Malaysia’s BRICS Membership Could Boost Trade, Global Influence - Academicians
KUALA LUMPUR, Oct 28 (Bernama) -- Malaysia’s inclusion as a partner country in the BRICS alliance could facilitate stronger economic ties with countries like China and India, both of which are already major trading partners.
According to academicians Paul Anthony Mariadas and Uma Murthy, diversifying economic partnerships beyond traditional Western markets would allow Malaysia to reduce its reliance on a few trading partners, opening doors to larger markets.
“For instance, joining BRICS could mean more Malaysian exports to India and Brazil, boosting sectors like palm oil, electronics and rubber.
“Besides, Malaysia, as part of BRICS, would gain a louder voice in global economic governance,” they said in a statement today.
Both of them are lecturers for the school of accounting and finance at Taylor’s Business School, Faculty of Business and Law, Taylor’s University.
They said Malaysia’s participation in the platform could lead to influencing global financial policy more effectively, especially concerning issues like international trade, climate change, and sustainable development.
“Additionally, Malaysia 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,” said Mariadas and Murthy.
The country could gain from the New Development Bank (NDB) established by BRICS in 2014 to provide financing for infrastructure and sustainable development projects in member countries and other developing nations.
The academicians said Malaysia, with its focus on improving infrastructure, reducing inequality, and promoting sustainable development, could benefit from access to NDB funding for crucial projects, especially in sectors such as public transport, healthcare and green energy.
They said Malaysia could also tap into BRICS initiatives like the contingent reserve arrangement, which aims to provide liquidity support to member nations during financial crises.
“This could serve as an additional financial safety net for Malaysia, enhancing its economic resilience.
“By aligning itself with BRICS, Malaysia could benefit from technology transfers, research collaborations, and shared expertise in growing sectors such as artificial intelligence and renewable energy, (thereby) enhancing Malaysia’s own technological capabilities and helping foster a knowledge-based economy,” they said.
Furthermore, BRICS is often seen as a counterbalance to the global dominance of the United States (US) and European nations, representing an emerging multipolar world, said the scholars.
“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.
“This could give Malaysia more autonomy in its foreign policy, allowing it to navigate between competing global powers more effectively,” they added.
While joining BRICS could help Malaysia diversify its economic partnerships, it could also deepen its economic reliance on China, which faces its own economic challenges, including slowing growth and increasing geopolitical tensions with the US and its allies, they noted.
“Additionally, Malaysia would need to ensure that its sovereignty and economic independence are not compromised by becoming too reliant on China’s investments or economic policies.
“Ultimately, Malaysia would need to carefully weigh the ‘pros and cons’, considering its long-term national interests, foreign policy objectives, and domestic priorities before making any decisions regarding BRICS membership,” they said.
-- BERNAMA