Marking the beginning of new geopolitics in 2006, BRICS has managed to maintain its relevance on global matters. The BRICS coalition represents about 40 percent of the world’s population and 17 percent of world trade.
Troubled with widening inequality, each of the BRICS countries continue to lose revenue through tax evasion and avoidance practices. Global Financial Integrity reported that in 2013 alone, developing countries lost $1.1 trillion to illicit financial flows.
Illicit financial flows (IFFs) (or black money) are funds that are illegally earned, transferred and utilised and are exploited by corporates to move their profits to low tax jurisdictions (more popularly known as tax havens) requires concrete international and regional cooperation.