Research
- +10
Rosa Balfour, Frances Z. Brown, Yasmine Farouk, …
{
"authors": [
"Moisés Naím"
],
"type": "legacyinthemedia",
"centerAffiliationAll": "",
"centers": [
"Carnegie Endowment for International Peace"
],
"collections": [],
"englishNewsletterAll": "",
"nonEnglishNewsletterAll": "",
"primaryCenter": "Carnegie Endowment for International Peace",
"programAffiliation": "",
"programs": [],
"projects": [],
"regions": [
"North America",
"South America",
"Southern, Eastern, and Western Africa",
"India",
"China",
"Russia"
],
"topics": [
"Economy",
"Trade"
]
}
Source: Getty
In The Media
BRICs
It has become clear that, other than large territories and populations, the BRICs have little in common.
By Moisés Naím
Published on May 1, 2014
Source: Washington Post
People blame Goldman Sachs for many things. I blame the investment bank mainly for popularizing the acronym BRIC — Brazil, Russia, India and China — in a 2001 report by economist Jim O’Neill arguing that long-term growth in these emerging markets would surpass that of the world’s richer nations.
Investing in the BRICs sounded like a good idea when these countries were growing quickly and when the most-developed economies were sputtering. But the grouping quickly outlived its usefulness. It has become clear that, other than large territories and populations, the BRICs have little in common. Brazil and India have different domestic political challenges, China and Russia are pursuing disparate development strategies, and China’s geopolitical role is far more complicated than that of its BRIC comrades.Now that the BRICs have entered a rough patch, the allure of these fast-growing economies has faded. Yet the bankers and consultants who dream up such monikers have simply created new ones. They include CIVETS (Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa), from the Economist Intelligence Unit; CARBS (Canada, Australia, Russia, Brazil and South Africa), identified by Citigroup; and MINT (Mexico, Indonesia, Nigeria and Turkey), coined by Fidelity Investments. Even O’Neill came back with the “Next Eleven” or N-11 (Bangladesh, Egypt, Indonesia, Iran, Mexico, Nigeria, Pakistan, the Philippines, Turkey, South Korea and Vietnam).
The rhetoric is familiar. The CIVETS countries are blessed with “diverse and dynamic” economies; the MINT nations enjoy “favorable demographics for at least the next 20 years”; and the N-11 “could potentially rival the G7 in terms of economic growth over time.”
But these categories reflect smart marketing and packaging of financial products rather than analytical originality or investment acumen. The main trait these countries share is that their economies are as volatile as their politics.
According to all indicators, the best acronym to invest in is still USA.
About the Author
Moisés Naím
Distinguished Fellow
Moisés Naím is a distinguished fellow at the Carnegie Endowment for International Peace, a best-selling author, and an internationally syndicated columnist.
- The World Reacts to Biden’s First 100 Days
- View From Latin AmericaCommentary
Moisés Naím
Recent Work
Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.
More Work from Carnegie Europe
- Assessing Information Ecosystems: How Governments Can Get Ahead of Hybrid ThreatsPaper
The hybrid warfare landscape is evolving rapidly, leaving policymakers without clear strategies. To better inform their work in addressing emerging challenges, governments must dig deeper into the underlying dynamics at play.
Raluca Csernatoni, Alicia Wanless
- Taking the Pulse: Are the EU’s Watered-Down Russia Sanctions Better than None?Commentary
The EU had to compromise to adopt a twenty-first sanctions package against Russia, exposing growing cracks in the union’s resolve. Is this latest, weaker round worth it to keep pressure on Moscow?
Rym Momtaz, ed.
- Why Europe Must Take Charge of its Russia Diplomacy NowCommentary
Trump is distracted and Ukraine wants Europe to step up. The continent’s leaders must find their voice and assert it in talks with Russia.
Alissa de Carbonnel
- Why Russia Could Escalate Hybrid Warfare Against EuropeCommentary
Mounting economic strain and battlefield losses will not necessarily make the Kremlin less dangerous. They could instead push Moscow toward a more aggressive hybrid campaign designed to test NATO’s Eastern flank, exploit allied hesitation, and fracture European resolve.
Maksym Beznosiuk
- How NATO Became Anchored in the Black SeaCommentary
As Russia's war on Ukraine drags on, NATO is expanding its footprint in the Black Sea. Turkey, Romania, and Bulgaria are upgrading their fleets and deepening trilateral cooperation.
Dimitar Bechev
