Master10
International Organisations & Relations Module

Economic & Regional Blocs: G20, BRICS, ASEAN, SCO

Multilateral economic and regional blocs foster trade integration, diplomatic alignment, and collective security across key geopolitical regions. The Group of Twenty (G20), founded in 1999, convenes major developed and emerging economies accounting for 85 percent of global GDP. BRICS (Brazil, Russia, India, China, South Africa, and expanded members) advocates for reformed multilateralism and finances infrastructure via the New Development Bank (NDB) in Shanghai. The Association of Southeast Asian Nations (ASEAN, headquartered in Jakarta), established by the Bangkok Declaration in 1967, promotes regional economic integration and the ASEAN Free Trade Area. Other notable regional groupings include the Shanghai Cooperation Organisation (SCO), the South Asian Association for Regional Cooperation (SAARC), and the Bay of Bengal BIMSTEC initiative.

Key Concepts & Examination Highlights

  • The G20 was established in 1999 as a finance ministers' forum following the Asian Financial Crisis and was elevated to leaders' summits in 2008.
  • The New Development Bank (NDB), established by the BRICS nations in 2014 at the Fortaleza Summit, is headquartered in Shanghai, China.
  • ASEAN was established on August 8, 1967, through the signing of the ASEAN Declaration (Bangkok Declaration) by its five founding members.
  • The Shanghai Cooperation Organisation (SCO), founded in 2001 in Shanghai, has its permanent secretariat in Beijing and anti-terror body (RATS) in Tashkent.
  • The African Union (AU) was formally admitted as a permanent member of the G20 during the 18th G20 Leaders' Summit hosted by India in New Delhi in September 2023.
  • The New Development Bank (NDB), formerly known as the BRICS Development Bank, was established under the Fortaleza Declaration in 2014, headquartered in Shanghai, China.
  • The Shanghai Cooperation Organisation (SCO) was established in 2001 in Shanghai; India and Pakistan became full members at the Astana Summit in 2017.
  • The Regional Anti-Terrorist Structure (RATS), headquartered in Tashkent, Uzbekistan, is a permanent organ of the Shanghai Cooperation Organisation.
  • ASEAN consists of 10 member states: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam.
  • The G7 (Group of Seven) advanced industrial nations comprises Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States, along with the European Union.
  • India hosted the virtual 23rd SCO Council of Heads of State Summit in July 2023, where Iran was officially admitted as the 9th full member of the SCO.
  • The G20 operates without a permanent secretariat; governance is steered through the 'Troika' consisting of the previous, current, and incoming summit host presidencies.
  • During the New Delhi G20 Summit (2023), the Global Biofuels Alliance (GBA) was launched by India, the US, and Brazil to promote sustainable biofuels adoption.
  • The India-Middle East-Europe Economic Corridor (IMEC) was announced on the sidelines of the New Delhi G20 Summit, comprising railway and ship-to-rail transit networks.
  • The BRICS Contingent Reserve Arrangement (CRA) is a $100 billion framework established alongside the NDB to provide short-term liquidity support during balance-of-payments pressures.
  • The ASEAN Regional Forum (ARF), established in 1994, is a 27-member multilateral dialogue platform fostering security and political dialogue across the Asia-Pacific.
  • The Regional Comprehensive Economic Partnership (RCEP) is a free trade agreement among 15 Asia-Pacific nations (10 ASEAN + Australia, China, Japan, New Zealand, South Korea) from which India withdrew in 2019.
  • The South Asian Association for Regional Cooperation (SAARC) was established in Dhaka on 8 December 1985, with its permanent secretariat in Kathmandu, Nepal.
  • Afghanistan joined SAARC as its eighth member at the 14th SAARC Summit held in New Delhi in April 2007.
  • The Indian Ocean Rim Association (IORA), established in March 1997 following the initiative of Nelson Mandela, is headquartered at Ebene, Mauritius.
  • The Asia-Pacific Economic Cooperation (APEC), founded in 1989 at Canberra and headquartered in Singapore, comprises 21 Pacific Rim member economies.
  • The G7 (Group of Seven), established in 1975, consists of Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States, along with the EU.
  • The G77 (Group of 77), established in June 1964 by developing nations at the first UNCTAD session in Geneva, now comprises over 130 member states.
  • The Commonwealth of Nations is a voluntary association of 56 independent countries, mostly former territories of the British Empire, headed symbolically by the British monarch and headquartered in London.
  • The Non-Aligned Movement (NAM) was established in Belgrade in 1961 based on the 1955 Bandung Conference principles, led by Jawaharlal Nehru, Josip Broz Tito, and Gamal Abdel Nasser.
  • The Group of Twenty (G20) was established in September 1999 by G7 finance ministers and was elevated to the level of Heads of State and Government in November 2008 in Washington, D.C.
  • The G20 represents around 85 percent of global gross domestic product (GDP), over 75 percent of global trade, and roughly two-thirds of the world's population.
  • The G20 operates without a permanent secretariat or headquarters, with presidency rotating annually among member countries categorized into five regional groups.
  • The G20 Troika comprises the past, present, and incoming presidencies, working collaboratively to maintain continuity in the group's agenda and priorities.
  • India held the G20 Presidency from December 1, 2022, to November 30, 2023, hosting the 18th G20 Leaders' Summit in New Delhi under the theme 'Vasudhaiva Kutumbakam' (One Earth · One Family · One Future).
  • The African Union (AU), representing 55 African member states, was formally admitted as a permanent member of the G20 during the New Delhi Summit in September 2023.
  • The Global Biofuels Alliance (GBA) was officially launched by India, the United States, and Brazil on the sidelines of the New Delhi G20 Summit in September 2023.
  • The India-Middle East-Europe Economic Corridor (IMEC) partnership was announced at the 2023 G20 New Delhi Summit to link India, the Arabian Gulf, and Europe via rail and shipping networks.
  • The acronym BRIC was originally coined in 2001 by economist Jim O'Neill of Goldman Sachs in a paper on growth prospects in Brazil, Russia, India, and China.
  • The first formal BRIC Leaders' Summit took place on June 16, 2009, in Yekaterinburg, Russia, focusing on global financial architecture reform.
  • South Africa joined the grouping in December 2010 at the invitation of China, transforming BRIC into BRICS at the 3rd Summit in Sanya in 2011.
  • At the 15th BRICS Summit in Johannesburg in August 2023, BRICS announced a major expansion, inviting Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE to become full members from January 1, 2024.
  • The New Development Bank (NDB), headquartered in Shanghai, commenced operations in 2015 with an initial authorized capital of USD 100 billion divided equally among founding members.
  • The Contingent Reserve Arrangement (CRA), established by BRICS in 2014, is a USD 100 billion framework providing mutual currency swap support during balance of payments pressures.
  • The Association of Southeast Asian Nations (ASEAN) was established on August 8, 1967, by Indonesia, Malaysia, the Philippines, Singapore, and Thailand through the Bangkok Declaration.
  • ASEAN has 10 member states: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam, with Timor-Leste admitted in principle as the 11th member in 2022.
  • The ASEAN Secretariat is headquartered in Jakarta, Indonesia, headed by the Secretary-General of ASEAN appointed for a non-renewable five-year term.
  • The ASEAN Charter entered into force in December 2008, conferring legal personality on ASEAN and establishing a institutional framework for political-security, economic, and socio-cultural pillars.
  • The Regional Comprehensive Economic Partnership (RCEP), signed in November 2020 and entered into force in 2022, is a mega free-trade agreement between ASEAN and five FTA partners (Australia, China, Japan, New Zealand, South Korea).
  • India withdrew from RCEP negotiations in November 2019 in Bangkok, citing unaddressed concerns regarding trade deficits, rules of origin, and agricultural safeguards.
  • The Shanghai Cooperation Organisation (SCO) was founded on June 15, 2001, in Shanghai by China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, and Uzbekistan, succeeding the Shanghai Five (1996).
  • India and Pakistan became full permanent members of the Shanghai Cooperation Organisation at the Astana Summit in Kazakhstan in June 2017.
  • Iran became the ninth full member of the SCO in July 2023, followed by Belarus joining as the tenth member state in July 2024.
  • The SCO Secretariat is based in Beijing, China, while its permanent counter-terrorism body, the Regional Anti-Terrorist Structure (RATS), is headquartered in Tashkent, Uzbekistan.
  • Varanasi (Kashi) was designated as the first-ever 'SCO Tourism and Cultural Capital' for the year 2022-2023 during the SCO Samarkand Summit.
Curriculum & Reference Sources: Official Portals of G20, BRICS, ASEAN Secretariat (Jakarta), SCO Secretariat (Beijing), Ministry of External Affairs (India).

Sample Solved Questions & Concept Explanations

8 Verified Concept Questions
Q1.EASY

The BRICS international grouping originally comprised Brazil, Russia, India, China, and which country that joined in 2010?

Q2.EASY

Where is the permanent secretariat of the Association of Southeast Asian Nations (ASEAN)?

Q3.EASY

Where is the headquarters of the Organization of the Petroleum Exporting Countries (OPEC)?

Q4.MEDIUM

The New Development Bank (NDB), formerly known as the BRICS Development Bank, is headquartered in which city?

Q5.MEDIUM

The G20 (Group of Twenty) was expanded during the 2023 New Delhi Summit with the permanent admission of which continental body?

Q6.MEDIUM

Which organization is responsible for setting global standards to combat money laundering and terrorist financing?

Q7.MEDIUM

The Organisation for Economic Co-operation and Development (OECD), comprising 38 advanced market democracies, is based in which city?

Q8.MEDIUM

The Commonwealth of Nations, comprising 56 sovereign member states mostly former territories of the British Empire, has its secretariat in which city?