaders of Russia, China, India, Brazil, and South Africa. This decision marks a significant shift from the stance of the previous president, Alberto Fernandez, who had accepted the invitation in August, believing it would provide new opportunities for Argentina’s development.

However, President Javier Milei, who assumed office in November, has expressed opposition to aligning with the alliance, citing concerns about the lack of respect for free trade, freedom, and democracy among the BRICS nations.

The letter from Buenos Aires, addressed to Brazilian President Luiz Inacio Lula da Silva, stated that the new Argentinian government’s policies would differ from its predecessor’s, and its participation in BRICS would be reviewed.

Argentina’s foreign minister, Diana Mondino, also emphasized that the government saw no advantage in joining the group and would therefore not pursue membership.

Milei’s government has announced plans to strengthen bilateral ties with BRICS members, particularly in the areas of trade and investments.

Despite not aligning with the communists, the government will not hinder the Argentinian private sector from conducting business with any desired partners. However, the country is currently grappling with a severe economic crisis, marked by a staggering 160% inflation rate over the past year.

The devaluation of the peso has led to the need for Argentina to refinance its $44-billion debt to the IMF.

Additionally, the government is facing widespread protests due to its radical deregulation and austerity-based reform program.

South Africa, the current chair of BRICS, has reported that over 40 countries have expressed interest in joining the association. Starting from January 1, Egypt, Ethiopia, Iran, the UAE, and Saudi Arabia will become new members of BRICS.

Russia is set to assume the presidency of BRICS in 2024, with priorities including expanding the group’s network to include Latin American countries and increasing trade settlements using national currencies, as stated by Deputy Foreign Minister Sergey Ryabkov in October.