Who's Really Isolated? Iran Set To Join BRICS Bank, Strengthen Ties With Brazil

Tyler Durden's picture

As US hegemony wanes in the face of dysfunctional domestic politics, foreign policy confusion, and a “lead from behind” mentality, the world has begun to transition towards a kind of new world order both politically and economically. 

On the geopolitical front, we’ve seen a resurgent Russia take charge in Syria after the situation spiraled out of control, leaving hundreds of thousands dead and creating the worst migrant crisis in Europe’s history. 

On the economic front, the BRICS nations have embarked on a series of projects designed to supplant the US-led multinational institutions that have dominated the post-war world.

In what has become one of the bigger stories of the year, China has established its own development bank (the AIIB) and after the UK broke with Washington to support the new venture back in March, the floodgates opened with US ally after US ally jumping on the bandwagon. Although Beijing has promised it doesn’t intend to use the bank as an instrument of foreign policy or as a means of promoting yuan hegemony, the renminbi is set to play a prominent role in loans issued by the bank and there’s little question that development lending will bolster China’s attempt to establish a kind of Sino-Monroe Doctrine. Beijing has similar ambitions with the Silk Road Fund (see our full breakdown here), although part of the story there looks to revolve around an effort to provide a kind of pressure valve for the country's excess industrial capacity.

And then there is of course the BRICS bank, which officially launched along with a reserve currency pool back in July. The following chart does a nice job of demonstrating why the bank matters:

Much like the AIIB, the BRICS bank is in many respects a response to what the emerging world views as an abject failure on the part of existing multilateral institutions to provide representation that’s commensurate with the growing clout of influential emerging economies.

Given this, and given what we know about the extent to which the current situation in the Mid-East has served to strengthen ties between Moscow and Tehran, it should come as no surprise that Iran is now set to join the BRICS bank. Here’s RT:

Tehran intends to participate in the BRICS New Development Bank, the Iranian Tasnim news agency reported on Monday, citing an Iranian official.


The Iranian Deputy Minister of Economic Development Mohammad Khazaee said at a meeting of a joint Iran-Brazil economic council that the country is aiming to join the BRICS bank.

More, from PressTV:

Iranian officials said on Monday that the country plans to join an independent bank established by BRICS member states.


The announcement was made by Mohammad Khazaei, Iran’s deputy economy minister for development affairs, at conference on Iran-Brazil economic cooperation.


The agreement to establish the BRICS New Development Bank (NDB), with an initial capitalization of $100 billion, was signed by the BRICS member states — Brazil, Russia, India, China and South Africa — during the group's 6th summit in Fortaleza, Brazil, in July 2014.


The bank is meant to act as an alternative to the existing American and European-dominated financial institutions such as the World Bank and International Monetary Fund.


It was officially launched at the last BRICS summit in the Russian city of Ufa earlier this year.


Khazaei said Iran’s joining the NDB will help the expansion of economic relations with all BRICS states, specifically Brazil. 

And while now might not be a particularly opportune time to be aligning with Brazil economically, the following (again from state affiliate PressTV) underscores the extent to which Tehran is quickly shedding the pariah state label and marking a swift return to the world stage:

Iran’s Foreign Minister Mohammad Javad Zarif has stressed the importance of improving relations with Brazil given the country’s special position in Latin America and in the BRICS group of major emerging economies.


“This country (Brazil) has always been among priorities of the Islamic Republic of Iran’s foreign policy,” Zarif said in a meeting with Brazilian Minister of Development, Industry and Trade Armando Monteiro in Tehran on Monday.


He added that Iran has great potentialities to open new markets and can help Brazil’s access to the Central Asian region.


Zarif said Tehran and Brasilia are seeking a new roadmap to develop common interests, adding that the two sides’ enterprises and banking and economic institutes can play an important role in this regard.


He noted that Iran and Brazil enjoy great opportunities for strengthening cooperation in different fields such as technology, biotechnology, energy and gas.


The Iranian minister expressed his country’s readiness to remove obstacles in the way of banking cooperation with Brazil through constant consultation.

Yet again, we see further evidence that the "isolation" line being pushed by the West with regard to Moscow and Tehran bears little resemblance to reality. 

Admittedly, the nuclear deal shows that Washington has to a certain extent come to terms with the fact that attempting to bankrupt a geopolitically imporant state as "punishment" for that state's legitimate attempt to develop the same deterrent capabilities as its sworn enemy is a fool's errand. That is, whatever you want to say about the P5+1 accord, and the Ayattolah's ranting notwithstanding, the deal was at least a step towards recognizing that Washington's foreign policy towards Tehran has been a miserable failure and isn't at all sustainable going forward. 

Now, with sanctions set to be lifted and Iranian crude exports set to get a boost in Q1 or Q2 2016 at the latest, Tehran is marking a dramatic comeback both with its involvement in Syria and with efforts to prove that it is not, as the West would have you believe, completely "isolated." Time will tell if this is ultimately a positive development. We'll leave it to readers to make their own predictions in that regard.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Kirk2NCC1701's picture

How is that CIPS (or Russian RIPS) coming along?

Online yet?  Gone Global?  Nothing will change till it does.

Hitlery_4_Dictator's picture

Gotta get my extra large popcorn out, for this will be one for the ages / mellenia....we all have front row seats to armegeddon 

Oldwood's picture

I feel isolated, but then again, I've been married a long time....

fudge's picture

You can follow Irans lead and next join the SCO if you need company. Maybe Syria would like some company. ;)

TBT or not TBT's picture

The valerie Jarrett wing of the obama administration is all good with the shia theocracy spreading its wings.  

fudge's picture

maybe she's after a Warhol or 2 or a Jackson Pollock.

farflungstar's picture

Might turn out better than the jewish theocracy with nukes down the street. We snubbed Iran for 36 years, sometimes that blows back too

Oldwood's picture

If there is an ideology or religion at play it is irrelevant as the only thing at play here is chaos and destruction. Whether it be Joo, Gentile or Muslim, in the end it is ALL tyranny through fear. Our challenge is to accurately define threats and prepare. I Will not be asking for their papers when they come to the door. All that matters is their intent.

Consuelo's picture



It has already 'changed', via Syria, Ukraine, the South China Sea, etc.   All that is left is in the hands of those who decide when & where, and that 'taint the U.S. any longer...

JerrySpringer B All Over This Shiznit's picture


Bank of China Sydney Branch processes the first CIPS cross-border RMB transaction By Chuyi Sheng (People's Daily Online)    14:10, October 09, 2015 http://en.people.cn/n/2015/1009/c98649-8959681.html


Chinese payment system UnionPay started to work on the territory of Crimea
20 2015 20:01


OldPhart's picture

This comedy started out as drama.    Watching now feels more like a three stooges movie as our war criminal government flounders in panic.

NoDebt's picture

When you're a dying empire like the US is, you're supposed to try to hold out as long as possible, not hand away what little leverage you've got left.  Yet, that's what our Manchurian Candidate president is doing.  Still think he's not controlled by larger forces?

Winston Churchill's picture

I can't make my mind is he is employing Cloward Piven,or just a

banker whore myself.

NoDebt's picture

What's the one industry he's never laid a finger on?  The one industry where his AG specifically forbid prosecution?  Banking.

Cloward Piven is just a strategy he uses.  His bread is buttered by banker money.  Wait till you see the fiat flow into his "charitable organization" after he leaves office (if he leaves office).  He's going to make the Clintons look like a bunch of pan handlers working the local overpass.

Winston Churchill's picture

Yes, but is he using them, or vice vesa.

Lenins actions come to mind before the October revolution.

Oldwood's picture

No one can do it alone. The more powerful your friends, the more powerful you are. This is where I have fucked up terribly....

Sergeiab's picture

Something to bare in mind:


(The music is terrible)

ghostzapper's picture

One of several elephants in the room yet to publicly impact the landscape: strategic sovereign defaults based on debts deemed to be "odious".  

Oldwood's picture

How can you default when you can print money? Sure, the consequence is a massive loss in public confidence, but that is why they have amassed so much power and data collection. When bribery fails, you resort to blackmail. When that fails you resort to force. It's a process and we are just in the middle of it, so it is still not clear to many....but it will be.

ghostzapper's picture

Not talking about the U.S. defaulting though I don't rule that out.  I'm speaking to places like Russia and Greece and others defaulting on IMF debt and/or sovereign debt.  

Oldwood's picture

They won't even allow Greece to default...an obvious case if there ever was one, and they just let it be known yesterday that they will not be making their payment...again. No one even blinks. I'm sure default will be enforced in those cases where it serves their needs, but not as part of any legitimate economic principle or law. Purely strategic at this point....and corrupt of course.

yogibear's picture

The sooner these countries all join in to take away the US reserve currency status the better.

Looks like the petrodollar is dying.

It will take a lot to have the Federal Reserve, ECB and BOJ lose control of the world markets.

Blankone's picture

It will take a lot and every bit helps but Brazil is just another basket case fiscally.  Russia just in the last year finally got a system up and running that allows Russian banks, within Russia, to be able to settle accounts without the use of SWIFT.  That is a clear example of the lack of vision that has crippled Russia's response to the economic attack.

The best allies, or could have been allies, in this effort were allowed to be destroyed years ago.  Iraq, Libya and Syria.  If all three were still strong and a part of the de-dollarization effort this would have an effect.  Iran was allowed by Russia to be sanctioned (why?).

Brazil is not emerging it is crumbling due to internal corruption during the boom.  Now it is vulnerable to economic attacks from the west. 

China is the one moving the effort forward.  China is being provoked to see if they will back down.  If they do not then they get the some form of terrorist tag and an effort at sanctions.  (With other countries paying the real cost of the sanctions not the US)  If China does back down then the pressure increases to keep them backing up, along with "agreements and understandings" that the US/Zionist will have not intention of honoring in the future.  Kind of like how Russia backed down in Cuba, got consessions for backing down and these agreements not honored by the west after a few years.


Raymond_K._Hessel's picture
Raymond_K._Hessel (not verified) Oct 27, 2015 11:33 AM

But American foreign policy, largely crafted by the "deep state," has not been developed either by the brightest minds nor American patriots.

for one thing, Israel has far, far too much influence, largely due to the excessive presence of neocon chickenhawks more loyal to a foreign state than their host country - a repeated problem for a minority of that minority which is not wished away with magic words.

And of course the MIC and good old fashioned oil/gas profiteers also sit at the big kids table.

The focus has been on smash and destroy.

Meanwhile, Russia and China have developed cost-effective weapons which largely counter our effective but way overpriced tech, and have been making deals.

Turns out that neocon capture has not been good for the United States, its security - or its media.

Lucky Leprachaun's picture

"Turns out that neocon capture has not been good for the United States, its security - or its media."

Who could have imagined?

Squid Viscous's picture

waiting for the Jacob Tapper/ Wolf Blitzer CNN expose of neocon traitors... think it might be a long wait

farflungstar's picture

Neocons and dual-citizens need to be Mussolini'ed for dragging the US down.

JaCkaLopEd's picture

That moment when you have a new option in buying weapons other  than the silk road because of those pesky sanctions and the swift  payment system...

Haka Matohi's picture
Haka Matohi (not verified) Oct 27, 2015 11:39 AM

Obama and company are orchestrating a complete capitulation of the role and presence of the USA within the world's economy and militarily.

Wonder if he isn't looking toward a national event that he will attempt to be crowned for a third term.

Once again this great scene is appropriate as we loose more and more freedom and stature, which will in all likelihood lead to disastorous results.

Wallace: Sons of Scotland, I am William Wallace. 

Young soldier: William Wallace is 7 feet tall.

Wallace: Yes, I've heard. Kills men by the hundreds, and if he were here he'd consume the English with fireballs from his eyes and bolts of lightning from his arse. I AM William Wallace. And I see a whole army of my countrymen here in defiance of tyranny. You have come to fight as free men, and free men you are. What would you do without freedom? Will you fight?

Veteran soldier: Fight? Against that? No, we will run; and we will live.

Wallace: Aye, fight and you may die. Run and you'll live -- at least a while. And dying in your beds many years from now, would you be willing to trade all the days from this day to that for one chance, just one chance to come back here and tell our enemies that they may take our lives, but they'll never take our freedom!!!


Oldwood's picture

And ultimately how did this play out?

Raymond_K._Hessel's picture
Raymond_K._Hessel (not verified) Oldwood Oct 27, 2015 12:05 PM

The Scots kicked the English army and sheriffs out of Scotland?

Lucky Leprachaun's picture

He got handed drawn and quartered. 

Implied Violins's picture

Brandon Smith was right all along. Just more proof of the globalist plan.

rita's picture

Definatly not Iran is isolated!

Herdee's picture

The U.S. has been stopped from bombing Iran under the Wolfowitz Doctrine.Less recycling of U.S. Dollars outside the U.S. Dollar system has gotten a number of countries bombed by the NeoCon Imperialists in Washington.Maybe theyll think they are getting recharged when the deficit funding is increased but Congress has alreadt spent itself into heaven.They're bust from endless war and not even their heroin operations that the CIA runs to finance covert operations are enough to save them now.The Taliban in Afghanistan is eliminating that money to the CIA once again.

Berspankme's picture

I love how everyones chirps about corruption in brasil while their own .gov has a 20T debt. No corruption there?

Freddie's picture

I think we have passed $21 trillion in debt.

Leles's picture

What a  load of c***. Brazil's foreign strategy is having a group of corrupt authoritarian friends where it can send it's contractors to do heavy construction for kickbacks. The contractors are all in jail now, what means Brazil has no foreign interest at all anymore. 

Also, the country faces at least 2 years of  3%+ contraction, 10%+ inflation aand %+fiscal deficits; and 4 years of a lame duck president who's sole concern is to hold the office and staying out of jail after that. 

Ok,  China is in the business of acquiring bankrupt countries for their commodities value. Bought Argentina for their wheat and soy, bought Venezuela and Iran for their oil & gas. 

Brazil, on the other hand, is too big for China to bail... 

Freddie's picture

Also, the country faces at least 2 years of  3%+ contraction, 10%+ inflation aand %+fiscal deficits; and 4 years of a lame duck president who's sole concern is to hold the office and staying out of jail after that.

Sounds a lot better than the USSA with $21 trillion in debt and 15 years of endless wars plus 65 million on EBT?WIC and Deep State.  

What a  load of c***. Brazil's foreign strategy is having a group of corrupt authoritarian friends where it can send it's contractors to do heavy construction for kickbacks. The contractors are all in jail now, what means Brazil has no foreign interest at all anymore.

Sounds like Halliburton, Bechtel,Stone & Webster, Brown & Root, Chevron, GE and many others.  A lot like John Perkins book Confessions of an Economic HitMan (aka what the NSA does) except no one goes to jail in the USSA.


Moccasin's picture

I just applied for my UnionPay credit card. Have you? http://en.unionpay.com/ 

DaveA's picture

U.S. sanctions have isolated Iran, just like that famous London Times headline:


onmail1's picture

Welcome to BRIICS

Also Iran should make a new OPEC like structure alongwith Russia , Venezuaela, Brazil, Malaysia etc. oil producing countries so that it does not deal in dollar & euro , that will lead to collapse of petrodollar and economies of Satan USA , Israel & Europe (& allies) will collapse, rather their payments should be in gold, silver , metals etc tangibles. However payments from BRIICS countries should be in their currencies.

Also Iran should form a new military alliance with Russia etc so that Russia can deploy many nuclear bombs in Iran to counter Israel's threat. This is because Satan America has gifted more than 200 B61 nuclear bombs to europe. 

Time to demolish west