GS-2Editorials12 September 2026thehindu.com

The BRICS bank — an alternative that wasn’t

The article critically examines the BRICS bloc's long-standing promise to establish an alternative to the Western-dominated global financial order, specifically through institutions like a new bank (New Development Bank) and a reserve fund (Contingent Reserve Arrangement) to rival the World Bank and IMF, and to reduce the dominance of the U.S. dollar. It concludes that, despite the rhetoric, these ambitions have largely not materialized due to the BRICS countries' deep integration into the existing global financial system.

The article critically examines the BRICS bloc's long-standing promise to establish an alternative to the Western-dominated global financial order, specifically through institutions like a new bank (New Development Bank) and a reserve fund (Contingent Reserve Arrangement) to rival the World Bank and IMF, and to reduce the dominance of the U.S. dollar. It concludes that, despite the rhetoric, these ambitions have largely not materialized due to the BRICS countries' deep integration into the existing global financial system.

Exam linkage

GS Paper 2: International Relations (Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests; Important International institutions, agencies and fora-their structure, mandate.)

Syllabus mapping

International RelationsInternational Financial InstitutionsGeopolitics & International ConflictsIndian Culture Art ArchitectureModern Indian HistoryWorld HistoryIndian Society DiversityWomen Population Urbanization

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