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Importance Of BRIC Countries

Brazil, Russia, India and China countries’ economies make up the BRIC acronym. The combination of these four countries is thus referred to as the “BRIC countries”. These four countries are estimated to be having a fraction of 0.4 of the world’s population and generally occupying a quarter of the earth’s land mass (O’neil, 2001). They are major countries in the fore front politically and economically. From the huge economic impacts that these nations have made it is clear that they play a major role and will still continue molding the world’s economy. Demographic and geographic factors in BRIC countries have highly contributed to the continuous effects in global development as analyzed in this paper.

BRIC countries are helping in promoting stable trade among the Low Income Countries (LIC). This is backed up by the presence of continuous production of goods and materials .This provides continuous flow of goods in the markets thus bringing market stability.  This implies that their involvement trade with the economically challenged countries will continue providing ready markets in terms of products. This is evidenced by the products obtained from these countries. Production of products such as oil and other valuable commodities by the BRIC countries has therefore aided in the availing of most of the rare commodities to the less developed countries. Again the establishment of the New Development Bank by the BRICs has led to financial stability and security .This is evidenced from the financing of infrastructure and sustainable development projects. This leads to growth of economy in the developing countries ( Directorate, 2012).

Due to the high fraction in demographics the BRIC nation has led to increased percentage of GDP. This is owing to the fact that these counties are highly populated. According O’neil (2001), China is the second leading county in economic terms while India bears the fourth position. From these statistics it becomes clear that their huge population has contributed to the global increment.

Efforts made by the BRICs have also led to increased labor. Canoy et al (2013) clearly puts that the BRICs have continuously put efforts in providing quality higher education. This in turn has led to professional improvement. High quality professionals will consequently lead to greater achievements and innovations in the near 21st centuries over the world. This will in turn lead to cheap labor. Extension and advancement of the education sector more so at the tertiary levels will in turn lead to better technological advancements. This will range from the field of engineering and sciences which majorly dominate in most industries thus leading to a greater economic impact to developing countries (Canoy M. et.al 2013).

BRICs industrialization has led to continued employment creation thus boosting the global economy. The various industries available in the four countries have led to massive employment creation to nations worldwide thus boosting the economic sector. Brazil is well known for production of advanced electronic equipments, steel manufacturing and food processing among others. Russia has mining and extraction industries, defense industries such as radar and missiles and agricultural equipment production. In India there are various industries dealing with production of chemicals, pharmaceuticals, machinery and petroleum. China too has industries dealing with the production of automobiles, fertilizers, consumer wears, telecommunication equipments and machinery (Directorate, 2012). Though sometimes technology is applied in production process the number of human labor required is high thus boosting the economy.

As analyzed the BRIC countries are the fastest growing and emerging in terms of market. They account for nearly half of the world’s population. Their great impacts on growth of developing countries is highly substantive and therefore if they continue putting their hands together their importance to the other nations will continue been immeasurable.

Related: Strategic Audit Report: Deloitte

 

References

Carnoy, M., Loyalka, P., Dobryakova, M., Dossani, R., Froumin, I., Kuhns, K., … & Wang, R. (2013). University expansion in a changing global economy: Triumph of the BRICs. Stanford University Press.

Directorate, B. (2012). The role of BRICs in the developing world.

O’neill, J. (2001). Building better global economic BRICs.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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