Brics block surpasses G7 in share of global GDP.

 5 BRICS NATIONS NOW LARGEST TRADING BLOCK

EXPECTED TO SURPASS 50% BY 2030

It has been reported this week that the 5 BRICS nations have now surpassed the G7 in it share of global gross domestic product. BRICS is Brazil, Russia, India, China, and South Africa. It has 40% of the global population. It is now reported that this block now makes up 31.5% of global GDP compared to 30% for the G7. The G7 is comprised of Canada, U.S., Uk, Germany, France, Italy and Japan. 

There is now a long list of countries, that are considering becoming part of this group. Attending the last meeting were representatives of Algeria, Afghanistan, Iran, Saudi Arabia,Turkey, Egypt, Argentina, Kazakhstan, Nicaragua, Nigeria, Senegal, Thailand, United Arab Emirates and Mexico.

While it is not a free trade block, it now has available the New Development Bank and Asian Infrastructure Bank that can be used for development to members.

These countries control a large segment of energy production and natural resources production. 

Other economic news is that the European countries are experiencing the worst inflation on the globe. Much of this is result of sanctions placed on Russia and other former trading partners. The EU is over 10%, UK is 10.1 %, other nations are as high of 26% in Hungary to 11.5% in Austria. The Monetary fund is encouraging them all to raise interest rates, that most likely will not bring down inflation caused by shortages, but will trigger a slowdown of economic activity. The future of Europe is dismal as long as these sanctions and the Ukraine conflict continues.

As the BRICS and other nations move away from the dollar, due to its devaluation caused by massive deficit spending and debt the economic future of the western countries is not on a good path for the future. 

While many boast of a huge GDP in western countries, if  you strip out the non-productive parts, like financial services, sports, entertainment and social media, we may have a more realistic view of that part of these economies that pertain to real, tangible production needed for life.