BRICS Business Forum calls for stability in global markets

Durban: Captains of industry of the BRICS Business Forum on Wednesday asked member governments of the grouping to deepen their consultative engagements on economic policies to bring about stability and certainty in global financial markets.

“We fully support the efforts of our respective governments at the G20 that has emerged as the premiere forum to address critical global economic and financial issues,” the Forum said in its key recommendations after meeting on the periphery of the 5th BRICS Summit in Durban.

“We shall work collectively to carry forward the work agenda set by the G20 leaders for promoting stronger, sustainable and more equitable growth,” the Forum said.

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“We reiterate that the world economic order is changing and that the process of developing economic policy agenda at the global level should reflect this,” it said.

The Forum said that while there was a realisation even amongst the developed countries about the increasing economic weight of emerging economies, this was not fully reflected in the governance model of global institutions such as the IMF and World Bank.

“We shall continue to work alongside our governments to gradually usher in governance reforms at multi-lateral institutions,” it said.

The Forum welcomed the establishment of the BRICS Business Council as a practical measure that will deepen economic engagement amongst BRICS (Brazil, Russia, India, China and South Africa).

“Trade and investment are the two pillars of economic engagement amongst BRICS countries. We should look to continue enhancing intra-BRICS trade to achieve at least $500 billion by 2015 as per agreement from the previous Business Forum in India,” the Forum said.

“It is essential to improve the quality of trade by focusing on more value added trade in all the three sectors, namely manufacturing, services and agriculture,” it said.

“Likewise, we should capitalise on opportunities in sectors such as but not limited to agriculture and agro-processing, energy, sustainable development, infrastructure, mining beneficiation, pharmaceutical and information and communication technology,” it added.

The Forum also welcomed the discussions that are taking place amongst the respective governments about the possibility of setting up a development bank and investment fund and promoting trade within this group in local currencies.

PTI