Country Report South Africa January 2011

The political scene: The BRIC grouping extends an invitation to South Africa

The BRIC grouping, comprising Brazil, Russia, India and China, invited South Africa to join in December, cementing the rise in the country's-and Africa's-global standing. While South Africa's population and economy are far smaller than the big four-and also much smaller than other candidates with a potential claim to membership, such as Mexico, Turkey or Indonesia-the invitation reflects South Africa's dominant position in Africa (at least in economic terms), its vast mineral wealth and BRIC's desire to represent all of the key emerging-market regions. South Africa hopes that BRIC membership will bring trade and investment benefits, but the impact may be relatively small, as the BRIC group is an informal term without a definitive agenda. The bilateral arena-and South Africa's membership of the longer-standing India, Brazil, South Africa (IBSA) forum-will continue to be more important, although joining the BRIC group (which may now have to be renamed) and taking part in summits is unlikely to do any harm.

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