Algeria Readies $1.5B BRICS Bid: Major Move for Membership in the Cards?

Algeria Readies $ 1.5B BRICS Bid: Major Move for Membership in the Cards?

As quoted by Ennahar TV, Algerian president Abdelmadjid Tebboune has signaled that Algeria — Africa’s largest nation — is eager to align itself with the BRICS coalition. He conveyed that this significant alignment with the five major emerging economies could potentially unlock unprecedented economic prospects for all the nations.

Algeria Sets Sights on BRICS

In anticipation of the forthcoming BRICS Summit, there might be less emphasis on the oft-debated BRICS reserve currency, yet over 40 nations exhibit a keen interest in becoming part of this influential bloc.

Ambassador Anil Sooklal, South Africa’s envoy to BRICS, subtly hinted at an imminent expansion of the group this year. According to a Reuters report via Ennahar TV, Algerian president Abdelmadjid Tebboune has announced that Algeria has officially sought to join the BRICS group, currently made up of Brazil, Russia, India, China, and South Africa.

“We officially applied to join the BRICS group, we sent a letter asking to be shareholder members in the bank … Algeria’s first contribution in the bank will be $ 1.5 billion,” Tebboune told Ennahar in a statement.

Algeria boasts a wealth of resources, ready to enrich the BRICS collective with petroleum gas, crude petroleum, nitrogenous fertilizers, and ammonia. Additionally, the country is a trove of mineral wealth, much of it still ripe for exploration and development. This includes bountiful reserves of iron ore, phosphate, and precious metals like gold.

Eager to steer its economy towards diversification, Algeria is now setting its sights on maximizing its untapped gold resources. At present, Algeria’s economy largely depends on the ever-fluctuating global hydrocarbon prices. However, a potential surge is in sight as the World Bank projects a 2.3% growth in Algeria’s GDP this year.

The much-awaited 15th BRICS Summit is scheduled to be held in Johannesburg, South Africa, from August 22-24, 2023. This summit will signify the first in-person meeting since the start of the Covid-19 pandemic. Notably, Russian president Vladimir Putin has reportedly opted not to attend this year. While it remains uncertain if new countries will be welcomed into the BRICS alliance, speculation surrounding this topic has reached unprecedented levels.

What implications could new members joining BRICS potentially have for the global economic landscape? Share your thoughts and opinions about this subject in the comments section below.

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