New Delhi: Two months ahead of the BRICS (Brazil, Russia, India, China, South Africa) Summit in August, where national currency trade is likely to be a key issue, the South African High Commissioner to India, Joel Sibusiso Ndebele, slammed the “domination” of the US dollar in the world economy and said it does not benefit developing countries.
The summit, which is expected to see the participation of Prime Minister Narendra Modi, Russian President Vladimir Putin, Chinese President Xi Jinping and other leaders, is scheduled to be held between 22 and 24 August in Johannesburg. South Africa is the current chair of BRICS.
In an exclusive interview to ThePrint, Ndebele said, “We do not believe the US dollar domination of the flows of trade and investment in the world is to the benefit of all, especially not for the Global South.”
This comes as several countries, like Russia, India and China, are settling trade in local currencies.
Earlier this month, BRICS foreign ministers issued a joint statement in Cape Town that explicitly encouraged the use of local currencies in international trade and among the BRICS partners.
African leaders, like Kenyan President William Ruto, too have called for the dollar to be ditched when it comes to intra-Africa trade.
A report by News Africa indicates that African countries, as well as other developing nations like Brazil, have been attacking the dollar’s “privileged position” as the world’s reserve currency because it also gives the US a lot of influence over other economies, especially in terms of sanctions.
A common currency among BRICS partners is also expected to be discussed at the upcoming summit in Johannesburg. However, “practical implementation” of this requires further consultation and discussion, said Ndebele.
The August summit has also been mired in controversy owing to the International Criminal Court’s (ICC) arrest warrant for Russian President Vladimir Putin for alleged war crimes in Ukraine.
South Africa, which is a signatory to the ICC’s Rome Statute, has faced pressure from the West to arrest Putin, should he step on South African soil. The host country, however, has issued blanket diplomatic immunity to all leaders attending the August summit, which may pave the way for Putin’s attendance.
The Rome Statute of 1998 is a treaty under which the ICC was established and its powers defined.
According to Ndebele, all BRICS leaders have confirmed their attendance at the August summit.
“[Countries] who are not signatories to the Rome Statute are the ones making a lot of noise… It’s just bizarre to talk about a head of state being arrested on South African soil,” he told ThePrint.
He added: “A BRICS Summit cannot be called a BRICS event without all member states present.”
The South African High Commissioner to India also spoke about a ‘peace mission’ of African heads of states to Ukraine and India-South Africa defence cooperation.
Modi consulted on peace initiative
On Thursday, African heads of state and government visited Ukraine as part of a peace initiative amid the ongoing war between Kyiv and Moscow. The visiting team included presidents of six African countries — Comoros, Egypt, South Africa, Senegal, the Republic of Congo and Zambia.
#AfricanPeaceMission African Heads of State & Government participating in the Peace initiative are now at St Micheal’s Square in Mykhailivska, Ukraine, for a briefing by representatives of Ukraine’s Ministry of Defence. pic.twitter.com/BmLCD6u5bV
— Presidency | South Africa 🇿🇦 (@PresidencyZA) June 16, 2023
“For Russia and Ukraine, the peace team coming from Africa comes with a lot of opportunities because they are not a superpower or a military bloc of any significance,” Ndebele told ThePrint.
He added that African leaders’ concerns over global wheat supply would be a key topic of discussion during the Ukraine visit.
Six days ago, PM Modi held a telephone call with South African President, Matemela Cyril Ramaphosa.
Sources in the South African High Commission in India confirmed that during the call, Ramaphosa informed Modi about the African leaders’ peace initiative and upcoming visit to Ukraine and sought his “blessing”.
Similar calls were made to other leaders in BRICS like Chinese President Xi Jinping to seek their support and “keep them in the loop”, said the sources.
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India-South Africa defence cooperation
Asked about defence cooperation between South Africa and India, High Commissioner Ndebele said his country is keen to buy “niche” defence material from India, such as small arms and radio equipment.
This comes after Defence Minister Rajnath Singh, during the first edition of the India-Africa Army Chiefs’ Conclave in March, invited African companies to explore Indian defence equipment and technologies to fulfill their security needs.
Currently, Russia and China are reportedly the top arms suppliers to Africa, however, India is seeking to expand its footprint in the continent.
The last India-South Africa Joint Defence Committee meeting took place prior to the pandemic in 2017. The next one is slated to be held by the end of 2023, Ndebele revealed.
In February, South Africa made headlines after it held joint naval exercises with China and Russia, days before the one-year anniversary of the Ukraine war.
Ndebele defended his country against the optics of the incident and said that South Africa has held naval exercises with other countries too, such as the 7th IBSAMAR maritime exercise between India, Brazil and South Africa that was held at Port Gqeberha in October last year.
(Edited By Richa Mishra)
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