Leading investment bank Goldman Sachs had previously forecasted that the BRICS (Brazil, Russia, India, China, and South Africa) GDP might closely approach that of the G6 countries by 2035. Surprisingly, this prediction seems to be coming true a decade ahead of schedule, as the newly expanded BRICS GDP is poised to reach 60% of the G6 countries.
Current estimates indicate that the expanded BRICS GDP could achieve this milestone as early as next year in 2025. This is a significant acceleration compared to the Goldman Sachs prediction, which originally projected this scenario to unfold by 2035. The G6 countries, consisting of France, Germany, Italy, Japan, the United Kingdom, and the United States, are witnessing this shift in the global economic landscape.
The progress observed signifies that BRICS is making strides to reshape the global financial sector and establish a distinctive presence. Achieving its goals a decade ahead of schedule underscores the importance of not underestimating BRICS and dismissing its growing influence. It is imperative for the White House to take proactive measures to prevent BRICS from gaining dominance in the traditional financial sector.
To gain insights into the potential impact on various sectors in the U.S. if BRICS ceases to use the dollar for trade, read more here. Such a shift could elevate the risk of hyperinflation in the U.S., leading to job cuts and a surge in the prices of essential everyday items.
BRICS GDP Moving At Rapid Speed
As of January 1, 2024, the BRICS alliance has expanded to include ten members with the addition of five new countries. The nations that joined BRICS on this significant date are Saudi Arabia, the United Arab Emirates, Egypt, Iran, and Ethiopia. It’s noteworthy that Argentina is the sole country that chose not to accept the invitation, with the newly elected President, Javier Milei, expressing skepticism about the alliance.