As the two leaders met here ahead of the BRICS and Shanghai Cooperation Organisation (SCO) summits, Modi thanked Putin with regard to the celebrations of the worldwide Day of Yoga on June 21 in Russian Federation. So it is very essential that BRICS economies deepen their cooperation. The theme of this year’s summit is “BRICS partnership: A powerful factor for global development”. Russian Federation has been subjected to western sanctions in recent months over Ukraine.
The west imposed sanctions on Moscow after Crimea joined Russian Federation in March 2014.
“We welcome the (upcoming) meeting between Indian and Pakistani leaders there on the sidelines of this conference”, State Department Spokesperson John Kirby told reporters yesterday at his daily news conference when asked about the Modi-Sharif meeting in Ufa. Even prominent developed economies like Europe are in crisis. Once fully operational, it will become an alternate financing source for the BRICS nations and other emerging markets.
Modi favoured development of a manufacturing chain across the Brics countries, saying it would help create jobs and benefit all the member nations. “That’s been our longstanding position”, Kirby said.
“Idea is that we will lend for developmental assistance in member countries”, said the ex- Independent Director of Infosys and ex- Chairman of ICICI Bank, who has been made the NDB President for five years. They also launched a foreign-exchange currency fund of $100 billion.
“I am convinced that this is the only base on which we should search for and find solutions to thorny worldwide problems and respond to the threats and challenges urgent for all humanity such as weapons of mass destruction; terrorism, extremism, trans-national crime, drug trafficking, food and water deficit”, Putin said. In developing countries, particularly BRICS, there are pools of capital which can be tapped and lent.
The implicit expectation from Friday’s meeting is that concrete steps will be taken to ensure a bilateral dialogue is maintained, and agreements may be announced on relatively nonsensitive issues such as trade and bilateral visa exemptions.