Introduction: A New Frontier for Global Innovation
The BRICS economic coalition—comprising Brazil, Russia, India, China, and South Africa, with recent expansion including Egypt, Ethiopia, Iran, and the United Arab Emirates—represents more than just an alternative geopolitical bloc.
Today, it’s emerging as a dynamic, interconnected ecosystem for start-up funding and innovation support, challenging traditional Western-dominated venture capital and grant systems.
As these nations collectively account for over 40% of the world’s population and approximately 26% of global GDP, their coordinated approach to fostering innovation carries significant weight in shaping the future of technology, sustainable development, and economic growth.
Understanding the BRICS Innovation Philosophy
Unlike traditional funding models concentrated in Silicon Valley or European hubs, BRICS nations approach innovation with distinct priorities that reflect their diverse developmental contexts:
- Solutions for Local Challenges: Emphasis on addressing regional issues like financial inclusion, agricultural technology, healthcare accessibility, and sustainable urbanization.
- South-South Collaboration: Fostering technological exchange and business partnerships between developing economies, bypassing traditional Northern intermediaries.
- Infrastructure-Led Innovation: Leveraging massive public investments in digital infrastructure (like India’s Aadhaar or China’s 5G networks) as platforms for entrepreneurial ventures.
- State-Private Synergy: A unique blend of government direction, state-backed funding, and private sector dynamism.
The BRICS Institutional Framework for Innovation
Several key institutions form the backbone of BRICS collaborative support for start-ups:
1. The BRICS New Development Bank (NDB)
Established in 2015, the NDB has become a pivotal funding source, with over $33 billion in approved projects. While traditionally focused on large infrastructure, its evolving mandate increasingly supports innovation:
- Digital Infrastructure Projects: Financing smart city initiatives, digital payment systems, and broadband expansion that create the foundation for tech start-ups.
- Green Technology Funds: Dedicated financing for renewable energy, sustainable agriculture, and clean transportation start-ups.
- Technical Assistance Grants: Providing preparatory funding for innovative projects seeking larger-scale implementation.
How to Access: Start-ups typically engage through national implementing agencies or partner with larger corporations on innovative components of NDB-funded projects.
2. BRICS Business Council & Working Groups
The council’s working groups on ICT, manufacturing, and financial services actively foster cross-border start-up collaboration:
- Innovation Competitions: Regular pitch events with winners receiving mentorship, networking, and potential investment.
- Start-up Exchange Programs: Facilitated market access and immersion programs between member countries.
- Policy Advocacy: Working to harmonize regulations affecting start-ups across BRICS nations, particularly in digital trade and intellectual property.
3. BRICS Scientific and Research Initiatives
Joint research programs in priority areas like:
- Biotechnology and biomedicine
- New materials and nanotechnology
- Artificial intelligence and big data
- Renewable energy and energy efficiency
These often include commercialization components, providing pathways from laboratory research to market-ready solutions.
Country-by-Country Breakdown of Major Programs
Brazil: Fostering Tech in Latin America’s Giant
- Start-Up Brasil: Flagship program offering equity-free funding, acceleration services, and international soft-landing support.
- FINEP Grants: The Brazilian Innovation Agency provides non-repayable grants for R&D and innovation projects.
- BNDES Criatec Fund: A venture capital fund focusing on early-stage innovative companies.
- Brazilian BRICS Focus: Emphasis on agri-tech, fintech, and clean energy solutions.
Russia: Innovation Beyond Resources
- Skolkovo Foundation: Often called “Russia’s Silicon Valley,” offering grants, tax benefits, and infrastructure to tech start-ups.
- RUSNANO: State corporation investing in nanotechnology and advanced materials commercialization.
- Innovation Promotion Fund: Provides matching grants for research and development.
- Russian BRICS Focus: Advanced engineering, cybersecurity, and nuclear technology applications.
India: The Digital Democracy’s Start-up Revolution
- Startup India Seed Fund Scheme: ₹945 crore fund providing early-stage capital for product development and market entry.
- Atal Innovation Mission: Establishing incubators and tinkering labs across educational institutions.
- BRICS-Undi Initiative: Collaborative start-up programs between India and other BRICS nations in urban development and smart cities.
- Indian BRICS Focus: Digital public infrastructure, edtech, healthtech, and space technology.
China: Scale and State-Guided Innovation
- Torch Program: The world’s largest incubator network with over 5,000 centers supporting high-tech ventures.
- Local Government Grants: Municipal and provincial governments offer substantial subsidies for start-ups in strategic sectors.
- China-BRICS Partnership: Active investment in BRICS joint innovation centers and start-up exchanges.
- Chinese BRICS Focus: Artificial intelligence, electric vehicles, e-commerce platforms, and 5G applications.
South Africa: Gateway to African Innovation
- Technology Innovation Agency (TIA): Provides funding across the innovation value chain from ideation to commercialization.
- SA BRICS Grants: Specific funding for collaborative projects with BRICS partners, particularly in mining technology, biotechnology, and space science.
- Small Enterprise Development Agency (SEDA): Incubator support and early-stage business development services.
- South African BRICS Focus: Mining technology, financial inclusion, and renewable energy for African contexts.
The New BRICS+ Members: Expanding Opportunities
The 2024 expansion brings fresh dimensions to BRICS innovation funding:
- United Arab Emirates: Adding sovereign wealth fund expertise and a hub for fintech and logistics innovation.
- Egypt & Ethiopia: Bringing African developmental challenges and opportunities in Nile-based agriculture, textiles, and manufacturing.
- Iran: Contributing specialized engineering and pharmaceutical innovation capabilities.
Specialized Funding Vehicles & Initiatives
1. BRICS Women Innovation Awards & Funds
Dedicated programs encouraging female entrepreneurship across member states, offering targeted grants and mentorship.
2. Youth Innovation Competitions
Annual events like the BRICS Young Innovators Prize that identify and fund promising young entrepreneurs.
3. Sector-Specific Challenges
Focused grant programs addressing shared challenges such as:
- BRICS Vaccine Research & Development Fund (post-pandemic initiative)
- Climate Technology Accelerators
- Digital Currency and Payment System Pilots
Practical Guide: How to Access BRICS Start-up Funding
Step 1: Align with Strategic Priorities
Review BRICS ministerial declarations and the NDB’s strategic plans to ensure your start-up addresses acknowledged regional challenges.
Step 2: Build Cross-BRICS Partnerships
Most funding favors collaborative projects. Establish partnerships with entities in at least one other BRICS country before applying.
Step 3: Navigate National Agencies
Access typically flows through designated national bodies:
- Brazil: Ministry of Science, Technology and Innovation
- Russia: Ministry of Economic Development
- India: Department of Science & Technology
- China: Ministry of Science and Technology
- South Africa: Department of Science and Innovation
Step 4: Prepare for Unique Requirements
Applications often require:
- Demonstration of technology transfer potential between BRICS nations
- Plans for local capacity building
- Alignment with sustainable development goals
- Evidence of market need across multiple BRICS countries
Step 5: Leverage Digital Platforms
Utilize official channels like:
- BRICS Partnerships on New Industrial Revolution (PartNIR) innovation network
- National innovation portal counterparts (like Startup India Hub)
Success Stories: BRICS-Funded Start-ups Making Impact
Case Study 1: Indian Agritech in Brazil
A Pune-based AI irrigation start-up secured BRICS collaborative funding to adapt its technology for Brazilian coffee plantations, reducing water usage by 40% while increasing yields.
Case Study 2: South African Fintech Across Africa
A Johannesburg financial inclusion platform used BRICS networking to partner with Russian cybersecurity experts and Chinese payment system developers, creating a robust solution now deployed in five African countries.
Case Study 3: Chinese Renewable Technology in Multiple Markets
A Shanghai solar microgrid company leveraged NDB green funding to pilot its technology in rural South Africa and India, before scaling across the Global South.
Challenges & Considerations
- Bureaucratic Complexity: Navigating multiple government agencies across different languages and regulatory systems.
- Geopolitical Sensitivities: Sanctions and diplomatic tensions can unexpectedly affect collaborative projects.
- Intellectual Property Concerns: Ensuring clear IP agreements in multi-jurisdictional collaborations.
- Currency & Repatriation Issues: Managing funds across different currencies with varying capital controls.
The Future of BRICS Innovation Funding
Emerging Trends for 2025 and Beyond:
- Digital Currency Integration: Exploring blockchain-based funding mechanisms and settlement systems between BRICS nations.
- Common Innovation Visa: Potential streamlined visa programs for entrepreneurs moving between BRICS countries.
- BRICS Innovation Index: Developing standardized metrics to measure and compare innovation ecosystems.
- Joint Satellite & Space Fund: Expanding collaboration into space technology and earth observation applications.
- Healthcare Innovation Pool: Post-pandemic focus on joint pharmaceutical research and medical technology development.
Conclusion: An Alternative Pathway to Scale
For entrepreneurs building solutions with relevance beyond Western markets, BRICS funding mechanisms offer more than just capital—they provide access to massive, diverse markets, complementary technological expertise, and a validation framework attuned to the needs of the majority of the world’s population.
While the ecosystem continues to evolve with the bloc’s expansion, the trajectory is clear: BRICS is systematically building an interconnected innovation infrastructure that may well define the next generation of global technological leadership. For start-ups with the patience to navigate its complexities and the vision to address its priorities, the rewards extend far beyond grant funding to encompass truly global impact at unprecedented scale.
Note: Funding details, application deadlines, and program availability change frequently. Always consult official BRICS national portals and verify information through diplomatic trade offices before applying.
