The Status And Role Of The BRICS In The Reform Of The International Monetary System

Since the beginning of the21st century, BRICS have increasingly become thenew lead strength in the development of the global economy, and change the globaleconomic landscape to an extent. After the outbreak of the global financial crisis in2008, in the process that each global economy tried their best to get out of the crisishaze, emerging economies led by the BRICS have led the recovery and become theimportant engine stimulating global economic recovery and growth. However, it’sshowing significant asymmetry between the increase of contribution to worldeconomic growth of BRICS and its "fringe" status in the international monetarysystem, which makes BRICS have begun to actively promote the reform of theinternational monetary system. Therefore, the discussion of how to play a role andhow to improve its position in the reform of the international monetary system forBRICS has great significance.The paper is divided into four chapters. Chapter1of the dissertation stated theresearch background and significance of the topic, summed up the research achievements of the relative topics, and gave a brief introduction about the basicstructure as well as argumentation methods in the thesis.Chapter2discussed the status of the economic development and position in theexisting international monetary system of the BRICS. To begin with, there are threeareas described in the overview of the economic development of the BRICS: BRICSoverall economic position in the global economy, accelerated development of foreigntrade, and the role in boosting the global economic recovery after the global financialcrisis. What’s more, there exists significant asymmetry between the improvement ofthe global impact of the BRICS and their position in the existing internationalmonetary system. Re-slicing of the cake of the right to the governance of theinternational financial organizations, and the eastward shift of the right to speak in theinternational financial, have given a certain degree of balance to the contributionmade by the BRICS in the post-crisis. But the leading role of the developedeconomies still cannot shake, and it’s showing a long-term severe asymmetry betweenthe influence of the BRICS in the global economic landscape and their position in theexisting international monetary system.Chapter3provides a brief analysis of the attributes and main characteristics ofthe current international monetary system, then descript the inherent instability of the current international monetary system and emphasized the practical requirements andin promoting the reform."Dollar standard", as the basic properties of the existinginternational monetary system, also became the specific performance of its inherentinstability, the so-called "Triffin dilemma". Due to the inherent instability of thecurrent international monetary system, BRICS have the practical requirements of thereform of the international monetary system. On one hand, it shows asymmetriccharacteristics in the representation of BRICS in the current international monetarysystem with the global economic landscape. On the other hand, the trade developmentof the BRICS also need more relaxed international environment. Thus, the gradualreform of the international monetary system is the mainstream model for futurereform. BRICS to participate in the perfection of the international monetary andeconomic order will play an active role to build a more equitable global financialgovernance structure.Chapter4discusses the feasibility of the BRICS to promote the reform of theinternational monetary system. BRICS may take the following possible measures topromote the reform of the international monetary system: First, to improve their owneconomic strength, and to transform the economic growth mode; Second, to enhancethe breadth and depth of financial markets; Finally, use the international forum for economic cooperation to strengthen and deepen cooperation between the BRICS. Onthis basis, this chapter thus analyzes that how to play a role in the process ofdiversification of the international monetary system for China. It is to activelyfacilitate the improvement of the cooperation mechanism of the BRICS, to continue topromote the internationalization of the RMB, and to strengthen regional financialcooperation.