Ah, the value of state visits. Russian President Vladimir Putin is in India for a few days, and the trip is certainly proving a profitable one. Deals so far include Russian helicopters to India, and a $2bn joint project financing deal between Russia’s sovereign wealth fund, the Russian Direct Investment Fund, and State Bank of India.
There was also talk of further deals in nuclear energy and other energy projects, as well as the usual “framework for our cooperation” diplomatic chatter.
By Akshay Mathur and Neelam Deo of Gateway House
Two recent developments – the $75bn bailout contribution from the Brics countries to the IMF, and the western push for sanctions against Iran – show how exposed the Brics economies are to western financial policies.
For decades, they have been successfully co-opted to submit to western-dominated institutions, leaving them with little motivation to build their own. Now, the Brics must urgently organize to build institutions of mutual economic benefit. The June 28 deadline that China faces on complying with Iran sanctions, highlights the urgency of the issue. Continue reading »
The big news to come out of the Brics summit in New Delhi last month was the formal proposal for a Brics development bank. But another item may end up being of greater economic significance: the Brics Cable.
This isn’t some Wikileaks exposé. Rather, it’s a proposed new route for a huge undersea telecoms cable connecting Vladivostok to Miami via Shantou, Mumbai and Fortaleza, Brazil. At a length of 34,000km, the cable will be the third longest in the world. So why is it needed? Continue reading »