BRICS Welcomes 2024 with Three Largest Arab Economies

The number of members of the BRICS bloc, which includes countries from emerging markets, is expected to double, according to the South African envoy to the group, who indicated that Saudi Arabia, the United Arab Emirates, Ethiopia, Iran and Egypt are expected to join the group on January 1.

Current members Brazil, Russia, India, China and South Africa in August invited six more countries to join their group, linking some of the world's largest energy producers with some of the largest consumers among developing countries. 

Only Argentina rejected the invitation after President Javier Miley, who took office this month, withdrew the membership application submitted by his predecessor.

The five invitees sent high-level representatives to the BRICS meeting in South Africa, earlier this month, and they participated fully in the meeting, “a clear indication that they have accepted the invitation” to join, said Anil Suklal, South Africa's BRICS Sherpa. 

He added that the new members will also send officials to attend the Sherpa meeting in Moscow on January 30.

Nigerian Foreign Minister Yusuf Togar said in November that Nigeria, the most populous country in Africa, would seek to become a member of the BRICS group within the next two years.

With the exception of India, the BRICS group has underperformed its emerging market counterparts over the past five years, according to Bloomberg. 

US-led sanctions have taken Russia off the radar of many foreign investors, some sectors in China - especially technology companies - have been sanctioned, and others may face a potential investment ban. 

Egypt hopes its joining the BRICS will help ease foreign currency shortages and attract new investment, but analysts say it may take some time before any benefits emerge. 

BRICS members represent more than 42% of the world's population and account for nearly a quarter of global GDP and 18% of trade.

Saudi Arabia is the largest Arab economy its its $1.108.15 trillion economy, followed by the UAE with $507.06 billion, and Egypt with  $475.23 billion.

The bloc has seen annual FDI inflows more than quadruple from 2001 to 2021. However, investments within the BRICS group remain weak, accounting for a share of less than 5% of the total FDI stock as a percentage group in 2020, according to the UN Conference on Trade and Development.