President Cyril Ramaphosa says South Africa must turn its BRICS membership into tangible economic benefits through greater trade, investment, infrastructure financing and industrial development.
Speaking after the 18th BRICS Summit held in New Delhi, Ramaphosa argued that the expanded grouping should not remain an abstract diplomatic platform but should help create jobs, strengthen domestic industries and improve living standards.
South Africa is particularly seeking stronger commercial ties with India, deeper infrastructure investment and greater local processing of critical minerals as it uses BRICS to expand its economic relationships beyond traditional markets.
Key Overview
- More than one-fifth of South Africa’s trade is with BRICS members.
- The expanded BRICS grouping represents roughly half of the world’s population and around a quarter of global trade.
- India is South Africa’s fourth-largest trading partner.
- More than 150 Indian companies have invested over $10 billion in South Africa and employ more than 18,000 people.
- South Africa has received development financing through the New Development Bank for infrastructure projects.
- Pretoria wants BRICS partnerships to support beneficiation, pharmaceuticals, digital technology, infrastructure and green industrialisation.
BRICS Expands South Africa’s Economic Reach
BRICS has changed considerably since South Africa joined the original grouping of Brazil, Russia, India and China in 2010.
The bloc now includes Egypt, Ethiopia, Iran, Indonesia, Saudi Arabia and the United Arab Emirates alongside its five original members. The expanded membership accounts for around half of the world’s population and roughly a quarter of global trade, giving South Africa access to a substantial network of major and fast-growing economies.
For Pretoria, the economic opportunity is already significant. More than a fifth of South Africa’s total trade is conducted with BRICS economies, highlighting the importance of the grouping beyond its diplomatic role.
Ramaphosa wants that relationship to move further into productive investment, industrialisation and value addition rather than allowing South Africa to remain primarily an exporter of raw materials.
At the summit, he argued that investment should increasingly support manufacturing and beneficiation, infrastructure, logistics, energy systems and industrial technologies across developing economies.
Development Bank Financing Supports Infrastructure
Another practical benefit of BRICS membership comes through the New Development Bank, which was established to finance infrastructure and sustainable development.
South Africa has used the institution to support projects covering energy, water, transport and other infrastructure. The bank’s South African portfolio has included renewable-energy projects, rail infrastructure and major water investments.
In August 2026, the bank approved the first phase of the uMkhomazi Water Project, which is intended to increase bulk water supply across six municipalities in KwaZulu-Natal serving about seven million people.
Earlier investments have also supported South Africa’s energy transition. Since 2016, energy-sector financing reached about $972.8 million, supporting projects estimated to have added around 1,600 MW of capacity.
This financing illustrates how Ramaphosa wants BRICS cooperation to translate into projects that directly address infrastructure constraints affecting households and businesses.
BRICS Also Provides a Financial Safety Mechanism
South Africa’s BRICS participation also gives it access to a broader financial safety framework through the Contingent Reserve Arrangement.
The mechanism was established with total committed resources of $100 billion to provide participating countries with liquidity and precautionary support when they face short-term balance-of-payments pressures.
China committed $41 billion to the original arrangement, while Brazil, Russia and India each committed $18 billion and South Africa committed $5 billion.
The arrangement is therefore not simply a $100 billion cash fund available entirely to any single member. It operates as a coordinated reserve mechanism under agreed access and currency-swap conditions, providing another layer of financial protection during periods of external pressure.
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India Relationship Moves to the Forefront
India emerged as one of the most important bilateral opportunities during the New Delhi summit.
It is now South Africa’s fourth-largest trading partner, while more than 150 Indian companies have invested over $10 billion in the South African economy and created employment for more than 18,000 South Africans.
During the South Africa-India business leadership discussions, Ramaphosa highlighted reforms underway in energy, telecommunications, logistics and water as part of efforts to make the country more competitive for investment.
South African companies have also established significant operations in India, including Naspers, FirstRand Bank, Sanlam and Momentum, creating a two-way investment relationship that both governments want to deepen.
Critical Minerals and Technology Offer New Opportunities
The next stage of cooperation could increasingly focus on industries linked to the global energy and digital transitions.
South Africa wants its mineral resources to feed India’s rapidly expanding renewable-energy, battery and automotive industries, while ensuring that a greater share of mineral processing takes place domestically rather than exporting raw commodities.
India’s strengths in pharmaceuticals and healthcare technology could also support South Africa’s ambitions to increase local medicine and vaccine production.
Information technology, fintech and digital public infrastructure represent another potential growth area, while Pretoria has also identified agriculture, infrastructure and green industrialisation as sectors capable of attracting deeper Indian investment.
Ramaphosa has additionally called for the restoration of direct flights between South Africa and India, which could improve business connectivity and tourism while supporting stronger commercial links.
The Test Is Whether BRICS Delivers at Home
South Africa’s BRICS strategy is increasingly focused on turning geopolitical influence into measurable economic outcomes.
Membership can provide access to large markets, development finance, investment partners and greater influence in debates about reforming international institutions. Yet the benefits ultimately depend on whether those relationships produce factories, infrastructure, exports, technology transfers and employment.
That is the central challenge behind Ramaphosa’s message following the New Delhi summit: BRICS membership will matter most to ordinary South Africans if expanded international cooperation translates into stronger domestic growth and improved economic opportunities.
Sources: The Presidency of South Africa / New Development Bank / BRICS Brazil / Department of International Relations and Cooperation / SAnews
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