How Much Is BRICS Worth? An Economic Breakdown

BRICS, an acronym for Brazil, Russia, India, China, and South Africa, represents an economic grouping of major emerging economies. This collaboration aims to foster economic and diplomatic coordination among its members. The bloc has grown in influence, establishing itself as a notable force in the global economic landscape. It seeks to amplify the collective voice of its members on international platforms. The economic “worth” of BRICS is a multifaceted concept, encompassing various financial metrics and its collective impact on global trade and development.

Aggregate Economic Value

In 2023, the original five BRICS nations’ combined nominal Gross Domestic Product (GDP) reached approximately US$28 trillion, accounting for about 27% of the gross world product. When measured by Purchasing Power Parity (PPP), which adjusts for differences in the cost of goods and services across countries, their combined GDP stood at US$56 trillion in 2023. This PPP-adjusted figure represented a substantial 35.7% share of the global GDP in 2023.

These nations are home to roughly 3.3 billion people, which is over 40% of the global population. Their combined foreign exchange reserves were estimated at US$5.2 trillion as of 2024. The original BRICS bloc also plays a significant role in global trade, accounting for about 18% of global trade in 2022. These economies have been key drivers of worldwide growth, contributing over 40% of global GDP growth, with a collective economic growth rate of 4% in 2024, surpassing the global average of 3.3%.

Economic Contributions of Member Nations

The economic strength of the original BRICS bloc is built upon the diverse contributions of its individual member nations. China, as the world’s second-largest economy, is a primary driver within the group. In 2023, China’s nominal GDP was approximately $19.374 trillion, contributing significantly to the bloc’s overall economic weight. India also holds a substantial position, with a nominal GDP of around $3.737 trillion in 2023, reflecting its rapid economic expansion. Both countries have large populations, with China and India each having over 1.4 billion people.

Brazil and Russia, rich in natural resources, contribute considerably to the bloc’s economic output. In 2023, Brazil’s nominal GDP was approximately $2.081 trillion, while Russia’s stood at about $2.063 trillion. Brazil is a major agricultural producer and exporter, while Russia is a significant energy supplier. South Africa, the smallest economy among the original five, had a nominal GDP of around $399 billion in 2023. Its economy is characterized by its mineral wealth and serves as a gateway to the broader African continent.

BRICS Global Economic Position

BRICS has emerged as a considerable economic power, challenging the traditional dominance of established economic blocs. When comparing the original five BRICS nations to the G7, a group of advanced economies, a notable shift is apparent. In 2023, the original BRICS’s combined GDP (PPP) of $56 trillion surpassed the G7’s combined GDP (PPP) of $52 trillion. This indicates a growing economic parity between these two influential groups.

While the G7 nations collectively accounted for approximately 29% of global GDP (PPP) in 2023, the original BRICS bloc represented a larger share at 35.7%. The G7, primarily composed of developed economies, has a combined population of over 780 million, significantly smaller than the BRICS population. The BRICS bloc’s rising influence extends to global trade and financial institutions, where it advocates for reforms to better represent the interests of emerging and developing economies.

Impact of Recent Expansion on Value

The BRICS bloc underwent a significant expansion at the beginning of 2024, with Egypt, Ethiopia, Iran, and the United Arab Emirates (UAE) formally joining the group. This expansion considerably increased the collective economic and demographic weight of the bloc. While Saudi Arabia was also invited, its membership status remains under consideration as of April 2024.

With the inclusion of these four new members, the expanded BRICS bloc now represents roughly 45% of the world’s population. Their combined GDP (PPP) is projected to account for approximately 40% of the global economy in 2024. This addition brings diverse economic profiles, including energy-rich nations. The expanded BRICS, even without Saudi Arabia’s confirmed membership, accounts for a substantial portion of global energy resources, with member states holding around 32% of the world’s natural gas output and 43% of crude oil production.