BRICS+ Set To Surpass G7 In Global Merchandise Exports By 2026: EY Report

ENA Global 2024-11-01 16:46:42 New Delhi, Nov 1 (KNN) The BRICS+ alliance is experiencing a significant transformation in its global economic influence, with projections indicating it will overtake the G7 group in merchandise exports by 2026, according to a recent EY India Economy Watch report. The group's share in global merchandise exports has witnessed a substantial increase from 10.7 percent in 2000 to 23.3 percent in 2023, while G7's share has declined from 45.1 percent to 28.9 percent during the same period. A parallel trend is observed in global merchandise imports, where BRICS+ has increased its share from 7.2 percent to 18.9 percent between 2000 and 2023, while G7's portion has decreased from 49.8 percent to 33.7 percent. The rest of the world has maintained relatively stable shares in both exports and imports, hovering around 47 percent. China remains the dominant force within BRICS+, contributing 62.5 percent of the group's exports in 2023, a significant increase from 36.1 percent in 2000. India has also emerged as a key player, accounting for 7.9 percent of BRICS+ exports. Both nations hold prominent positions globally in terms of purchasing power parity, ranking first and third respectively. The alliance has made notable strides in high-technology exports, with its share rising from 5.0 percent in 2000 to 32.8 percent in 2022. This growth reflects the group's strategic pivot toward technology-intensive products and its increasing prominence in global high-tech markets. In the currency domain, BRICS+ is witnessing evolving dynamics. While the Chinese Yuan has maintained relative stability with slight appreciation, the Indian Rupee has experienced depreciation since 2018. Concurrently, the US dollar's share as a global reserve currency has declined from 71.5 percent in 2000 to 58.2 percent in 2024, suggesting a shift toward a more diverse currency landscape. The group is actively developing alternative financial infrastructure, including a platform for international trade and investment transactions that could serve as a cost-effective alternative to SWIFT. Additionally, efforts are underway to establish a trade and reserve currency backed by gold and select commodities, potentially reshaping the global economic order. (KNN Bureau) 39777 https://knnindia.co.in/news/newsdetails/global/brics-set-to-surpass-g7-in-global-merchandise-exports-by-2026-ey-report 2024-11-01 16:46:42 knnindia.co.in BRICS+ Set To Surpass G7 In Global Merchandise Exports By 2026: EY Report