BRICS to account for half of world GDP by 2030

Heads of the world’s leading emerging economies will gather in China in mid-April to discuss post-crisis financial reforms. And mark the inclusion of South Africa as a member of the bloc.

According to latest research from the China Center for International Economic Exchanges, the BRICS countries are expected to account for almost half of the world’s output by 2030.

According to the China Center for International Economic Exchanges, BRICS nations will lead world economic recovery with relatively fast economic growth. Their combined output will grow from 17 percent of global GDP in 2010, to a whopping 47 percent in 2030. The Center also predicts urbanization will drive future growth in these emerging economies.

BRICS

Zheng Xinli, Vice Chair of China Center for Int’l Economic Exchanges said “Urbanization will be the most important driver for the five nation’s economic future growth. It has the biggest potential. The urbanization process will create robust investment and consumption demand. Such demand will drive economic growth for a relatively long period.”

But the BRICS nations are also warning of potential risks, especially from inflation. Rising commodity prices and imported inflation due to US qualitative easing, has forced these countries to tighten monetary polices.

To further coordinate economic policies and broaden cooperation, China will host the third summit of leaders from BRICS countries in mid-April. For the first time South Africa will participate as a member of the bloc.

Watch video: http://english.cntv.cn/program/bizasia/20110324/104445.shtml

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