A few days after the invitation for Iran to join BRICS, Iranian policymakers and pundits are expressing diverse views about the benefits the group of emerging markets can offer to help improve Iran’s deteriorating economy. While hardliners have characterized Iran’s membership as a prestigious milestone, others are raising doubts about the actual advantages for the nation, particularly in light of Western sanctions that continue to hinder potential business partners from investing in Iran.
Drawing attention to the merits of membership in BRICS, principlist MP Alireza Varnaseri-Qand’ali pointed to the organization’s diverse origins and motivations (Daily Summary of 28 August 2023: “Navigating Prospect of Agreement with West”). He explained how BRICS uses skillful diplomacy to gradually align members’ stances, including toward the West, to counter potential divisions. Varnaseri highlighted the adept handling of border disputes by India and China, despite U.S. pressure, showcasing efforts to strengthen mutual interests. Ultimately, he underscored the BRICS strategy to forge unity amidst diversity and navigate complex geopolitical scenarios. International relations commentator Hasan Beheshtipur lauded the benefits BRICS membership could bring to Iran’s economy given the group’s growing global economic clout. However, he cautioned against overestimating the transformative power of membership, urging Iran to be mindful of sanctions and other obstacles. Ali-Akbar Velayati, former foreign minister and current senior advisor to Supreme Leader Ali Khamenei on global affairs, claimed the U.S. likely disapproved of Iran’s new foreign policy stance and potential BRICS membership. In his view, the move to allow Iran to join BRICS could weaken the dominance of the U.S. dollar, which replaced gold as the world’s reserve currency post-World War II. According to him, Iran’s inclusion in BRICS could offer the country the chance to utilize the group’s combined banking capacity through the New Development Bank. Velayati’s insights underscored the evolving dynamics in the global economic landscape.
Amidst the praise, some policymakers and pundits reminded readers about Iran’s trade limitations as a result of ongoing Western sanctions. Citing a report by Ali-Akbar Safa’i, the head of Iran’s Ports and Maritime Organization, principlist MP Abdolnaser Derakhshan highlighted Iran’s membership in BRICS as an economic opportunity that would lead to greater efforts by New Dehli to implement the Chabahar Port transit agreement with Iran, even though both countries have yet to sign a long-term agreement. By contrast, TINN news argued that India was likely to avoid Iran’s Chabahar Port and North-South Transport Corridor as a gateway to Europe due to the threat to the transit corridor from the tension between the Republic of Azerbaijan and Armenia. Instead, India aimed to use the Arab-Med Corridor to Europe as an emerging multi-model and commercial corridor. Meanwhile, economic analyst Mohammad Bayat questioned the significance of Iran’s BRICS membership without the revival of the JCPoA and removal of sanctions. He argued that the membership would have little impact on Iran’s economic growth. Highlighting economic vulnerabilities impacted by U.S. sanctions, Bayat advised Iran to adopt a balanced foreign policy approach towards the West, including the use of a softer tone when negotiating. Foreign policy analyst Salaheddin Khadiv opined that Iran’s participation in BRICS could be considered a political victory to help Iran overcome isolation, especially at a time when the country faced ongoing problems on both the domestic and international fronts. At the same time, he asserted that Iran was the only BRICS member that could not benefit from the services of the BRICS New Development Bank due to U.S. sanctions. According to him, BRICS members, including Iran, viewed the organization as a tool for use in bargaining and negotiating with the West. Echoing Khadiv’s sentiments on the negative impact of sanctions on the country’s economic progress, economist Hadi Haqshenas pointed out that Iran would only be able to take advantage of the unique opportunities offered by BRICS, the Shanghai Cooperation Organization and the Eurasian Economic Union if Western sanctions were removed. Furthermore, China, a major player in BRICS, was also holding back on expanding economic relations with Iran until sanctions were lifted.
