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Uganda became the first East African nation to join BRICS as a partner, positioning itself within a growing alliance that seeks to reshape global economic policies. BRICS comprising Brazil, Russia, India, China, South Africa, and now new partners like Uganda has emphasized reducing reliance on the US dollar through de-dollarisation, aiming to foster stronger, currency-neutral trade relations.

Exploring Strategic Gains for Uganda as a New BRICS Partner

On October 23, Uganda officially joined BRICS as a partner, marking its entry as the first East African nation in the prominent alliance that unites Brazil, Russia, India, China, and South Africa with other emerging economies. Since its inception in 2009, BRICS has evolved from promoting investment opportunities to a powerful geopolitical bloc, where member governments convene annually to discuss multilateral policies and strategies. Alongside Uganda, other countries added as BRICS partners during the 2024 Summit included Algeria, Belarus, Bolivia, Cuba, Indonesia, Kazakhstan, Malaysia, Nigeria, Thailand, Turkey, Uzbekistan, and Vietnam.

Margaret Kafeero, head of public diplomacy at Uganda’s Ministry of Foreign Affairs, told this reporter that while she had seen news of the development, formal details were still being verified. The Ministry’s spokesperson redirected further inquiries to Permanent Secretary Vincent Bagiire, who was unavailable for comment.

BRICS’ Growing Influence and De-Dollarisation

This year’s BRICS summit highlighted the bloc’s ongoing expansion and strategies for reducing dependence on the US dollar, with Russian President Vladimir Putin hinting at a potential new BRICS currency. The bloc, which has experienced notable growth in the past two years, has focused on de-dollarisation as a means of challenging Western economic dominance. This shift aims to boost trade among BRICS members without reliance on the dollar, and numerous countries have increasingly traded within the bloc in their national currencies.

Combined, BRICS members now encompass about 30% of the global land area and 45% of the world’s population. The original members alone, South Africa, Brazil, India, China, and Russia, hold significant economic power. With a combined nominal GDP of approximately $28 trillion, a total GDP (PPP) of $65 trillion, and around $5.2 trillion in foreign reserves, BRICS now represents 33% of the world’s GDP on a purchasing power parity basis. Uganda, with its strong relations with current BRICS members and other new partners, stands to benefit from these economic networks.

New Opportunities in Trade and Security Cooperation

Joining BRICS presents Uganda with unique opportunities for economic growth and geopolitical alliances. Uganda’s economy, which relies heavily on agriculture and natural resources, could attract increased foreign investment, particularly in oil, minerals, coffee, and tea. Patricia Kishemeire, Special Representative of the BRICS Municipal Forum, noted in The Independent that this development expands Uganda’s diplomatic reach, offering greater opportunities for equitable trade and partnerships with non-Western nations. She pointed out that the 2024 Kazan Declaration emphasised “African Solutions to African Problems,” potentially reinforcing Uganda’s peacekeeping roles in South Sudan and Somalia.

BRICS’ support for the African Union and regional organisations could provide Uganda with additional resources to strengthen its peace efforts, especially through peacekeeping missions, further solidifying Uganda’s role as a stabilising force within East Africa. The declaration also advocates for greater collaboration with BRICS nations in security and peacebuilding initiatives, aligning with President Yoweri Museveni’s stance on regional cooperation.

New Funding Alternatives

BRICS offers financial benefits through its New Development Bank, which provides loans on equitable terms for public projects. This lending model offers Uganda an opportunity to diversify its sources of funding, reduce dependency on the US dollar, and alleviate debt pressures. Uganda has already benefitted from its association with BRICS members; in August, the Russian government provided $100 million in military aid to the Uganda People’s Defence Forces (UPDF), a decision that followed discussions between Presidents Museveni and Putin during the Russia-Africa Summit in St. Petersburg last year.

President Museveni with President Putin

Additionally, China has significantly contributed to Uganda’s infrastructure, particularly through the $1.7 billion Karuma Hydropower Project (KHP), which adds 600 megawatts to Uganda’s energy output, boosting the country’s capacity to over 2,000 MW. Recently, General Muhoozi Kainerugaba, Chief of Defence Forces, met with Indian High Commissioner Upender Singh Rawat to discuss the operationalization of the National Forensic Sciences University in Jinja India’s first international academic campus of its kind.

It is essential to clarify that full BRICS members participate fully in summits, hold voting rights, and are committed to representing the bloc in policy decisions. By contrast, BRICS partners, such as Uganda, participate in limited BRICS activities and retain freedom to engage in other international initiatives. While the recent BRICS partners could potentially advance to full membership, the bloc has not immediately inducted them as full members, with reasons understood only by BRICS leadership.

In aligning with BRICS, Uganda is taking a significant step towards expanding its economic, political, and strategic influence on the global stage, building new alliances, and enhancing its position within Africa and beyond.