By The Indus Zone Media Business Desk | November 8, 2025 | BRICS Economies Outpace G7
The global economic balance is rapidly tilting toward the BRICS bloc, which is projected to grow nearly four times faster than the world’s richest nations in 2025.
According to the International Monetary Fund’s (IMF) World Economic Outlook, the expanded BRICS group — including Saudi Arabia, Egypt, UAE, Ethiopia, Indonesia, and Iran — is expected to record an average GDP growth rate of 3.8%, compared to just 1.0% for the G7 economies.
India and Ethiopia Lead BRICS’ Growth Story
The IMF data highlights how emerging markets are becoming the primary engines of global growth.
Among the BRICS nations, Ethiopia tops the chart with an impressive 7.2% GDP growth forecast, followed by India at 6.6%, retaining its position as the world’s fastest-growing major economy.
Other top performers include China (4.8%), UAE (4.8%), Egypt (4.3%), and Saudi Arabia (4.0%), reflecting strong post-pandemic recoveries and sustained domestic demand.
In contrast, Russia and Iran are expected to post modest growth of just 0.6% each, impacted by global sanctions and limited export diversification.
Country Projected Growth (2025)
Ethiopia 7.2%
India 6.6%
China 4.8%
UAE 4.8%
Egypt 4.3%
Saudi Arabia 4.0%
Brazil 2.4%
Indonesia 4.9%
South Africa 1.1%
Russia 0.6%
Iran 0.6%
Average (BRICS) 3.8%
G7 Struggles with Slow Growth and Economic Stagnation
In contrast, the G7 economies — the United States, United Kingdom, Canada, France, Germany, Italy, and Japan — continue to battle high inflation, aging populations, and weak consumer demand.
The U.S. is expected to grow 2.0%, while the U.K. trails at 1.3%. Other G7 members face an even tougher outlook:
Canada (1.2%), Japan (1.1%), France (0.7%), Italy (0.5%), and Germany (0.2%) — reflecting Europe’s deepening industrial slowdown and energy challenges.
Country Projected Growth (2025)
United States 2.0%
United Kingdom 1.3%
Canada 1.2%
Japan 1.1%
France 0.7%
Italy 0.5%
Germany 0.2%
Average (G7) 1.0%
The IMF attributes this weak growth to tight monetary policies, high interest rates, and geopolitical instability, particularly in Europe. Many advanced economies are now prioritizing stability over expansion, focusing on inflation control and modest job creation.
Why BRICS Are Growing Faster Than G7
Experts believe the BRICS nations’ faster growth stems from structural economic advantages:
Young and expanding populations driving consumption and productivity.
Rapid digital adoption and technology-led industries.
Infrastructure investments in transport, energy, and manufacturing.
Diversification of trade partners, reducing dependence on Western markets.
Stronger domestic demand, cushioning against global slowdowns.
Meanwhile, G7 countries are facing the opposite — aging workforces, shrinking manufacturing output, and reduced innovation investment due to higher borrowing costs.
The Global Shift: From West to East and South
The IMF’s forecast underscores a historic realignment in global economic power. Emerging economies — particularly in Asia, Africa, and the Middle East — are driving the post-pandemic recovery, while traditional powerhouses struggle with stagnation.
If current trends continue, BRICS nations, which together represent nearly half of the world’s population, will dominate global GDP growth by the end of the decade.
“The world’s growth momentum is shifting eastward and southward,” the IMF report noted, adding that “emerging markets will be central to shaping global economic trends in the next decade.”
India: The Star Performer in 2025
Among all major economies, India stands out as the global growth leader with its 6.6% GDP forecast.
Driven by strong domestic consumption, manufacturing expansion under ‘Make in India’, and a booming digital economy, India continues to attract record foreign investments.
This solid performance positions India as a key pillar of global recovery, contributing nearly 15% of global growth in 2025.
Outlook: A Decade of Emerging Market Dominance
The widening gap between BRICS and G7 economies could reshape trade patterns, capital flows, and geopolitical influence.
With emerging economies accelerating and the West slowing, the next phase of globalization may be defined by the rise of BRICS — countries building their own financial systems, development banks, and trade frameworks independent of Western institutions.
In short, 2025 marks the beginning of a new economic era, where the world’s fastest growth is no longer in New York or London — but in New Delhi, Addis Ababa, and Jakarta.
