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Global South agenda to take centre stage at G20 Summit in Brazil

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This year’s Group of 20 (G20) summit begins today in Rio de Janeiro, with host nation Brazil emphasizing climate solutions and reform of international institutions. The summit occurs against the backdrop of rising economic inequality and an increasingly fragmented world order.

Leaders from the world’s 20 largest economies, including outgoing U.S. President Joe Biden, Chinese President Xi Jinping, and Indian Prime Minister Narendra Modi, are convening in Rio. Russia has sent a delegation led by Foreign Minister Sergei Lavrov, while Donald Trump’s potential return to the White House and escalating global conflicts, particularly in Ukraine, are expected to dominate discussions.

Brazilian President Luiz Inácio Lula da Silva, recovering from a recent head injury, will preside over meetings with the African Union, the European Union, and the G20’s 19 other member states. As a former factory worker turned left-wing leader, Lula aims to build on India’s presidency by championing the interests of the Global South—a term describing less affluent economies historically marginalized by institutions dominated by wealthy, predominantly Western countries.

Brazil’s leadership marks a continuation of Global South representation in the G20, following presidencies by Indonesia and India, with South Africa set to take the helm before the United States assumes the role in 2026. This aligns with the recent expansion of BRICS—a multilateral coalition of Brazil, Russia, India, China, and South Africa—which now includes Egypt, Ethiopia, Iran, and the United Arab Emirates.

Sunaina Kumar, a senior fellow at India’s Observer Research Foundation, told Nikkei Asia that the G20 presidency’s rotation is “very important.” She highlighted that successive leadership from Global South nations amplifies their agenda amid a shifting world order. “Brazil built on India’s presidency, and India built on Indonesia,” Kumar explained. “With each presidency, the Global South agenda grows stronger and louder.” She cited the African Union’s inclusion at the 2023 New Delhi summit as a key example.

Meanwhile, Russia and China are leveraging BRICS to promote an alternative to the U.S.-led world order, engaging new partners such as Indonesia, Thailand, and Turkey. While trade within BRICS nations expands, the coalition’s influence within the G20 remains constrained by the divergent priorities of its members.

Stewart Patrick, a senior fellow at the Carnegie Endowment for International Peace, noted in a recent report that G20 members like Brazil, India, and South Africa—along with Saudi Arabia, a BRICS invitee—benefit from keeping their strategic options open. He described their dual membership in both groups as an “inside-outside game,” enabling them to advocate for global governance reform in the G20 while fostering counter-hegemonic cooperation through BRICS Plus.

Under Brazil’s leadership, G20 discussions will address modernizing Western-led institutions such as the United Nations, the International Monetary Fund (IMF), the World Bank, and the World Trade Organization (WTO). Key agenda items include combating hunger and poverty, addressing climate change, and advancing clean energy initiatives. The summit is expected to culminate in a declaration advocating for peaceful resolutions to the wars in Ukraine and the Middle East.

For Lula, the G20 represents a diplomatic balancing act akin to Indian Prime Minister Modi’s approach. Both leaders have maintained friendly ties with Russia, despite Western efforts to impose sanctions and diplomatic isolation.

This year’s summit also unfolds amid speculation about the potential impact of Trump’s return to the White House. The world is watching to see how the next U.S. administration may shift its policies on Ukraine and Russia. Recently, the Biden administration authorized Ukraine to use long-range ATACMS missiles to target Russian territory, underscoring the complexity of U.S. involvement in global conflicts.

Joshua Meltzer, a senior fellow at the Brookings Institution, observed that the G20’s significance has diminished under Biden due to U.S.-China tensions and the ongoing Russia-Ukraine war. In contrast, the G7 has become “much more important” as a forum for advanced economies. However, Meltzer warned of a “destructive” dynamic that could emerge during a second Trump presidency, similar to his first term’s impact on the G7.

Although Western influence in the G20 may rise under Trump, experts believe that key developing countries will continue to champion the Global South agenda in the years ahead.

Diplomacy

Armenia signals potential complete withdrawal from CSTO

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Armenian Deputy Foreign Minister Vahan Kostanyan announced that Yerevan might decide to withdraw entirely from the Collective Security Treaty Organization (CSTO) if member states fail to “demonstrate a clear political stance” regarding Azerbaijan’s actions. Kostanyan emphasized that Armenia is no longer making insinuations but is speaking very openly.

According to the Novosti-Armenia news agency, Kostanyan stated, “Ultimately, if our partners in the CSTO, including the Russian Federation, do not make the political statements that were mentioned several years ago after the aggression against the sovereign territory of the Republic of Armenia, then Armenia will make a final decision.”

The Deputy Minister also underscored that Armenia, as a sovereign state, will determine the right time for its next steps.

Membership was frozen

Relations between Armenia, Russia, and the CSTO deteriorated following the conflicts in Nagorno-Karabakh, after which Yerevan formally requested support from its allies.

Following this process, Prime Minister Nikol Pashinyan repeatedly criticized the CSTO for not assisting Yerevan.

Pashinyan described the organization as a “bubble alliance,” claiming it was “planning a war” against Armenia alongside Baku.

Last February, Prime Minister Pashinyan announced that Armenia had frozen its participation in the CSTO. By May, the Armenian Ministry of Foreign Affairs reported that the country would refuse to finance the organization’s activities.

Intelligence report points in the same direction

In January of this year, a public report released by the Armenian Foreign Intelligence Service stated that the country has no intention of returning to full participation in the CSTO in the near future.

The report noted, “We find it highly unlikely that the reasons that led to Armenia suspending its membership will change in 2025. Based on this situation, the organization’s prestige continues to be seriously questioned and has become a ’cause for reflection’ for other member countries.”

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BRICS internal trade volume hits the $1 trillion mark

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Kirill Dmitriev, Special Representative of the President of the Russian Federation and CEO of the Russian Direct Investment Fund (RDIF), announced that the internal trade volume among BRICS countries has reached $1 trillion.

In a statement on his Telegram channel, Dmitriev noted that surpassing this significant milestone confirms the strengthening of economic ties between member states and the bloc’s growing role in shaping the new global economic architecture.

He also emphasized that Russia continues to strengthen trade relations, particularly through the BRICS Business Council, in line with the directives of President Vladimir Putin.

BRICS’ share will continue to grow, Putin says

During a plenary session at the St. Petersburg International Economic Forum on June 20, Russian President Vladimir Putin recalled that at the beginning of the 21st century, BRICS countries accounted for only one-fifth of the global economy, whereas today this figure has reached 40%.

The Russian leader stated that this share will continue to grow, describing it as a “medical fact.” According to Putin, this growth will primarily be driven by the countries of the Global South.

In April, Maxim Oreshkin, Deputy Chief of Staff of the Presidential Administration of Russia, also said that the BRICS countries, operating on principles of consensus, have become a key force in the world economy.

BRICS expansion agenda

Initially composed of five countries—Brazil, Russia, India, China, and South Africa—BRICS expanded in 2024 with the inclusion of the United Arab Emirates (UAE), Iran, Ethiopia, and Egypt.

In January of this year, Indonesia became the bloc’s tenth full member.

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Xi Jinping to miss BRICS summit in Rio for the first time

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Chinese President Xi Jinping will not attend the upcoming BRICS summit in Rio de Janeiro next week.

According to multiple sources cited by the South China Morning Post on Tuesday, this marks the first time Xi will miss the gathering of leaders from major emerging economies.

Officials familiar with the matter stated that Beijing informed the Brazilian government of a scheduling conflict. Premier Li Qiang is expected to lead the Chinese delegation in Xi’s place, a similar arrangement to the 2023 G20 summit in India.

Chinese officials involved in the preparations suggested Xi’s absence is due to his two meetings with Brazilian President Luiz Inácio Lula da Silva within the past year. The first occurred during the G20 summit and a state visit to Brasília last November, while the second took place at the China-CELAC forum in Beijing this May.

Xi has never before missed a BRICS summit. In 2023, he was scheduled to deliver a speech at the meeting in South Africa but, at the last minute, sent Commerce Minister Wang Wentao instead. Beijing provided no official explanation for the change.

During the COVID-19 pandemic, Xi participated in BRICS meetings virtually, with Russia hosting in 2020 and China in 2021.

On Tuesday, the Brazilian Foreign Ministry told the Post it “would not comment on the internal deliberations of foreign delegations.” The Chinese embassy in Brazil did not immediately respond to requests for comment.

However, Chinese Foreign Ministry spokesman Guo Jiakun told the Brazilian newspaper Folha de S.Paulo, “information regarding participation in the summit will be shared at the appropriate time.” Guo added that China supports Brazil’s BRICS presidency and aims to “promote deeper cooperation” among member nations. “In a volatile and turbulent world, the BRICS countries are maintaining their strategic resolve and working together for global peace, stability, and development,” he said.

In Brasília, officials have not concealed their disappointment regarding Xi’s absence. A source informed the Post that Lula had traveled to Beijing in May as a “show of goodwill” and had hoped “the Chinese president would reciprocate the gesture by attending the Rio summit.”

There was also speculation that Lula’s invitation to Indian Prime Minister Narendra Modi for a state dinner after the BRICS summit may have influenced Beijing’s decision, as Xi might have been “perceived as a supporting actor” at the event.

Lula’s special adviser for international relations, Celso Amorim, met with Chinese Foreign Minister Wang Yi in Beijing, where he clearly expressed Brazil’s desire to host Xi. “I told them, ‘BRICS without China is not BRICS,'” Amorim stated, recalling that then-President Hu Jintao attended the first BRICS summit in Brazil despite a major earthquake in China at the time. “He only stayed for one day, but he came.”

Amorim emphasized the particular importance of Xi’s attendance in the current global context, citing the “US withdrawal from the Paris Agreement and the World Health Organization” as a “violation of international rules.”

Premier Li is expected to arrive in Brazil next weekend for the summit, which is scheduled for July 6 and 7 in Rio.

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