The union cabinet approved the signing of a Memorandum of Understanding (MoU) amongst BRICS (Brazil, Russia, India, China and South Africa) nations for a Regional Aviation Partnership Cooperation.
According to an official statement, the MoU signifies an important landmark in the civil aviation relations between India and other BRICS member states and has the potential to spur greater trade, investment, tourism and cultural exchanges amongst them.
Among the areas of cooperation, the following areas have been identified:
- Public Policies and best practices in regional services.
- Regional Airports.
- Airport infrastructure management and air navigation services.
- Technical cooperation between regulatory agencies.
- Environment Sustainability; including deliberation of global initiatives.
- Qualification and Training.
- Other fields as mutually determined.
The MoU signifies an important landmark in the civil aviation relations between India and the other BRICS Member States and has the potential to spur greater trade, investment, tourism and cultural exchanges amongst the BRICS Nations.
BRICS is the acronym for an association of five major emerging national economies: Brazil, Russia, India, China and South Africa.
The acronym “BRICs” was initially formulated in 2001 by economist Jim O’Neill, of Goldman Sachs, in a report on growth prospects for the economies of Brazil, Russia, India, and China – which together represented a significant share of the world’s production and population.
Why does the world need the BRICS?
Jim O’Neill’s point has been that the world is changing. The leading role of the Group of Seven (G7) and, more broadly, of the Organisation for Economic Cooperation and Development (OECD) is no longer undisputed. Most multi-lateral institutions were designed in the era when the West dominated the world. The US and Europe are over-represented in the IMF and the World Bank. Together with Japan, they control most regional development banks as well.
This imbalance has been especially clear during the recent global financial crisis when the need for participation by non-G7 countries became evident. This resulted in reviving the Group of 20 (G20) and proposals to redistribute voting rights in international financial institutions. But change has been slow and Western countries continue to control the international financial institutions.
This is why BRICS summits are so important. These meetings provide a unique forum where non-OECD leaders can discuss global challenges and coordinate their actions within and outside global institutions. The small size of the club and the absence of OECD partners helps in shaping the discussions at the summit.