India’s engagement with the BRICS (Brazil, Russia, India, China, and South Africa) grouping has been a significant aspect of its foreign policy, particularly in the post-2008 financial crisis era. BRICS was formed in 2006, and India has played a key role in shaping the grouping’s agenda and institutional architecture.

**Role in establishing the New Development Bank (NDB) and Contingent Reserve Arrangement (CRA):**

1. **New Development Bank (NDB):** The NDB was established in 2014 as a multilateral development bank to finance infrastructure projects in BRICS countries. India has been a strong proponent of the NDB, which has approved over $10 billion in loans since its inception.
2. **Contingent Reserve Arrangement (CRA):** The CRA is a reserve pool established in 2014 to provide financial assistance to member countries facing balance-of-payments crises. India has been a strong supporter of the CRA, which has received no drawings since its establishment.

**Potential of BRICS:**

1. **Alternative to Western-dominated financial architecture:** BRICS provides an alternative to the traditional Western-dominated financial architecture, allowing developing countries to have more control over their economic decision-making processes.
2. **Increased financial cooperation:** BRICS can facilitate increased financial cooperation among member countries, promoting economic growth, stability, and integration.
3. **Infrastructure development:** The NDB and other initiatives can help address infrastructure gaps in BRICS countries, fostering economic development and connectivity.
4. **Influence on global governance:** As a rising power, India can use BRICS as a platform to shape global governance structures and promote its interests on issues like trade, climate change, and sustainable development.

**Limitations of BRICS:**

1. **Inconsistent commitment:** Some member countries have shown inconsistent commitment to BRICS initiatives, affecting the grouping’s cohesion and effectiveness.
2. **Limited institutional capacity:** The NDB and CRA still face capacity-building challenges, which may impact their ability to respond effectively to financial crises.
3. **Dependence on China:** China’s dominance in BRICS can create concerns about dependence on Chinese capital and influence.
4. **Lack of transparency and accountability:** BRICS has faced criticism for lack of transparency and accountability in decision-making processes.

**Challenges to challenging Western-dominated global financial architecture:**

1. **Limited reform efforts:** Despite its potential, BRICS has made limited progress in challenging the existing global financial architecture.
2. **Resistance from Western powers:** The West may resist changes to the existing system, making it challenging for BRICS to achieve significant reforms.
3. **Divergent interests:** Member countries have different priorities and interests, making it difficult to achieve consensus on key issues.

In conclusion, India’s engagement with BRICS has been significant, with notable achievements like the establishment of the NDB and CRA. While BRICS has potential as an alternative to Western-dominated financial architecture, it faces limitations due to inconsistent commitment, limited institutional capacity, dependence on China, and lack of transparency and accountability. To effectively challenge the Western-dominated global financial architecture, BRICS must address these challenges and work towards greater coordination and cooperation among member countries.