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Animated Chart: G7 vs. BRICS by GDP (PPP)

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Brics vs g7

In the ground-floor library of the White House, the government finance chiefs of the United States, West Germany, France, and the United Kingdom convened informally fifty years ago to review the current state of the world’s monetary system. The history of the G7 can be found here.


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To form a bloc of the largest non-communist economies at the time, this first group swiftly grew by including Japan, Italy, and Canada. They were economic juggernauts since they were industrialized nations benefiting from the post-war productivity surge, and historically, the G7’s economic production made up about 40% of the world’s GDP.

However, the more recent emergence of another international group, BRICS (Brazil, Russia, India, China, and South Africa), has been carving out its own section of the global economic order.

This animation from James Eagle uses data from the International Monetary Fund (IMF) and charts the percentage contribution of the G7 and BRICS members to the world economy. Specifically it uses GDP adjusted for purchasing power parity (PPP) using international dollars.

Charting the Rise of BRICS vs. G7

The acronym “BRIC”, developed by Goldman Sachs economist Jim O’Neill in 2001, was used to identify four fast-growing economies in similar stages of development. It wasn’t until 2009 that their leaders met and formalized their relationship, later inviting South Africa to join in 2010.

While initially banded together for investment opportunities, in the last decade, BRICS has become an economic rival to G7. Several of their initiatives include building an alternate global bank, with dialogue underway for a payment system and new reserve currency.

Below is a quick look at both groups’ contribution to the world economy in PPP-adjusted terms.

Global GDP Share 1992 2002 2012 2022
BRICS 16.45% 19.34% 28.28% 31.67%
G7 45.80% 42.34% 32.82% 30.31%

A major contributing factor to BRICS’ rise is Chinese and Indian economic growth.

After a period of rapid industrialization in the 1980s and 1990s, China’s exports got a significant boost after it joined the World Trade Organization in 2001. This helped China become the world’s second largest economy by 2010.

India’s economic rise has not been quite as swift as China’s, but by 2022, the country ranked third with a gross domestic product (PPP) of $12 trillion. Together the two countries make up nearly one-fourth of the PPP-adjusted $164 trillion world economy.

The consequence of using the PPP metric—which better reflects the strengths of local currencies and local prices—is that it has an outsized multiplier effect on the GDPs of developing countries, where the prices of domestic goods and services tend to be cheaper.

Below, we can see both the nominal and PPP-adjusted GDP of each G7 and BRICS country in 2023. Nominal GDP is measured in USD with market-rate currency conversion, while the adjusted GDP uses international dollars (using the U.S. as a base country for calculations) which better account for cost of living and inflation.

Country/Group Membership Nominal GDP (2023) PPP GDP (2023)
🇺🇸 U.S. G7 $26.9T $26.9T
🇯🇵 Japan G7 $4.4T $6.5T
🇩🇪 Germany G7 $4.3T $5.6T
🇬🇧 UK G7 $3.2T $3.9T
🇫🇷 France G7 $2.9T $3.9T
🇮🇹 Italy G7 $2.2T $3.2T
🇨🇦 Canada G7 $2.1T $2.4T
🇨🇳 China BRICS $19.4T $33.0T
🇮🇳 India BRICS $3.7T $13.0T
🇧🇷 Brazil BRICS $2.1T $4.0T
🇷🇺 Russia BRICS $2.1T $5.0T
🇿🇦 South Africa BRICS $0.4T $1.0T
G7 Total $46.0T $52.4T
BRICS Total $27.7T $56.0T

By the IMF’s projections, BRICS countries will constitute more of the world economy in 2023 ($56 trillion) than the G7 ($52 trillion) using PPP-adjusted GDPs.

How Will BRICS and G7 Compare in the Future?
China and India are in a stage of economic development marked by increasing productivity, wages and consumption, which most countries in the G7 had previously enjoyed in the three decades after World War II.

By 2028, the IMF projects BRICS countries to make up one-third of the global economy (PPP):

Country by GDP (PPP) Membership % World Economy (2028p)
🇺🇸 U.S. G7 14.5%
🇯🇵 Japan G7 3.3%
🇩🇪 Germany G7 2.9%
🇬🇧 UK G7 2.1%
🇫🇷 France G7 2.0%
🇮🇹 Italy G7 1.7%
🇨🇦 Canada G7 1.3%
🇨🇳 China BRICS 19.7%
🇮🇳 India BRICS 8.6%
🇷🇺 Russia BRICS 2.6%
🇧🇷 Brazil BRICS 2.2%
🇿🇦 South Africa BRICS 0.5%
G7 Total 27.8%
BRICS Total 33.7%

BRICS vs. the World?

The economic rise of BRICS carries geopolitical implications as well.

Alongside different political ideals, BRICS’ increasing power gives its member countries financial muscle to back them up. This was put into sharp perspective after the 2022 Russian invasion of Ukraine, when both China and India abstained from condemning the war at the United Nations and continued to buy Russian oil.

While this is likely concerning for G7 countries, the group of developed countries still wields unparalleled influence on the global stage. Nominally the G7 still commands a larger share of the global economy ($46 trillion) than BRICS ($27.7 trillion). And from the coordination of sanctions on Russia to sending military aid to Ukraine, the G7 still wields significant influence financially and politically.

In the next few decades, especially as China and India are earmarked to lead global growth while simultaneously grappling with their own internal demographic issues, the world order is only set to become more complex and nuanced as these international blocs vie for power.

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LEXPERT SOLICITORS LLP

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Dulal Ahmed Chowdhury is the Editor of The Daily Dazzling Dawn. Previously, he has been serving in important positions in all the famous national dailies of the Bangladesh since the nineties. He has played a commendable role in journalism by participating in various events at the national and international levels. United Nations Conference, World Climate Conference, SAARC Summit are notable among them.

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