BRICS Has Overtaken G7? The Power Math Behind Putin’s Claim

BRICS Has Overtaken G7? The Power Math Behind Putin’s Claim

Russian President Vladimir Putin’s claim that BRICS has overtaken the G7 is not just political theatre. On purchasing power parity, population and emerging-market trade weight, BRICS now looks larger than the old Western-led club, though the G7 remains far stronger in nominal-dollar GDP, capital markets and reserve-currency influence.

Why it matters

The comparison matters because BRICS is trying to convert economic scale into diplomatic leverage. At the BRICS Business Forum in New Delhi, Putin argued that the bloc now accounts for around 40% of global GDP, while G7’s share has slipped below 30%, according to Financial Express.

That claim is strongest when measured by PPP, which adjusts for local purchasing power and better captures real domestic economic capacity. But the global financial system still runs largely through dollar markets, Western banks, U.S. Treasuries and G7-led institutions, so “overtaken” depends on which yardstick is used.

Key facts

• India’s official BRICS 2026 presidency lists Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, Saudi Arabia, the UAE and Indonesia as members, according to BRICS India.
• Based on latest available World Bank PPP GDP data, Credivant calculations put BRICS at roughly 40.3% of world GDP by PPP, compared with 28.1% for the G7 and 14.6% for the United States.
• On population, BRICS is far ahead: about 48.3% of the world versus 9.6% for the G7 and 4.2% for the U.S., using World Bank population data.
• On nominal GDP, the balance reverses. World Bank current-dollar GDP data shows the G7 still controls about 44.4% of global output, while BRICS is around 27.8%.
• The New Development Bank gives BRICS a financing platform for infrastructure and sustainable development, but it is still much smaller than the IMF, World Bank and major G7-backed capital markets, according to the NDB.

Putin’s argument is therefore partly correct and partly strategic. BRICS has overtaken the G7 in economic size when measured by PPP and clearly dominates in population scale. That gives it bargaining power in trade, energy, commodities, manufacturing and global governance debates.

But the G7 still holds the deeper financial advantage. The dollar remains the leading reserve currency, U.S. markets remain the world’s deepest, and G7 economies still dominate high-income consumption, technology ecosystems and global investment flows.

The more accurate conclusion is that BRICS has not replaced the G7; it has narrowed the global power gap. Its rise signals a shift from a Western-centered order toward a more multipolar economy where emerging markets demand a larger seat at the table.

What readers should watch next

The next test is whether BRICS can turn size into coordination. Local-currency trade, cross-border payment systems, NDB lending, energy cooperation and supply-chain integration will decide how much real influence the bloc can build.

For now, Putin’s claim is strongest as a statement of economic weight, not financial supremacy. BRICS has the scale to challenge the U.S.-led order, but the dollar system remains deeply embedded in global finance.