The origins of BRICS — a bloc comprising Brazil, Russia, India, China, South Africa and, as of 2024, new members Egypt, Ethiopia, Iran and the United Arab Emirates — can be traced back to a 2001 publication by Goldman Sachs economist Jim O’Neill titled ‘Building Better Global Economic BRICs’. O’Neill argued that Brazil, Russia, India and China were poised to play an increasingly significant role in the global economy.
His prediction was that by 2050, these countries would collectively account for 40 per cent of the world’s economic output. In reality, from 2012 to 2022 China alone has accounted for around a quarter of global GDP growth, and the BRICS countries together contributed over 45 per cent.
BRIC was officially launched in 2009 and was renamed BRICS in 2010 when South Africa joined the group. Since then, trade relations have clearly grown, but in a very unbalanced manner.
Most of the growth in trade has been China-centric, with the contribution from the rest of BRICS remaining quite flat until recently. The recent increase is mostly explained by India, which has experienced an acceleration in economic growth. BRICS members are increasingly intertwined with China as far as trade is concerned, but the remaining members have very few ties among themselves. Bilateral trade between BRICS members other than China remains extremely low. READ MORE...
