KUALA LUMPUR: Malaysia's deeper involvement with BRICS highlights its aim to expand its global footprint, diversify economic partnerships, and explore new development paths.
According to Dr. Paul Anthony Mariadas and Dr. Uma Murthy, Accounting and Finance lecturers from Taylor's Business School, joining BRICS could offer Malaysia substantial advantages, particularly in gaining improved trade and investment opportunities.
They pointed out that BRICS nations collectively represent over 40 per cent of the world's population and contribute about 25 per cent of the global domestic product (GDP).
"Malaysia's inclusion in this bloc could facilitate stronger economic ties with countries like China and India, both of which are already major trading partners.
Diversifying economic partnerships beyond traditional Western markets could enable Malaysia to lessen its dependence on a limited number of trading partners, thereby providing access to larger markets.
"For instance, joining BRICS could mean more Malaysian exports to India and Brazil, boosting sectors like palm oil, electronics, and rubber," they added.
The duo said Malaysia, as part of BRICS, would gain a louder voice in global economic governance.
"Malaysia's participation could offer it a platform to influence global financial policy more effectively, especially concerning issues like international trade, climate change, and sustainable development.
"The country could play a pivotal role in ASEAN-BRICS cooperation, acting as a bridge between Southeast Asia and the BRICS bloc, thus enhancing its regional and international diplomatic standing," they added.
According to Paul Anthony and Uma, by joining BRICS, Malaysia would align itself with countries advocating for a more equitable global order, which might be advantageous in negotiating international treaties or responding to global challenges.
"BRICS is often seen as a counterbalance to the global dominance of the U.S. and European nations, representing an emerging multipolar world.
"This could give Malaysia more autonomy in its foreign policy, allowing it to navigate between competing global powers more effectively," they added.
Nusantara Academy of Strategic Research senior fellow Professor Dr Azmi Hassan told Business Times that palm oil could gain a huge advantage if Malaysia joined BRICS.
"European nations have imposed sanctions and blocked palm oil imports from entering the market. With BRICS, with China and India as two of Malaysia's largest palm oil buyers, could create substantial opportunities for this sector.
"Beyond palm oil, we already maintain trade relationships with Russia, China, and India, so for other BRICS members like Iran and Egypt, this alliance would not drastically change existing trade dynamics," he told Business Times.
Azmi said in terms of decision-making, it is important to note that BRICS nations represent the Global South, whereas the G7 is largely comprised of the Global North, whose decisions impact the Global South.
"I think the decision made by the Glob North can be balanced not as competition but can be balanced from the Global North via BRICs for the Global South.
"In this case, trade will be more fair, not advantageous to the Global North only. I think that is the real advantage for Malaysia and other emerging economies," he said.