BRICS finance officials advocate for immediate transformation of the IMF and World Bank.
The BRICS group, comprising the Finance Ministers and Central Bank Presidents of major emerging economies, has collectively advocated for an urgent and comprehensive reform of both the International Monetary Fund (IMF) and the World Bank. The call for change comes as the group seeks to better reflect current global economic realities, particularly those of developing countries.
### IMF Reform: A Call for Change
At the heart of the BRICS' demands is a new formula for IMF quota distribution, weighted by countries' economic output and purchasing power. This reform aims to more accurately represent the relative values of currencies and enhance the voice of developing and low-income countries in the IMF's decision-making process. As a result, the quotas (voting shares) for developing nations would increase, while protecting the poorest members from losing representation.
The BRICS ministers have also called for an end to the longstanding tradition of appointing a European to head the IMF, stating this practice is outdated and unfit for the current world order. Instead, they advocate for enhanced regional representation in IMF management to reflect today's global economy more fairly.
In preparation for the upcoming IMF quota review meeting in December 2025, the BRICS countries have agreed to push this joint position, signalling a coordinated stance representing the Global South's interests in governance reforms. Furthermore, discussions are underway to establish a new guarantee mechanism backed by the New Development Bank (NDB), a multilateral institution funded by BRICS, to lower financing costs and support investments in developing economies, complementing IMF reforms.
### World Bank Reform: Strengthening Multilateralism
The BRICS group has also highlighted the importance of the 2025 World Bank Shareholding Review, co-chaired by Brazil, as a critical opportunity to strengthen multilateralism and improve the legitimacy and effectiveness of the World Bank. They advocate for a shareholding realignment at the World Bank that addresses the historic underrepresentation of developing countries, thereby increasing their voice and representation in line with development and poverty reduction goals.
The BRICS also emphasized that the World Bank's mission should remain focused on tackling poverty and inequality, especially in the challenging contexts of climate change and digitalization.
### A Unified Stance for the Global South
This unified stance represents the first time BRICS countries have jointly articulated such a clear position on IMF reforms, reflecting their growing diplomatic clout as the group expands beyond the original five members to include Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the UAE. Their demands underscore a broader push by developing nations to reform global financial institutions traditionally dominated by Western powers, aiming to make them more representative, fair, and supportive of emerging economies' growth and stability.
- The BRICS ministers aim to reform the IMF's decision-making process by advocating for a new quota distribution formula, weighted by countries' economic output and purchasing power, to better reflect the values of currencies and enhance the voice of developing and low-income countries.
- In preparation for the upcoming IMF quota review meeting in December 2025, the BRICS countries have agreed to push for a change in the tradition of appointing a European to head the IMF, calling for enhanced regional representation in IMF management to reflect today's global economy more fairly.
