Datanomics: Despite gains, Brics still lags behind G7 in per capita terms

The G7 summit, which concluded on Wednesday in Canada, brought together the world’s leading advanced economies to address key global challenges including economic resilience, geopolitical tensions, and climate action. Prime Minister Narendra Modi joined the G7 leaders’ parleys as a special invitee. 

 

In early July, the 17th Brics summit will be held in Rio De Janeiro. The grouping, founded by Brazil, Russia, India, and China in 2009, was initially seen as a forum for developing economies, but has since evolved into a major economic force. Over the past two decades, it has overtaken the G7 in terms of its share of global GDP on a purchasing power parity (PPP) basis, driven largely by the rapid growth of China and India.

 

Despite Brics gaining ground, it still lags G7 in terms of per capita income. Average Brics per capita income stood at $2,087 in 2000, which is projected to rise to $9,437 by 2025. In contrast, G7’s average may rise from $27,855 to $53,623. 

 

Brics surpasses G7 

 

Brics overtook the G7 in 2019 in terms of its share of global GDP based on PPP. That year, Brics crossed 31.06 per cent, while the G7’s share dipped to 30.98 per cent. Since then, the gap has continued to widen. By 2025-26, Brics is projected to account for 34.58 per cent, with the G7 expected to decline further to 28.43 per cent.

 

G7’s loss is Brics' gain

 

 

The G7 still leads in nominal GDP, driven by the US, but its share has dropped from 65 per cent  in 2000 to 45 per cent in 2025. Brics has risen from 8 per cent to nearly 25 per cent, powered by China and India. Despite Russia’s GDP, weakened by war, declining since 2022 ($2.29 trillion), is projected to further fall to $2.07 trillion in 2025.