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In recent years, the BRICS group, founded by Brazil, Russia, India, China and South Africa, has attracted global attention for its rapid expansion and growing role in the economic and geopolitical landscape.
By 2025, the BRICS are expected to account for about 29% of the global economy, a significant figure compared to the G7, which currently maintains control over the majority of the world’s economic resources and institutions.
But how much is the economy of Western countries actually worth?
The United States, the largest player in the G7, alone contributes about 15-20% of global GDP.
Added to this are other Western powers such as the United Kingdom, Germany, Japan and France, bringing the total of the Western economy to about 45% of the global economy.
In comparison, the economy of the Arab Countries, despite their weight in the oil market, represents a considerably smaller percentage, standing at around 4-5% of global GDP.
This imbalance highlights the challenges and opportunities in the new era of economic rivalry.
But Population is a Key Factor.
The BRICS, with over 3 billion people, have a demographic superiority over Western Countries, which have around 1 billion inhabitants.
Even the Arab countries, with a population of around 450 million, are far from the numbers put forth by the BRICS.
This disparity not only offers the BRICS enormous market potential, but also highlights how their growing economic influence could destabilize traditional Western dominance.
The BRICS originally emerged in the 2000s as a group of rapidly growing emerging economies.
These Nations have come together to form a platform to promote a multipolar world, where global institutions are not dominated by Western interests.
The question is whether the BRICS can continue to build this alliance and attract new members and partners.
In recent months, BRICS has expanded its membership to include countries such as Argentina, Egypt, Iran, Saudi Arabia, and the United Arab Emirates.
However, Argentina with Milei as its Presidency has now left BRICS.
This expansion is not just a symbol of unity; it represents a concrete strategy to challenge Western dominance and increase its geopolitical influence.
With these new members, BRICS is no longer just an economic grouping, but a geopolitical force in its own right.
BRICS strategic partners include other emerging economies and developing Countries.
Their strategy aims to build stronger alliances through multilateral events and forums, where they discuss crucial issues such as trade, energy, and sustainability.
Meetings such as the recent BRICS summit have seen the participation of globally influential leaders, including those from African, Latin American, and Asian Countries.
These guests have had the opportunity to participate in strategic discussions, further cementing BRICS relations with the rest of the world.
Geopolitics is now at the center of global debate.
With Russia’s invasion of Ukraine and rising tensions between the United States and China, it is clear that the world order is changing.
The BRICS seek to position themselves as an alternative to the Western model, promoting cooperation among the nations of the Global South with China and Russia.
But what are the real implications of this expansion?
In 2023, BRICS leaders discussed a new shared currency.
This ambitious project aims to reduce reliance on Western currencies, such as the US dollar, and facilitate trade within the bloc.
However, there are still doubts about its feasibility.
The question on many people’s minds is: will this new BRICS currency be a reality?
The answer is not simple.
If the proposed currency were to coexist with the national currencies of the BRICS countries, it would be difficult to gain traction in the global market.
For an international currency to succeed, it needs a solid foundation, similar to what happened with the US dollar, which has historically dominated international transactions.
The Special Drawing Right (SDR), a reserve asset of the International Monetary Fund, has failed to establish itself as a reference currency precisely because it lacks an adequate economic foundation.
The BRICS expansion and discussions about a new shared currency offer a glimpse of what a new world order could become.
While Western countries continue to maintain significant influence, growing collaboration among emerging economies could mark the beginning of a transition to a more balanced system.
Whether the BRICS dreams come true will depend on their ability to navigate the stormy waters of geopolitics and establish a true economic and political identity.
However, the world cannot ignore the impact that the BRICS are having on the global stage.
As they continue to expand, we are likely to see a reassessment of power relations and trade dynamics in the coming years.
The challenges are immense, but so are the opportunities.
Only time will tell whether the BRICS can realize their ambitions, but their ascension is certainly something worth watching closely.
SOURCE :
- OXFORD ACADEMIC
- CENTRE for ECONOMIC POLICY RESEARCH (CEPR)
- CARNEGIE ENDOWMENT
- INTERNATIONALE POLITIC Quarterly
- COUNCIL on FOREIGN RELATIONS
- MERCATOR INSTITUTE for CHINA STUDIES
- The GEOPOLITICS
