In an important step to consolidate its economic ambitions, Indonesia has joined the BRICS economic alliance of Brazil, Russia, India, China, India, China and South Africa. This move is in line with President Prabowo Subianto’s goal of achieving 8% Gross Domestic Product (GDP) growth. Indeed, Subianto aims to position Indonesia among the fastest growing countries in the global economy. Jakarta’s inclusion in the BRICS Plus bloc is seen as a strategic step to achieve the country’s economic growth targets, attract investment and increase its global influence.[1]
BRICS was established in 2009 as an alternative coalition of emerging economies aiming to transform global governance and challenge the dominance of Western-centered institutions. Over time, it has evolved into an expanded formation called “BRICS Plus” with the participation of Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates (UAE):[2]
- BRICS Plus accounts for about 24% of global trade.
- The bloc has become a critical player in global economic dynamics, representing 28% of world GDP.
- By 2022, BRICS Plus is the largest trading partner of 28% of countries worldwide.
- Indonesia’s participation in BRICS will increase the country’s influence in global trade networks and create opportunities for multilateral cooperation, infrastructure financing and technology transfer.
In 2024, Brazil, which assumes the BRICS presidency, issued an official statement announcing Indonesia’s full membership of BRICS. This development has been met with considerable interest from a broad cross-section of the international community. Indonesia’s BRICS membership is not only a geopolitical development, but also a means to achieve the necessary structural reforms and global partnerships to support the country’s growth ambitions.
Chinese Foreign Ministry Spokesperson Guo Jiakun said that they welcome Indonesia’s admission as a full member of the BRICS bloc and sincerely congratulate Indonesia on this important development. Guo emphasized that Indonesia is a major developing country and an important actor in the Global South and that Indonesia embodies the spirit of the BRICS mission. In his remarks, Guo said that Indonesia will play an active role in the “BRICS Plus” cooperation and expressed his belief that its official membership will serve the common interests of BRICS countries, especially the Global South.[3]
China emphasizes at every opportunity that the BRICS bloc is one of the most important platforms to promote solidarity and cooperation in the Global South. The spokesperson emphasized that BRICS is a fundamental force promoting reforms in the global governance system and that member countries have always been committed to multilateralism, justice and common development. The expansion of BRICS with the accession of Indonesia reinforces the historical trend towards the collective rise of the Global South. China expressed its readiness to forge deeper and more comprehensive partnerships with Indonesia and other BRICS members, and reiterated its belief that the new partnerships will ensure high-quality development of cooperation and contribute to efforts to build a community with a common future for mankind.[4]
Indonesia’s full membership of the BRICS bloc reflects President Prabowo Subianto’s strategy to adopt a more proactive approach to foreign policy. In this regard, Indonesia’s Ministry of Foreign Affairs described BRICS membership as “a strategic way to strengthen cooperation and partnership with developing countries”. In this regard, Indonesia’s membership in the bloc is considered as an important milestone in BRICS’ expansion strategy.[5]
BRICS decided to expand at the 2023 Johannesburg Summit, and in the last year, countries such as Saudi Arabia, Iran, Ethiopia, Egypt and the UAE have joined the bloc, with 13 countries gaining partner country status. Indonesia’s membership process was initially suspended by President Joko Widodo’s decision but accelerated after the new government took office. Under the leadership of President Prabowo Subianto, Indonesia has made an active effort to join BRICS. Indonesia’s new Foreign Minister Sugiono stated that this membership “represents the country’s independent and active foreign policy approach” and is in line with priority national goals such as “food and energy security, poverty reduction and human capital development”.[6]
Indonesia’s BRICS membership reflects Southeast Asia’s interest in the BRICS bloc and likewise BRICS’ interest in the Global South. Other leading countries in the region, Malaysia and Thailand, have submitted formal membership applications, and Indonesia, Vietnam, Malaysia and Thailand have been recognized as associate countries by 2024. These developments are seen as a strategy by Southeast Asian countries to increase their economic and diplomatic flexibility in the international order. In the face of growing tensions between China, Russia and the West, Indonesia and the countries of the region are determined to maintain balanced relations with all parties. To summarize;
- Strengthening Economic Partnerships: President Prabowo Subianto’s administration recognizes that sustainable economic growth is possible through diversified trade partnerships and increased foreign investment. BRICS membership provides Indonesia with access to markets in Asia, Africa and Latin America, a step in line with strategies aimed at diversifying traditional trade relations.
- Infrastructure and Financing Opportunities: As emphasized by the East Asia Forum, large-scale infrastructure investment is critical to Indonesia’s growth ambitions. BRICS membership provides opportunities to finance infrastructure development projects through the New Development Bank (NDB) and leverage expertise in this area.
- Advocacy for the Global South: BRICS provides Indonesia with a platform to advocate for the interests of the Global South. In collaboration with other emerging economies, Indonesia aims to play an active role in shaping global policies on issues such as sustainable growth, fair trade and technology access.
- Attracting Investment: With BRICS Plus representing about one-third of global GDP, Indonesia’s BRICS membership enhances the country’s attractiveness as an investment destination. Cross-country cooperation will enable Indonesia to revitalize growth-oriented sectors such as energy, manufacturing and technology.
- Trade Volume and Growth Potential: As of 2024, Indonesia’s trade with the BRICS countries reached approximately $150 billion. Increasing this trade volume is critical for Indonesia to achieve the export growth required for its 8% GDP growth target.
- Key Exports and Imports: Indonesia’s main exports to BRICS countries include palm oil, coal and natural gas, which support energy security in BRICS economies. The main products imported from BRICS countries are machinery, electronics and chemicals, which support Indonesia’s industrialization process.
- Infrastructure Development: The realization of Indonesia’s growth ambitions relies on large-scale infrastructure projects, and low-cost financing provided by BRICS through the MDB will play an important role in their realization.
- Technology Transfer and Industrial Growth: BRICS membership could enable Indonesia to benefit from technological collaborations and industrial modernization in areas such as renewable energy, artificial intelligence and digitalization.
- Trade Diversification: Increasing trade within BRICS offers trade diversification that can reduce Indonesia’s dependence on traditional markets and support sustainable growth in the long term.
The BRICS bloc has become an important actor in international economic power dynamics, representing 40% of the world’s population and 35% of global GDP. With Indonesia’s full membership, BRICS’ current economic structure has been bolstered by its demographic advantages, creating a new synergy. Indonesia has an annual economic growth rate of around 5% and has the potential for a young and fast-growing labor force. This is an important contribution to the bloc’s search for growing economies.
ASEAN represents one of the world’s most dynamic regions with a population of more than 680 million. The combined GDP of ASEAN economies reached USD 4.3 trillion by 2024. ASEAN acts as a cornerstone of regional solidarity while consolidating Indonesia’s leading position in Southeast Asia. The ASEAN-China free trade agreement and Indonesia’s accession to the BRICS bloc have further emphasized the complementary nature of these two structures. However, Indonesia’s membership in BRICS has the potential to reshape the balance of power within ASEAN. The ongoing tensions between China and ASEAN, especially over the South China Sea, could become more complicated with Indonesia’s new role. Indonesia’s growing economic, demographic and diplomatic importance for ASEAN could contribute to deepening relations between BRICS and ASEAN, while also bringing new diplomatic challenges on a regional and global scale.
As a leader defending the interests of the Global South, China is one of the most important powers in the BRICS bloc. China welcomes Indonesia’s membership and sees it as an important step in the solidarity of the Global South and the emerging multipolar world. The Chinese Foreign Ministry’s statement emphasized that Indonesia embodies the spirit of the BRICS mission and supports the bloc’s multipolar vision. China’s projects, such as the Belt and Road Initiative, promote infrastructure and development cooperation in the Global South, while strengthening a broader strategy of economic solidarity under the BRICS bloc. With the accession of Indonesia, the potential for cooperation between ASEAN and BRICS is further enhanced.
Indonesia joining BRICS could be a precursor for ASEAN countries to play a more active role in global politics. However, the functionality of the BRICS bloc depends on whether it adheres to the principles of multilateralism and solidarity. The growing tensions, especially between Russia and the West, call into question whether the bloc can remain a neutral economic and political platform. BRICS and ASEAN cooperation offers important opportunities to reform global governance mechanisms, to make foreign aid mechanisms more equitable, and to amplify the voice of the Global South. However, the bloc’s economic size and diversity may make it difficult to formulate a coherent and effective joint action plan.
In conclusion, while Indonesia’s accession is a milestone for BRICS and ASEAN to play a more active role in global governance, multilateralism and common interests need to be prioritized for this new structure to fully exert its influence in the international system. China’s constructive policies are a guide for both BRICS and ASEAN in this regard.
[1] “Indonesia Joins BRICS: Unlocking New Economic Opportunities”, ASEAN Briefing, https://www.aseanbriefing.com/news/indonesia-joins-brics-unlocking-new-economic-opportunities/, (Date Accession: 08.01.2025).
[2] Ibid.
[3] “China congratulates Indonesia on becoming full member of BRICS”, CGTN News, https://news.cgtn.com/news/2025-01-07/China-congratulates-Indonesia-on-becoming-full-member-of-BRICS-1zXC2gwqDfi/p.html, (Date Accession: 08.01.2025).
[4] Ibid.
[5] Ibid.
[6] “Indonesia officially joins BRICS, Brazil announces”, AA, https://www.aa.com.tr/en/asia-pacific/indonesia-officially-joins-brics-brazil-announces/3443229, (Date Accession: 08.01.2025).
