Economy
Charted: Comparing the GDP of BRICS and the G7 Countries
Comparing the GDP of BRICS and the G7: Visualized
BRICS is set to add six new member states at the start of 2024, raising questions about the expansion of the group’s growing economic power. With its new entrants, the bloc will represent over $30 trillion in GDP or around 29% of the world’s GDP.
This graphic compares the GDP of BRICS nations to the G7 by using GDP projections for 2023 from the International Monetary Fund (IMF).
Even with its new members, BRICS falls short of the G7’s 43% share of global GDP. However, the gap is likely to shrink as major BRICS nations such as India continue to grow at above-average rates—and as the group likely welcomes even more members in the future.
How Does BRICS Compare to the G7 with its New Members?
Prior to the addition of its new members (Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE), BRICS had a cumulative GDP of $27.7 trillion, a 26% share of global GDP. BRICS’ new members add $3.1 trillion of GDP to the bloc, with Saudi Arabia contributing the most thanks to its GDP of $1.1 trillion.
In the tables below, you can see how new members affect the bloc’s GDP, and how the BRICS compare to G7 countries.
BRICS Countries | 2023 GDP (USD billions) | Share of Global GDP |
---|---|---|
🇨🇳 China | $19,374 | 18% |
🇮🇳 India | $3,737 | 4% |
🇧🇷 Brazil | $2,081 | 2% |
🇷🇺 Russia | $2,063 | 2% |
🇿🇦 South Africa | $399 | 0.4% |
🇸🇦 Saudi Arabia* | $1,062 | 1% |
🇦🇷 Argentina* | $641 | 0.6% |
🇦🇪 UAE* | $499 | 0.5% |
🇪🇬 Egypt* | $387 | 0.4% |
🇮🇷 Iran* | $368 | 0.4% |
🇪🇹 Ethiopia* | $156 | 0.2% |
BRICS Total | $30,767 | 29% |
*New additions to BRICS that will join bloc on January 2024
Source: IMF
G7 Countries | 2023 GDP (USD billions) | Share of Global GDP |
---|---|---|
🇺🇸 U.S. | $26,855 | 25% |
🇯🇵 Japan | $4,410 | 4% |
🇩🇪 Germany | $4,309 | 4% |
🇬🇧 UK | $3,159 | 3% |
🇫🇷 France | $2,923 | 3% |
🇮🇹 Italy | $2,170 | 2% |
🇨🇦 Canada | $2,090 | 2% |
G7 Total | $45,916 | 43% |
Source: IMF
Even with its new members, BRICS still falls short of the G7’s $45.9 trillion in GDP, however, the new members do add other contributions besides raw GDP to the bloc.
With the addition of Saudi Arabia, the UAE, and Iran, BRICS more than doubles its members’ share of global oil production to 43%. Along with petroleum, Argentina’s addition to BRICS significantly expands the total lithium reserves of the group, which will be key as global battery production and EV adoption continue to grow.
As BRICS seems set to create an alternate trade and financial system that operates independently from the U.S. dollar, adding nations with more natural resources is essential.
Future Economic Growth of BRICS vs. G7 Nations
While the new BRICS members don’t have too big of a GDP contribution to the bloc currently, it’s worth noting that many of the new entrants have significant growth ahead of them.
Many of BRICS’ current members already have real GDP growth rates that are higher than their G7 counterparts, with current members having an average GDP growth of 189% to 2050 compared to the G7’s average of 50%, according to Goldman Sachs.
BRICS’ newly added members like Ethiopia (1,170% GDP growth projected by 2050) and Egypt (635% GDP growth projected by 2050) have even higher rates of potential economic growth, further raising the bloc’s economic potential.
Goldman Sachs forecasts indicate that by 2050, BRICS will have overtaken the G7 in terms of GDP, even without its newly added members. Whether or not these projections pan out is yet to be determined, however with BRICS intent on adding even more members, the group is likely to eclipse the G7’s GDP in the coming decades.
Economy
Economic Growth Forecasts for G7 and BRICS Countries in 2024
The IMF has released its economic growth forecasts for 2024. How do the G7 and BRICS countries compare?
G7 & BRICS Real GDP Growth Forecasts for 2024
The International Monetary Fund’s (IMF) has released its real gross domestic product (GDP) growth forecasts for 2024, and while global growth is projected to stay steady at 3.2%, various major nations are seeing declining forecasts.
This chart visualizes the 2024 real GDP growth forecasts using data from the IMF’s 2024 World Economic Outlook for G7 and BRICS member nations along with Saudi Arabia, which is still considering an invitation to join the bloc.
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Mixed Economic Growth Prospects for Major Nations in 2024
Economic growth projections by the IMF for major nations are mixed, with the majority of G7 and BRICS countries forecasted to have slower growth in 2024 compared to 2023.
Only three BRICS-invited or member countries, Saudi Arabia, the UAE, and South Africa, have higher projected real GDP growth rates in 2024 than last year.
Group | Country | Real GDP Growth (2023) | Real GDP Growth (2024P) |
---|---|---|---|
G7 | 🇺🇸 U.S. | 2.5% | 2.7% |
G7 | 🇨🇦 Canada | 1.1% | 1.2% |
G7 | 🇯🇵 Japan | 1.9% | 0.9% |
G7 | 🇫🇷 France | 0.9% | 0.7% |
G7 | 🇮🇹 Italy | 0.9% | 0.7% |
G7 | 🇬🇧 UK | 0.1% | 0.5% |
G7 | 🇩🇪 Germany | -0.3% | 0.2% |
BRICS | 🇮🇳 India | 7.8% | 6.8% |
BRICS | 🇨🇳 China | 5.2% | 4.6% |
BRICS | 🇦🇪 UAE | 3.4% | 3.5% |
BRICS | 🇮🇷 Iran | 4.7% | 3.3% |
BRICS | 🇷🇺 Russia | 3.6% | 3.2% |
BRICS | 🇪🇬 Egypt | 3.8% | 3.0% |
BRICS-invited | 🇸🇦 Saudi Arabia | -0.8% | 2.6% |
BRICS | 🇧🇷 Brazil | 2.9% | 2.2% |
BRICS | 🇿🇦 South Africa | 0.6% | 0.9% |
BRICS | 🇪🇹 Ethiopia | 7.2% | 6.2% |
🌍 World | 3.2% | 3.2% |
China and India are forecasted to maintain relatively high growth rates in 2024 at 4.6% and 6.8% respectively, but compared to the previous year, China is growing 0.6 percentage points slower while India is an entire percentage point slower.
On the other hand, four G7 nations are set to grow faster than last year, which includes Germany making its comeback from its negative real GDP growth of -0.3% in 2023.
Faster Growth for BRICS than G7 Nations
Despite mostly lower growth forecasts in 2024 compared to 2023, BRICS nations still have a significantly higher average growth forecast at 3.6% compared to the G7 average of 1%.
While the G7 countries’ combined GDP is around $15 trillion greater than the BRICS nations, with continued higher growth rates and the potential to add more members, BRICS looks likely to overtake the G7 in economic size within two decades.
BRICS Expansion Stutters Before October 2024 Summit
BRICS’ recent expansion has stuttered slightly, as Argentina’s newly-elected president Javier Milei declined its invitation and Saudi Arabia clarified that the country is still considering its invitation and has not joined BRICS yet.
Even with these initial growing pains, South Africa’s Foreign Minister Naledi Pandor told reporters in February that 34 different countries have submitted applications to join the growing BRICS bloc.
Any changes to the group are likely to be announced leading up to or at the 2024 BRICS summit which takes place October 22-24 in Kazan, Russia.
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