Its BRICS now, as S.Africa gets the invite

Pretoria: The four-nation formation of Brazil, Russia, India and China now adds a fifth member, South Africa, and in the process adds another initial to its acronym to become BRICS. This was announced Friday in South Africa, which said it had been formally invited to join the Brazil, Russia, India and China (BRIC) group of key emerging nations

It said the move would enhance its image as the economic gateway to Africa.

According to S African foreign minister, Maite Nkoana-Mashabane, the country had been invited to join the formation by China, which currently chairs BRIC.

"China, in its capacity as rotating chairperson of the BRIC formation, based on agreement reached by the BRIC member states, invites South Africa as a full member into what will in future be called BRICS," the minister told journalists in Pretoria.

"(Chinese) president Hu Jintao also issued a letter of invitation to (South African) president Jacob Zuma to attend the third BRICS leaders' summit, to be held in China in the first quarter of 2011," she added.

The International Monetary Fund estimates that the current four-member nation will account for 61 per cent of global growth in 2014.

BRIC was a term coined by Goldman Sachs economist Jim O'Neill in 2001 to describe the growing influence of large emerging economies. Though not linked formally BRIC countries have begun holding summits and taking steps to boost financial cooperation and investment opportunities amongst themselves.

The group held its first summit in Russia last year.

Within South Africa there was a measure of opposition to the country's attempts to seek membership of the BRIC forum, and also predictions that the four larger economies would not accept an economic minnow such as South Africa, whose economy is about one-fourth the size of the smallest BRIC, Russia.

The South African foreign minister called the invitation "the best Christmas present ever" for South Africa and highlighted the country's eminent position on the African continent.

"South Africa will provide a gateway into Africa for BRICS, and everything South Africa does as a member of the forum will be to advance the African agenda," she said.

Lately, South Africa has worked to build its global reputation, successfully hosting the continent's first football World Cup this year and also winning a non-permanent seat on the United Nations Security Council.

Though critics of the move have been harping on the enormous economic mismatch between South Africa's economy and that of the other members of the club the synergies are obvious in the political arena, and perhaps that is where the significance lies.