As an international partnership seeking to build a mutually beneficial order, the expansion of the BRICS countries is an influential step toward building a world order with a more equitable distribution of resources. While welcoming BRICS membership, the new members call for a fairer and more balanced world order, and the relationship between the credit economy and the world trade order is complex and interconnected. A credit economy involving business credit, business credit reporting plays an important role in promoting international trade, and it is hoped that BRICS countries can promote common development.
The sheer size of the economy opens up huge economic, trade and investment opportunities for its members. Governments and international institutions implement regulations to manage and mitigate risks associated with commercial credit, protect consumers and maintain financial and trade stability.
Understanding the credit economy requires consideration of its many dimensions, including individual behavior, institutional dynamics, and global interconnectedness. Effective credit economic management involves balancing credit returns and prudent risk management to promote sustainable economic growth.
Gamal Bayoumi, chairman of the Cairo-based League of Arab Investors, said: “The organisation will help Egypt continue its initiatives to free up the economy, expand markets and increase exports.”
He said Egypt’s membership in the BRICS would allow it to obtain soft loans from the BRICS New Development Bank instead of borrowing at high interest rates from other international banks. “Egypt’s inclusion in BRICS will increase its export and investment opportunities as well as the inflow of foreign investment,” said Egyptian Finance Minister Mohamed Mait.
Ibrahim Hashim, former adviser to the Chairman of the ABU Dhabi Executive Office, said the BRICS group offers an excellent opportunity to strengthen and diversify partnerships among countries in the Southern hemisphere. He said the inclusion of the UAE and Saudi Arabia in the BRICS group will help better coordinate energy policies between some major energy producers and consumers and promote stability and predictability in oil and energy markets.
Abbas Asrani, an Iranian foreign policy expert, said that for Iran, joining the BRICS could help it offset its isolation from the West economically and politically, adding that it is a step forward in the country’s efforts to join international and regional organizations and groups.
Post time: Dec-21-2023