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Since their inception, the BRICS nations—Brazil, Russia, India, China and South Africa—have grown to collectively become a dominant force in the global economy. The notion of the BRICS countries was first established in 2001, when the investment banking firm Goldman Sachs coined the acronym to refer to the four countries of Brazil, Russia, India and China. In 2010, South Africa was added to the BRICS countries, making the collection of five large and powerful nations.
The concept behind the BRICS nations was simple— BRICS was meant to become the lynchpin of foreign investments and institutional investments, leading to massive returns and growth in global education, innovation and development. It seemed to be a hit in the early going, as the BRICS nations attracted substantial global attention and investment until 2015. Unfortunately, the party had largely come to an end at this point, as Goldman Sachs closed their BRICS-focused investment fund.
Despite this setback, the collective impact of the nations in the BRICS group is indisputable. In 2015, BRICS was responsible for 23% of the world's GDP growth, and data from the World Bank and Asian Development Bank indicate that the group will soon account for roughly 40% of the world’s economic output. However, the collective impact of BRICS is most notable in the areas of trade and technology.
For example, in June 2019, the BRICS nations opened up access to their digital markets, allowing companies to benefit from the increased ability to expand their reach and access markets. Additionally, the BRICS nations have established various initiatives to increase trade between member countries, such as the BRICS E-Commerce Platform and the BRICS Business Council.
BRICS is also seen as a way to foster economic and technological cooperation between member nations and provide support to businesses in each country, allowing them to reach new heights of innovation and growth. It is anticipated that these collaborations will eventually lead to the establishment of a single digital market, though the BRICS countries have yet to fully realize this potential.
All in all, the BRICS nations have become an impressive force in the global economy since their inception in 2001. The group has grown to account for an impressive portion of the world’s economic output and is seen as a beacon of financial stability and innovation. From providing access to new markets to facilitating breakthroughs in technology, the BRICS nations are an undeniable force in the global economy.
The concept behind the BRICS nations was simple— BRICS was meant to become the lynchpin of foreign investments and institutional investments, leading to massive returns and growth in global education, innovation and development. It seemed to be a hit in the early going, as the BRICS nations attracted substantial global attention and investment until 2015. Unfortunately, the party had largely come to an end at this point, as Goldman Sachs closed their BRICS-focused investment fund.
Despite this setback, the collective impact of the nations in the BRICS group is indisputable. In 2015, BRICS was responsible for 23% of the world's GDP growth, and data from the World Bank and Asian Development Bank indicate that the group will soon account for roughly 40% of the world’s economic output. However, the collective impact of BRICS is most notable in the areas of trade and technology.
For example, in June 2019, the BRICS nations opened up access to their digital markets, allowing companies to benefit from the increased ability to expand their reach and access markets. Additionally, the BRICS nations have established various initiatives to increase trade between member countries, such as the BRICS E-Commerce Platform and the BRICS Business Council.
BRICS is also seen as a way to foster economic and technological cooperation between member nations and provide support to businesses in each country, allowing them to reach new heights of innovation and growth. It is anticipated that these collaborations will eventually lead to the establishment of a single digital market, though the BRICS countries have yet to fully realize this potential.
All in all, the BRICS nations have become an impressive force in the global economy since their inception in 2001. The group has grown to account for an impressive portion of the world’s economic output and is seen as a beacon of financial stability and innovation. From providing access to new markets to facilitating breakthroughs in technology, the BRICS nations are an undeniable force in the global economy.