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==Discussions==
==Discussions==
===Development bank===
===Development bank===

⚫
The main agenda for the summit was the creation of a new development bank. The bank would be used to fund development and infrastructure projects in developing countries;<ref>{{cite news | url=http://economictimes.indiatimes.com/news/international-business/brics-summit-focuses-on-new-development-bank/articleshow/12451716.cms | title=BRICS summit focuses on new development bank |work=The Economic Times |location=India |agency=AFP | date=March 29, 2012 | accessdate=March 29, 2012}}</ref> additionally, the bank could also be used, in the long term, for lending during global financial crises.<ref>{{cite web | url=http://www.ndtv.com/article/india/brics-summit-in-delhi-your-10-fact-cheatsheet-191142 | title=BRICS summit in Delhi : Your 10-fact cheatsheet | publisher=NDTV | work=Correspondent | date=March 29, 2012 | accessdate=March 30, 2012}}</ref> The idea for setting up the bank was put forward by India, as a sign of firming the power of the group and increasing its influence in global decision-making.<ref>{{cite web | url=http://www.aljazeera.com/indepth/features/2012/03/2012322743028880.html | title=BRICS bank could change the money game | publisher=Al Jazeera | date=March 23, 2012 | accessdate=March 29, 2012 | author=Kenn Klomegah, Kester}}</ref> Brazilian Trade Minister [[Fernando Pimentel]] said that the bank "would be a very powerful financial tool to improve trade opportunities, and may be a major step to support the EU to overcome its financial crisis."<ref name="saf"/>
The main agenda for the summit was the creation of a new development bank. The idea for setting up such a bank was put forward by India, as a sign of firming the power of the group and increasing its influence in global decision-making. Analyst John Mashaka called India's move "long overdue", and said that setting up a bank was a means of "pulling out of the western-dominated [[World Bank]] and the [[International Monetary Fund]]." Assistant professor at the Institute of African Studies (China) Yuhua Xiao noted that setting up the bank showed signs of growing self-assertiveness and inter-dependence among developing economies. Dr. Alexandra A Arkhangelskaya noted that creating such a bank would effectively "shift the weight of economic power", and could also be very beneficial to non-BRICS nations.<ref name="bank">{{cite web | url=http://www.aljazeera.com/indepth/features/2012/03/2012322743028880.html | title=BRICS bank could change the money game | publisher=Al Jazeera | date=March 23, 2012 | accessdate=March 29, 2012 | author=Kenn Klomegah, Kester}}</ref>

⚫
The aims of the bank would include funding development and infrastructure projects in developing and least developed countries;<ref>{{cite news | url=http://economictimes.indiatimes.com/news/international-business/brics-summit-focuses-on-new-development-bank/articleshow/12451716.cms | title=BRICS summit focuses on new development bank |work=The Economic Times |location=India |agency=AFP | date=March 29, 2012 | accessdate=March 29, 2012}}</ref> lending, in the long term, during global financial crises such as the [[Eurozone crisis]]<ref>{{cite web | url=http://www.ndtv.com/article/india/brics-summit-in-delhi-your-10-fact-cheatsheet-191142 | title=BRICS summit in Delhi : Your 10-fact cheatsheet | publisher=NDTV | work=Correspondent | date=March 29, 2012 | accessdate=March 30, 2012}}</ref> and issuing [[convertible debt]], which could be bought by the central banks of all the member nations and hence act as a vessel for risk-sharing. Senior expert Alexander Appopkin pointed out that such a "BRICS bank" would not require considerable capital investment to set up.<ref name="bank"/>

Economic experts predicted several beneficent effects of such a bank. Such a bank would allow successful implementation of regional development projects, with increased efficiency and transparency. Appopkin stated that "China would be the biggest beneficiary of this"; Albert Khamatshin felt that South Africa would benefit the most from the bank. Brazilian Trade Minister [[Fernando Pimentel]] said that the bank "would be a very powerful financial tool to improve trade opportunities, and may be a major step to support the EU to overcome its financial crisis."<ref name="saf"/>


===Other issues===
===Other issues===

Revision as of 13:56, 30 March 2012

2012 BRICS summit
ब्रिक्स सम्मेलन
Official summit logo
Host countryIndia India
DateMarch 29, 2012
Venue(s)Taj Mahal Hotel
CitiesNew Delhi

The 2012 BRICS summit (Hindi: ब्रिक्स सम्मेलन[1]) was the fourth annual BRICS summit, an international relations conference attended by the head of states or heads of government of the five member states Brazil, Russia, India, China and South Africa. The summit was held at Taj Mahal Hotel[2] in New Delhi, India on March 29, 2012.[3] This is the first time that India has hosted a BRICS summit.[4] The theme of the summit was "BRICS Partnership for Global Stability, Security and Prosperity".[3]

Preparations

Preparations for the summit began with the announcement from the Ministry of External Affairs, India about a competition to choose the official logo for the meeting, open to all resident and non-resident Indians, as well as persons of Indian origins staying overseas. The logo was expected to "bring out the essence of this grouping of countries, which has received unprecedented global attention in recent years and now occupies a prominent space in the global political and economic landscape." The competition ended on January 7, 2012.[5] A specially-constituted jury announced the winning design on February 10, 2012 as the submission of Sonesh Jain, an architecture student of the Indian Institute of Technology Roorkee. The logo is a symbolic representation of a peacock with "colours suggesting resurgence and renewal".[6]

Security

Hosting the summit involved elaborate security arrangements in the city. 2,000 police personnel and National Security Guard commandos were deployed throughout the city's arterial areas, with special emphasis on the summit venue. The venue's security involved a three-tier arrangement handled by the Delhi Police and the embassy officials of the visiting nations, and involved body checks and metal detectors. To ensure the security of the attending delegates, the floors above and below the rooms to be occupied were left vacant.[7] In addition, the entire hotel was occupied by the BRICS summit, and guests were re-directed to other hotels. Security personnel were posted even on the rooftops of the venue.[8]

Pre-summit events

During March 4–6, 2012, the Delhi-based public policy organisation Observer Research Foundation conducted the 4th BRICS Academic Forum, which involved the participation of approximately 60 scholars from all five states. The forum was held to generate ideas and proposals, which would be put forward to the attending state heads for further consideration. At the end of the forum, 18 recommendations were put forward for increasing the effectiveness of the group.[4] A BRICS business forum took place the day before the leaders official summit.[9]

Attending delegations

The heads of state/heads of government of the five countries participated in the summit.

Hu arrived in New Delhi with a delegation of senior ministers which included Foreign Minister Yang Jiechi, State Councillor Dai Bingguo as well as business executives.[10] Zuma's delegation included the Minister of Trade and Industry, Rob Davies and business executives. All five trade ministers were present as well.[9]

Discussions

Development bank

The main agenda for the summit was the creation of a new development bank. The idea for setting up such a bank was put forward by India, as a sign of firming the power of the group and increasing its influence in global decision-making. Analyst John Mashaka called India's move "long overdue", and said that setting up a bank was a means of "pulling out of the western-dominated World Bank and the International Monetary Fund." Assistant professor at the Institute of African Studies (China) Yuhua Xiao noted that setting up the bank showed signs of growing self-assertiveness and inter-dependence among developing economies. Dr. Alexandra A Arkhangelskaya noted that creating such a bank would effectively "shift the weight of economic power", and could also be very beneficial to non-BRICS nations.[11]

The aims of the bank would include funding development and infrastructure projects in developing and least developed countries;[12] lending, in the long term, during global financial crises such as the Eurozone crisis[13] and issuing convertible debt, which could be bought by the central banks of all the member nations and hence act as a vessel for risk-sharing. Senior expert Alexander Appopkin pointed out that such a "BRICS bank" would not require considerable capital investment to set up.[11]

Economic experts predicted several beneficent effects of such a bank. Such a bank would allow successful implementation of regional development projects, with increased efficiency and transparency. Appopkin stated that "China would be the biggest beneficiary of this"; Albert Khamatshin felt that South Africa would benefit the most from the bank. Brazilian Trade Minister Fernando Pimentel said that the bank "would be a very powerful financial tool to improve trade opportunities, and may be a major step to support the EU to overcome its financial crisis."[9]

Other issues

Zuma's office said that South Africa would seek to advance African interests in seeking support for infrastructure projects and industrialisation initiatives, as well as call for reform in mulilateral institutions.[9]

Conclusions

The five leaders wave for the official portrait.

Multilateral financial institutions

All five countries called for an urgent need to implement the 2010 Governance and Quota Reform before the 2012 IMF – World Bank Annual Meeting. The countries also want the comprehensive review of the quota formula to reflect economic weights and enhance the voice and representation of emerging market and developing countries by January 2013.[14][15][16]

All five countries also called for candidatures from developing world for the position of the President of the World Bank reiterating that the heads of IMF and the World Bank should be selected through an open and merit-based process.[14][15][16] The call came weeks before the World Bank's presidential election which would, for the first time, feature non-United States candidates. China's Hu said: "We are committed to stepping up exchanges with other countries on global economic governance reforms and increasing representation of developing countries." Manmohan Singh added that "while some progress has been made in international financial institutions, there is lack of movement on the political side. BRICS should speak with one voice on important issues such as the reform of the UN Security Council."[17]

Trade and other economic issues

To promote trade in local currencies, the BRICS countries signed the Master Agreement on Extending Credit Facility in Local Currency and the Multilateral Letter of Credit Confirmation Facility Agreement to replace the United States dollar as the main unit of trade between them.[18] The trade ministers also said that tightening intra-BRICS trade would help as an antidote to the European sovereign debt crisis.[9] The trade ministers also called for collective action to fight the European and United States economic downturns. India's Commerce and Industry Minister Anand Sharma told the BRICS Business Forum, organised by the Federation of Indian Chamber of Commerce and Industry, Confederation of Indian Industry and Associated Chambers of Commerce and Industry of India, that the "adversity of financial crisis is being faced by all. There is a need to work together to overcome this problem." His Chinese counterpart Chen Deming added that both economic problems were affecting all states and decreased Chinese exports. "I am sure they will recover. There is a need to prevent the EU crisis quickly before it gets worse. There has been a decline in demand in the European markets. Despite this we have to sustain a high level of growth." Russian Minister for Economic Development and Trade Elvira Nabioullina added that "the world has to stop accumulating risks. There is a need to work closer."[19]

In order to bring the economies of BRICS closer, all members agreed to launch a benchmark equity index derivative allowing investors in one BRICS country to bet on the performance of stock markets in the other four members without currency risk. The indices will be cross-listed in BRICS' flagship stock exchanges from March 30.[20]

Foreign policy issues

All five countries called for the international community to continue development projects in Afghanistan for 10 years after the ISAF withdraws most of its combat troops by the end of 2014.

They also condemned the Western world’s pressure tactics on Iran to make other countries adhere to their restrictions on trade ties[21] and said dialogue alone could resolve the nuclear issues. The group added that the 2011-2012 Syrian uprising could also only be resolved through dialogue. They warned against any military intervention in Syria by the West or by Israel in Iran.[22] They added that a war with Iran would have "disastrous consequences."[23] China's Trade Minister Chen Deming said that the "rise [in the price] of crude oil has impacted all countries. The Iran issue has become an issue for all. We need to continue with normal relations with Iran, but, at the same time, we respect UN resolution. We hope that unilateral movement by one country will not affect other countries."[19]

Bilateral initiatives

India and China agreed to initiate dialogue over issues in west Asia, central Asia and Africa as a confidence building measures meant to enhance political interaction; they also discussed border disputes with a conclusion to maintain the status quo peace and stability for now. They also were present for the launching of the India China Friendship and Cooperation year. On the economic front, Hu said he would work towards facilitating Indian exports to China, while Singh called for Chinese investments in the Indian in manufacturing and infrastructure sectors.[24]

Controversies

Protests

On March 26, a Tibetan activist named Jamphel Yeshi set himself on fire at a rally in Delhi and subsequently died of his burns two days later. Yeshi was given a "martyr's funeral" by several Tibetan exile organisations;[25] a rally was held in Dharamshala in his memory.[26] On March 28, protesters attempted to storm into the hotel where Hu was staying, prompting an increase in security for the officials. Around ten Tibetan activists unfurled a Tibetan flag near the hotel, and attempted to march towards the summit venue but were detained by the police.[27] Protesters were also present at the United Nations office where the Tibetan Youth Congress submitted memorandums to the embassies of the participating states. Similar protests were also held at Khan Market and the Jantar Mantar, prompting a heavy police presence in such areas.[28] Police camps were set up in certain colonies of Tibetan refugees in Delhi.[29] Almost 300 Tibetans protesters were arrested due to their anti-China protests.[30]

China responded strongly to the protests, and accused the Dalai Lama of pushing "extreme and radical views by glorifying and instigating extreme behavior." The China Tibet Online likened the Dalai Lama to "cruel Nazis" and compared his actions to the Holocaust on Jews.[31] Chinese spokesperson Luo Zhaohui termed the protests as "political" and "inconsistent with the teachings of Buddhism." Luo expressed regret over the loss of life and praised the Indian government's efforts to "[ensure] the safe and smooth holding" of the summit.[32][33] The Simon Wiesenthal Center criticised the comparison made by China Tibet Online, and subsequently relayed by Xinhua, calling it a "double slander" on their premise that the Dalai Lama's tactics are antithesis to the actions of the Nazi regime.[34]

The day before the summit, the Parliament of the Central Tibetan Administration urged China to withdraw its military reinforcement from Tibet and asked Hu to allow an independent fact-finding delegation, as well as to resume talks with Tibetans so as to find a lasting solution to the issue. They called on the other BRICS members to discuss the issue at the summit as they felt that the situation in Tibet continued to deteriorate amidst China's use of "brutal methods" against peaceful protests.[35]

The government of India perceived the disruptions as a loss of face,[36] and New Delhi acted to detain hundreds of protesters, cordon-off areas with Tibetan populations, and provide police escorts.[28] However, despite warnings, the Tibetan Youth Congress announced that they would continue to protest in the city.[37] During the Rajya Sabha's Zero Hour, the Bharatiya Janata Party's Balbir Punj condemned the arrests of protesters, labeling it a "shame for democracy, and violation of people's fundamental rights" while comparing the Tibetan plight with those Tamils in Sri Lanka and Palestine.[29]

Traffic

A day prior to the summit, traffic restrictions were imposed in Sardar Patel Marg so as to allow proper movement of the visiting dignitaries. Such restrictions were expected to affect traffic at major city roads, India Gate and Rajiv Chowk. However, despite an earlier announcement stating that restrictions would be imposed in the evening, the restrictions were placed by the afternoon. As a result, commuters were left stranded due to traffic blocks. Despite advisories from the police, there was confusion on the roads.[38] Some people reported that they were held up at the roads for several hours. The blocked roads were also used by commuters travelling from satellite towns into Delhi, thus forcing the people to find alternate options for traveling. The Delhi Police's advice of avoiding the blocked routes and finding alternate routes was met with criticism as such measures would add considerably to commuting time. Commuter displeasure was also expressed on social networking sites like Facebook. The traffic conditions in the city made many commuters use the Delhi Metro to reach their destinations.[39]

Reactions

Mark Toner, a spokesman for the United States' State Department, said that it had "reviewed the leaders' Delhi declaration and believe that their efforts to engage in global multilateral institutions productively can only strengthen the international system," adding that its efforts to support the global economy and development in Afghanistan were welcomed. However, in regards to Iran he said that U.S. President Barack Obama "has said that no option has been taken off the table, he's also been very clear that there's still... time for a diplomatic solution."[23]

References

  1. ^ "ब्रिक्स सम्मेलन का स्वागत करता है अमेरिका". Aaj Tak. Aaj Tak. March 30, 2012. Retrieved March 30, 2012.
  2. ^ "Note for Media Personnel not Based in India" (PDF). BRICS India. Retrieved March 23, 2012.
  3. ^ a b Bureau, Zeebiz (March 29, 2012). "BRICS summit in Delhi begins today". Press Trust of India. Zee News. Retrieved March 29, 2012.
  4. ^ a b Aurobinda Mahapatra, Debidatta (March 11, 2012). "Expectations from the New Delhi BRICS Summit". Russia and India Report. Retrieved March 23, 2012.
  5. ^ IANS (December 23, 2011). "India gears up to host BRICS summit in March". DNA India. Retrieved March 22, 2012.
  6. ^ "Winner of BRICS Logo Design Competition". Ministry of External Affairs, India. February 10, 2012. Retrieved March 22, 2012.
  7. ^ "Security Arrangements Beefed up for BRICS Summit in Delhi". Press Trust of India. News Reporter.in. March 27, 2012. Retrieved March 28, 2012.
  8. ^ Phadnis, Ashwin (March 29, 2012). "Security staff take control of BRICS meet venue". The Times of India. Retrieved March 29, 2012.
  9. ^ a b c d e Sathekge, Bernard (March 29, 2012). "Zuma at Brics summit". The New Age. AFP. Retrieved March 29, 2012.
  10. ^ "Jintao reaches India to participate BRICS summit". NI Wire. News Track India. March 28, 2012. Retrieved March 29, 2012.
  11. ^ a b Kenn Klomegah, Kester (March 23, 2012). "BRICS bank could change the money game". Al Jazeera. Retrieved March 29, 2012.
  12. ^ "BRICS summit focuses on new development bank". The Economic Times. India. AFP. March 29, 2012. Retrieved March 29, 2012.
  13. ^ "BRICS summit in Delhi : Your 10-fact cheatsheet". Correspondent. NDTV. March 29, 2012. Retrieved March 30, 2012.
  14. ^ a b "BRICS flay West over IMF reform, monetary policy". Reuters. Retrieved 2012-29-03. {{cite news}}: Check date values in: |accessdate= (help)
  15. ^ a b "BRICS 2012 summit declaration". Reuters. Retrieved 2012-29-03. {{cite news}}: Check date values in: |accessdate= (help)
  16. ^ a b "Fourth BRICS Summit Declaration: 2012 New Delhi". Ministry of External Affairs (India). Retrieved 2012-29-03. {{cite web}}: Check date values in: |accessdate= (help)
  17. ^ BRICS to set up joint bank, call for dialogue on Iran & Syria – The Times of India. Timesofindia.indiatimes.com (2012-03-29). Retrieved on 2012-03-30.
  18. ^ "BRICS nations sign pacts to promote trade in local currency". The Indian Express. Retrieved 2012-29-03. {{cite web}}: Check date values in: |accessdate= (help)
  19. ^ a b Business / Economy : BRICS for collective action to deal with EU debt crisis. The Hindu (2012-03-28). Retrieved on 2012-03-30.
  20. ^ "Top ten highlights of the Fourth BRICS 2012 Summit". NDTV. Retrieved 2012-29-03. {{cite web}}: Check date values in: |accessdate= (help)
  21. ^ "2012 BRICS focusses on economic, development issues". The Hindu. Retrieved 2012-29-03. {{cite web}}: Check date values in: |accessdate= (help)
  22. ^ BRICS summit defends dialogue for Syria, Iran. Ndtv.com (2012-03-29). Retrieved on 2012-03-30.
  23. ^ a b US cautiously welcomes BRICS summit – The Economic Times. Economictimes.indiatimes.com (2012-03-30). Retrieved on 2012-03-30.
  24. ^ http://www.livemint.com/2012/03/29225713/India-China-agree-to-expand-i.html?d=1
  25. ^ Kumar, Naresh (March 30, 2012). "Martyr's funeral for Tibetan protester". Hindustan Times. Dharamsala. Retrieved March 30, 2012.
  26. ^ VN Sreeja (March 29, 2012). "BRICS Summit 2012: Tibetan Anti-China Protesters Clash With Police". International Business Times. Retrieved March 30, 2012.
  27. ^ "Protesters Unfurl Tibetan Flag Near BRICS Summit Venue". Press Trust of India. Outlook India. March 29, 2012. Retrieved March 29, 2012.
  28. ^ a b Correspondent (March 28, 2012). "Chinese President's visit to Delhi provokes Tibetan protests". NDTV. Retrieved March 29, 2012. {{cite web}}: |author= has generic name (help)
  29. ^ a b "BJP Terms Arrest of Tibetans As Shame for Democracy". Press Trust of India. Outlook India. March 29, 2012. Retrieved March 30, 2012.
  30. ^ Tharoor, Ishaan (March 29, 2012). "Tibetan's Self-Immolation Casts Shadow over BRICS Summit". Global Spin. Time (magazine). Retrieved March 30, 2012.
  31. ^ Vembu, Venky (March 28, 2012). "Hu at BRIC summit unlikely to pacify Tibetan protesters". First Post. Retrieved March 30, 2012.
  32. ^ "China 'regrets' loss of innocent Tibetan lives". New Delhi. Times News Network. March 30, 2012. Retrieved March 30, 2012.
  33. ^ "China appreciates India to quell Tibetan protests". New Delhi: Zee News. March 29, 2012. Retrieved March 29, 2012.
  34. ^ "China's outrageous comparison of the Dalai Lama to Nazis". Jewish Journal. March 28, 2012. Retrieved March 30, 2012.
  35. ^ "TPE asks Chinese President to withdraw troops from Tibet". Press Trust of India. CNN-IBN. March 28, 2012. Retrieved March 29, 2012.
  36. ^ Roy, Sandip (March 29, 2012). "Losing face: India's Tibetan problem". First Post. Retrieved March 29, 2012.
  37. ^ Advani, Smriti (March 29, 2012). "BRICS summit: Tight security in Delhi as Tibetan protestors detained". CNN-IBN. Retrieved March 30, 2012.
  38. ^ "Arrival of dignitaries for BRICS Summit leads to traffic chaos". Press Trust of India. CNN-IBN. March 28, 2012. Retrieved March 30, 2012.
  39. ^ "BRICS summit breaks patience of Delhi commuters". Indo-Asian News Service. First Post. March 28, 2012. Retrieved March 29, 2012.
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