BRICS
Sai Kumar Swamy
PGPM, IIM Bangalore
Agenda
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Origin of Term
Other Terms
Facts about BRICs
Country-wise analysis of
 Economy
 Political
Environment
 Social Indicators
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Issues faced by BRICs
BRICs - Future
Origin of Term – GS report 2001
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The aggregate size of the BRICs was about 23.3% (PPP) of
world GDP at the end of 2000
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Size of BRICs currently is 8% (as per GDP)
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Some are larger than G7 nations – China > Italy & Canada
Analysis projected 4 possible scenarios of the future
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Higher than Euroland and Japan
BRICs rise from 8% to 12% - A
BRICs rise from 8% to 27% - D
BRICs should be part of Global Economic Policy
Predictions for 2010-11
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China to be bigger than Germany
Brazil and India closing in on Italy
Brazil will experience the weakest growth
China will become a better trading nation than the #3 rank it has
BRICs – Some key Facts
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Population – 40%
Land – 25%
GDP – $13-14Tn
Mfcg Goods – China
Services – India
Raw materials – Russia & Brazil
2050
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USA – 38
India – 37
China – 70
Brazil – 11
Russia – 8
Mega-Diverse Countries
Resource Rich
Other Terms
BRIMC
 BRIMCK
 BRICK
 BRICS
 CEMENT
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Brazil – Key facts
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Portuguese colony
5th largest country in the world
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Rich in natural resources
World’s largest river – Amazon
Population – 192 Mn
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8.5Mn sq. Kms
3 time zones
5th largest
Density of Population – 22 per Sq. Km
Forest Cover – 57%
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2nd largest forest area in the world
Amazon Heat Sink
Brazil – Economy
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GDP
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Inflation – 6.5%
Labor Force – 100Mn
Exports
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$200Bn
Aircraft, Automobiles, Sugar, Ethanol, Textiles, Iron Ore, Orange Juice, Beef
Imports
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$2.5Tn
Rank – 6th
PCI – $10,455
Growth rate – 3%
Agriculture – 6%; Industry – 27%; Services – 67%
$180Bn
Forex Reserves - $350Bn
Oil Importer – From 2006 its been self sufficient in Oil
Brazil – Social Indicators & Political Environment
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Democratic Federal Republic
Presidential System
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Political Environment
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Stable
History of Army rule
HDI
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Dilma Roussef
Workers Party
0.813 - HIGH
Rank – 75
Poverty – 26%
Crime – 23.8
Infant Mortality – 34
Literacy – 88%
Russia – Key facts
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Largest country in the world
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Rich in natural resources
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Largest Natural Gas reserves
2nd largest Coal reserves
Highest Oil producer
4th highest Nuclear Energy
10% of World’s arable land
Water resources – 2nd in the world
Population – 142 Mn
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17Mn sq. Kms
11 time zones
9th largest
Density of Population – 8 per Sq. Km
Forest Cover –26%
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Largest forest area in the world
Russia – Economy
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Commodity driven economy
GDP
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Inflation – 6.1%
Labor Force – 75Mn
Exports
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$376Bn
Oil, Natural Gas, Minerals, Timber, Arms, IT Services
Imports
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$1.4Tn
Rank – 10th
PCI – $10,521
Growth rate – 4.9%
Agriculture – 4%; Industry – 37%; Services – 59%
$237Bn
Forex Reserves - $502Bn
Economic crisis – 1990s
Russia – Social Indicators & Political Environment
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Federation
Semi-Presidential System
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Political Environment
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Stable
HDI
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President – Head of State
Vladimir Putin
Dimitry Medvedev
0.817 - HIGH
Rank – 71
Poverty – 14%
Crime – 30
Infant Mortality – 69
Literacy –99.4%
China – Key facts
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3rd/4th Largest country in the world
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Rich in natural resources
10% of World’s arable land
World’s largest exporter
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2nd largest importer
Largest standing army
Population – 1338 Mn
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9.6 Mn sq. Kms
1 time zone
Largest
Density of Population – 139 per Sq. Km
Forest Cover –20%
China – Economy
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GDP
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7.3Tn
Rank – 2nd
PCI – $5184
Growth rate – 9.5%
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$1600Bn
Office machinery, telecom equipment, Apparel
Imports
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Agriculture – 9%; Industry – 47%; Services – 44%
Inflation – 5%
Labor Force – 780Mn
Exports
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Distribution of growth
$1300Bn
Forex Reserves - $3200Bn
Economic reforms – 1978
Energy & Transportation bottlenecks
China – Social Indicators & Political Environment
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People’s Democratic Dictatorship
Single Party system
Presidential System
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Political Environment
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Un-Stable
Democratic Movements suppressed
HDI
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Hu Jintao
0.772 - MEDIUM
Rank – 91
Poverty – 10%
Crime – 30
Infant Mortality – 69
Literacy –99.4%
ANNEXURES
BRICs
Brazil - Map
Brazil - Resources
Brazil - Deforestation
Brazil - Deforestation
Brazil – GDP Growth Rates
Brazil – GNI
Brazil - Exports
Russia - Map
Russia - GDP
Russia – GDP Growth Rates
Russia - GNI per Capita
Russia - Exports
Russian Oil & Gas Pipelines
China - GDP
China – GDP Growth Rates
China – GDP Growth Rates
China - Distribution of growth
China – Natural Resources
China – Exports
China - GNI per Capita
Mega-diverse Countries
Gini
HDI