Saudi Arabia, the world’s largest crude oil exporter, has been invited to become a full member of the BRICS economic bloc, along with Iran, the United Arab Emirates, Argentina, Egypt and Ethiopia, South African President Cyril Ramaphosa said Thursday.
All the invitees have already expressed an interest in joining.
“The membership will take effect from the first of January, 2024,” Ramaphosa said.
The news came on the final day of this year’s annual BRICS summit of major emerging economies in Johannesburg, South Africa, and marks the group’s first expansion since 2010. The group currently includes Brazil, Russia, India, China and South Africa.
In a video message, Russian President Vladimir Putin congratulated the new BRICS members, adding that the bloc’s global influence would continue to grow.
“I would like to congratulate the new members who will work in a full-scale format next year,” Putin said.
“And I would like to assure all our colleagues that we will continue the work that we started today on expanding the influence of BRICS in the world. [By that] I mean establishing practical work with new members and with those who will work in the BRICS outreach with our partners and would like to work with us,” the Russian president added.
Putin also said the issue of a common currency for BRICS countries was a “difficult question” but added “we will move towards solving these problems.”
Indian Prime Minister Narendra Modi also welcomed the expansion, saying his country had always believed that adding new members would strengthen the bloc.
The announcement puts Saudi Arabia, the world’s largest crude oil exporter, in the same economic bloc as the world’s biggest oil importer, China.
The bloc’s expansion has raised questions of potential de-dollarization.
However, analysts have said a BRICS currency is “unlikely” in the near future
