HARARE , The Zimbabwean government is exploring the possibility of joining BRICS, a group of emerging national economies comprising Brazil, Russia, India, China, and South Africa. The move is aimed at helping the struggling African nation to establish alliances and open up new trade corridors with its fellow BRICS member states, Russia and China.
Livit Mugejo, spokesperson for Zimbabwe’s Ministry of Foreign Affairs, confirmed the development in an interview on Thursday. Mugejo said that Zimbabwe, which has been grappling with a crippling economic crisis for decades, is keen to land alternative lines of credit to shore up its fragile economy.
According to reports, Zimbabwe has not received any financing from the International Monetary Fund (IMF) in over two decades, and the country is desperate to explore other avenues for financial assistance. The US and European Union imposed economic sanctions on Zimbabwe in the early 2000s due to alleged poll fraud, human rights abuses, and corruption under former President Robert Mugabe’s regime. However, Russia and China have not imposed any trade conditions against Zimbabwe, making it easier for the African nation to forge alliances with BRICS.
Mugejo added that Zimbabwe has good relations with all member states of BRICS and believes it has a lot to offer to the group in terms of its rich endowment in minerals. BRICS nations established the New Development Bank (NDB) in 2014 to provide an alternative to the World Bank and the IMF. In addition to launching the NDB, BRICS also established a liquidity mechanism known as the Contingent Reserve Arrangement (CRA) to assist members experiencing payment difficulties.
The BRICS bloc currently accounts for 31.5% of global GDP, while the G7 share has fallen to 30%. The addition of Zimbabwe to the group would help the African nation to strengthen its economy, increase trade, and establish new alliances. The move is expected to benefit both Zimbabwe and BRICS in the long run.
SOURCE -MASIMBANEWS ✍🏿