Recently, the IMF released projections for real GDP growth in 2024, predicting global growth to remain stable at around 3.2%. However, several major countries have experienced a downward revision in their economic growth projections.
From the graph, we can observe variations in real GDP growth projections for 2024 among the member countries of these two groups.
Global economic growth is projected to slow in 2024, with most G7 and BRICS countries experiencing a slowdown compared to 2023. Amidst this trend, three new BRICS members—Saudi Arabia, the United Arab Emirates, and South Africa—are projected to see higher real GDP growth in 2024 compared to 2023.
The global economy resembles a roller coaster in 2024. On one hand, China and India, the BRICS giants, are expected to maintain relatively high growth rates of 4.6% and 6.8%, respectively. However, compared to the previous year, China is slowing by 0.6 percentage points and India by 1 percentage point.
On the other hand, four G7 countries show signs of recovery. Germany, which experienced a recession in 2023 (-0.3%), is projected to rebound with positive growth. Other G7 countries like the United States, Japan, and Canada are also expected to accelerate.
Amidst the global economic slowdown in 2024, BRICS countries are projected to shine with an average growth rate of 3.6%, leaving the G7 behind with only 1%.
The advantage of BRICS doesn't stop there. The potential addition of new members and higher growth rates are predicted to propel them beyond the G7 in economic size within the next two decades.
Although the combined GDP of the G7 still leads by $15 trillion, BRICS is like a high-speed train, poised to overtake the long-standing champion.
