Economic and Financial Cooperation
23. Since our last meeting, global economic growth has weakened, and downside risks have increased. Trade tensions and policy uncertainty have taken a toll on confidence, trade, investment and growth. In this context, we recall the importance of open markets, fair, just and non-discriminatory business and trade environments, structural reforms, effective and fair competition, promoting investment and innovation, as well as financing for infrastructure and development. We stress the need for greater participation of developing countries in global value chains. We will continue to cooperate within the G20 and advance the interests of EMEs and developing countries.
24. While noting that the BRICS countries have been the main drivers of global growth over the last decade and currently represent close to a third of global output, we are convinced that continued implementation of structural reforms will enhance our growth potential. Trade expansion among BRICS members will further contribute to strengthening international trade flows. We further advocate for continued use of fiscal, monetary and structural policies to achieve strong, sustainable, balanced and inclusive growth. We call on major advanced and emerging market economies to continue policy dialogue and coordination in the context of the G20 and other fora to advance these objectives and to address potential risks.
25. We reaffirm our commitment to a strong, quota-based and adequately resourced IMF at the center of the global financial safety net. We are deeply disappointed that the 15th General Review of Quotas (GRQ) failed in increasing the quota size of the Fund and realigning quota shares of member countries, including in favor of emerging markets and dynamic economies (EMDEs), which remain under-represented in the Fund. We also support protecting the voice and representation of the poorest members. We call upon the IMF to start work on quota and governance reform on the basis of the principles agreed in 2010 under the 16th GRQ in right earnest and within a tight timeframe.
26. We reiterate the fundamental importance of a rules-based, transparent, non-discriminatory, open, free and inclusive international trade. We remain committed to preserving and strengthening the multilateral trading system, with the World Trade Organization at its center. It is critical that all WTO members avoid unilateral and protectionist measures, which run counter to the spirit and rules of the WTO.
27. We recognize the importance of necessary WTO reform, including in the lead up to the 12th WTO Ministerial Conference, to ensure the effectiveness and relevance of the Organization and its capacity to better address current and future challenges. Our countries will work with all WTO Members to advance a process for necessary reform that is balanced, open, transparent and that promotes inclusivity and development. The reform must, inter alia, preserve the centrality, core values and fundamental principles of the WTO, and consider the interests of all members, including developing countries and LDCs.
28. We emphasize the importance of the WTO Dispute Settlement Mechanism, with its two-stage binding adjudication system. The Appellate Body is essential to the regular and effective functioning of the Organization and the fulfilment of its rules. We underline the urgency to overcome the impasse in the appointment of members to the Appellate Body, and call upon all members to agree to initiate the Appellate Body selection process promptly.
29. We will explore in appropriate fora ways to promote and facilitate investments in productive sectors, e-commerce, MSMEs, infrastructure and connectivity, which will help to promote economic growth, trade and job creation. In so doing, we will take into account national imperatives and policy frameworks, with the aim of enhancing transparent, effective and an investment-friendly business environment.
30. We note with appreciation the role of the New Development Bank (NDB) in infrastructure and sustainable development financing. We stress the need for enhanced efforts to build a strong, balanced and high-quality portfolio of projects. We also note with pride the 5th anniversary of the signing of the NDB's Articles of Agreement in Fortaleza, Brazil and welcome the upcoming mid-term review of NDB's General Strategy.
31. We welcome the opening of NDB Regional Offices and their activities in member countries. We welcome the establishment of the Americas Regional Office in Sao Paulo, along with its sub-office in Brasilia, and look forward to the opening of the two remaining NDB Regional Offices in Russia and India in 2020. Building upon the core functions of the Bank's headquarters, its Regional Offices shall contribute to expanding its operations and striving for a more robust project portfolio for all member countries.
32. We acknowledge the progress made by the New Development Bank towards expanding its membership. The expansion of the NDB membership in accordance with its Articles of Agreement will strengthen the Bank's role as a global development finance institution and further contribute to the mobilization of resources for infrastructure and sustainable development projects in BRICS and other EMDC's. We look forward to the Board of Governors concluding the preparatory work with the aim of taking timely and considered decisions on the expansion of the membership in due course.
33. We also attach great importance to other key cooperation initiatives, encompassing the BRICS Task Force on PPP and Infrastructure, which facilitates dialogue on infrastructure, including the G20 infrastructure agenda, the NDB's Project Preparation Facility, the effectiveness of which will be enhanced by launching its first set of projects at the earliest, and our cooperation with a view to enhancing the representation of developing countries and emerging economies in the Multilateral Development Banks.
34. We note with satisfaction further steps undertaken to ensure the preparedness of the Contingent Reserve Arrangement (CRA) and welcome the conclusion of a second test run, with added elements of complexity, of the de-linked portion of the CRA mechanism, including encashment.
35. We note the progress achieved in establishing a BRICS Local Currency Bond Fund and look forward to its operation. We support the on-going collaboration to develop our local bond markets. We will continue to communicate on other possible areas of currency cooperation, consistent with each central bank's mandate.
36. We acknowledge the importance of the BRICS Survey on International Payments System.
37. We positively assess the progress achieved under the Strategy for BRICS Economic Partnership including ensuring innovative, sustainable and inclusive economic growth and look forward to its review under the Russian Chairmanship in 2020. We applaud the progress that members have made in the implementation of the BRICS Action Agenda on Economic and Trade Cooperation, promoting several activities for policy sharing, information exchange, trade and investment facilitation and promotion, and development of trade studies. We welcome the conclusion of the BRICS Joint Trade Study Review, which identified trade and investment potential between BRICS countries, and instruct our ministers to continue to take actions that give support for joint initiatives of cooperation between our countries.
38. We welcome the holding of the BRICS Business Forum and acknowledge the efforts of the BRICS Business Council (BBC) in promoting trade and investment among its members by fostering cooperation in areas such as infrastructure, manufacturing, energy, agribusiness, including biotechnology, financial services, regional aviation, alignment of technical standards, skills development and digital economy.
39. We welcome the establishment of the BRICS Women Business Alliance (WBA), which aims at increasing the role of women as drivers of economic growth, contributing to the economic empowerment of women in our countries and bringing a distinctive perspective on issues of interest for the BRICS business community. The WBA's agenda, working methods and other matters related to its functioning will be determined by its members. We look forward to the selection of five members per country and the holding of the first meeting of the WBA to take place as early as possible in 2020.
40. We call on the WBA and BBC to cooperate actively and coordinate their activities in order to be mutually reinforcing and strengthen the participation of women in all BRICS business initiatives, including in the BBC.
