The Institute of Economic Affairs (IEA) has welcomed Ghana’s decision to pursue partner-country status in BRICS, describing the move as an opportunity to expand the country’s international economic relations, attract investment and create new markets for local businesses.
In a statement issued on Monday, November 9, the Institute said the decision, which has received Cabinet approval, aligns with Ghana’s foreign policy principles of positive neutrality and non-alignment.
The IEA argued that closer engagement with the bloc could strengthen Ghana’s economic and diplomatic ties with emerging economies without compromising its existing relationships with the United States, the European Union, the United Kingdom, the International Monetary Fund (IMF) and the World Bank.
According to the Institute, BRICS, which represents a combined population of more than 3.5 billion people and approximately 30 per cent of global economic output, presents significant opportunities for Ghana to expand its trade and market access.
“With a global population share of over 3.5 billion people, and the control of about 30% of global economic output, BRICS can expand Ghana’s trade and market access,” the statement noted.
The Institute also urged the government to explore local currency settlement arrangements with BRICS member countries, saying such measures could reduce foreign exchange conversion costs and limit exposure to exchange-rate fluctuations.
However, the IEA cautioned that realising the potential benefits of the partnership would require deliberate policy interventions, improved export competitiveness and effective support systems to help Ghanaian businesses access new markets.
It emphasised that Ghana’s engagement with BRICS should complement, rather than replace, its existing international partnerships.
The Institute maintained that a carefully managed partnership could help diversify Ghana’s economic relationships while creating opportunities for trade, investment and sustainable economic growth.
