Socio-Economical Appraisal

of BRICS

GROUP 5
ANKIT AGARWAL
NABIN KUMAR
RAHUL KUMAR
SUJOY SENGUPTA
CONTENTS
BRICS- Introduction
Why Socio Economic Parameters?
Economic Parameters
Income Distribution Parameters
Human Development Index
Life Expectancy Parameters
Literacy Parameters
Health Parameters
Sustainable Development Parameters
Conclusion
21-08-2018
 BRICS - Introduction US$16.6 trillion

3.6 billion
Russia
22%
40%
GDP

Population 39 Million KM2

2011 China 27%

South Africa Joined
Brazil India
Area

2009
First BRIC summit South Africa
21-08-2018 3
 Why Socio Economic Parameters?

Higher economic
Economic While economic
growth drives higher
development means growth is a measure of
economic
Economic growth an improvement in increase in real GDP
development of
means an increase in the quality of life and per capita Economic
people of that country
real national income / living standards, e.g. development goes
but sometimes the
national output. measures of literacy, beyond it and looks
benefits reach only to
life-expectancy and into how it is affecting
a portion of the
health care. the life of others.
population.

21-08-2018 4
 Gross Debt to GDP (%) GDP at Current Prices in Dollars
120
Brazil Russia India China South Africa
100
25000
80
20000
60

40 15000

20 10000
Economic Parameters

0
5000

2007

2018
2000
2001
2002
2003
2004
2005
2006

2008
2009
2010
2011
2012
2013
2014
2015
2016
2017

2019
2020
2021
2022
2023
0
Brazil Russia India China South Africa

2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
IMF Data (http://www.imf.org/external/datamapper/datasets/WEO/5) IMF Data (http://www.imf.org/external/datamapper/datasets/WEO/1)
 Gross Debt to GDP is quite high for Brazil whereas its quite low
GNI per capita (PPP) in Dollars for Russia
30000
 Russia has the highest quantum of natural resources globally
25000 and has very low external debt as Russia paid off USSR’s
20000 external debt
15000
 Following the financial crisis of 2008, the debt level of SA has
10000
been increasing to stimulate its growth
 China is world’s second largest GDP whereas India is 7th largest
5000
 Gross National Income per Capita is quite high for Russia
0
whereas its quite low for India due to its huge population
2003
2000

2001

2002

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016
 The population of India is 130 crores which is 9 times that of
Brazil Russia India China South Africa Russia
IMF Data (http://www.imf.org/external/datamapper/datasets/WEO/1) 21-08-2018 5
 Unemployment Rate (% of Total Labour Force) Poverty ratio at National poverty lines (% of
35 population)
30 70
Income Distribution Parameters
25 60
50
20
40
15
30
10 20
5 10
0 0

2012
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011

2013
2014
2015
2016
2017
2004

2015
2000
2001
2002
2003

2005
2006
2007
2008
2009
2010
2011
2012
2013
2014

2016
2017
2018
2019
2020
2021
2022
2023
Brazil Russia India China South Africa Brazil Russia India China South Africa

World Bank Data (https://data.worldbank.org/indicator/SL.UEM.TOTL.ZS) World Bank Data (https://data.worldbank.org/topic/poverty)

 Unemployment rate is quite high in South Africa and
have actually increased in recent years
 The youth finds difficult to find the 1st job even after
matriculation whereas the elderly find difficult as they
don’t have matriculation
 Brazil has been embroiled in recession, credit boom
cycle and there have been corruption allegations on
former & current Presidents causing unemployment
 The BRICS nation are facing problem of jobless growth.
 China is doing much better in terms of employment due
to its investment in manufacturing sector but it is also
facing problems in recent times.
 In India, the number of Jobs getting created are far less
than what required.
 A significant portion of Indian population approximately 21.9 %
as per Census 2011 are still below the poverty line (threshold of
1.90 $ per day)
 BRICS countries have significantly improved the living standards
of millions of citizens but there is a lot of scope of improvement
 South Africa is also rallying under huge poverty numbers of its
citizens
 Russia is split into 85 official regions out of which just 10 regions
are economically stable due to disproportionate natural
resources availability thereby leading to poverty in other
regions
 Due to high unemployment in SA, they also have been facing
unemployment and the children have become vulnerable
21-08-2018 6
 Human Development Index 2015  The human development Index takes into account
Human Development Index, GINI Coefficient three factors-
140 131 0.9
0.804
119 0.8
 Life Expectancy
120 0.754 0.738 0.7  Access to education
100 90 0.666
79
0.624 0.6  Gross National Income of per Capita
80 0.5  Countries are ranked on a scale of 0 to 1. It indicates
60 49 0.4
the disparity in economic development of the
0.3
40
0.2
different section of people in a country.
20 0.1  Population in sever multidimensional poverty is very
0 0 high in India compared to people near
BRAZIL RUSSIA INDIA CHINA SOUTH AFRICA multidimensional poverty being high in China & SA.
HDI Rank 2016 HDI Score  National Skill development programs are going to
play a crucial part in ensuring higher HDI score for
UNDP Data for HDI 2015 (http://hdr.undp.org/en/composite/HDI) India.

GINI Coefficient 2013  The GINI coefficient gives the income inequality of a
nation.
 South Africa has one of the worst income inequality
63.1 which reflects in its rank.
54.7  India has the best GINI coefficient among the BRICS
40.1 42.1 nations.
33.9  The high economic growth rate over last two decades
in India & china is not reducing the income inequality
indicating wealth is getting generated for a limited
individuals rather than at large.
 Growth with equity should be the goal for the
Brazil Russia India China South Africa countries.

UNDP Data for Gini Coefficient 2013 (http://hdr.undp.org/en/content/income-gini-coefficient)

21-08-2018 7
 Child Mortality Life Expectancy

125.8 57.7
South Africa 62.1
76
China 69
Life Expectancy Parameters
60.8 53.8 59.9 68.3
47.7
40.5 India 57.9
26 70.3
16.4 9.6 10.7 Russia 68
74.7
Brazil 65.3
Brazil Russia India China South
Africa
1990 2015 2015 1990

UNDP Data for Child Mortality (http://hdr.undp.org/en/data) UNDP Data for Life Expectancy (http://hdr.undp.org/en/data)

Infant Mortality  Global Infant Mortality Rate 2015-49.4

 Global Child Mortality Rate 2015-40.8
1990 2015  Global Life Expectancy 2015-70.5 years
 Life expectancy has not improved much in SA due to increase in
88.3
HIV/STD related cases in recent years.
50.9
 Despite better than expected decline rate India still has highest
47.4
37.9 42.1
33.6 child mortality rate in the world.
14.6 21.9
8.2 9.2  Institutional deliveries has increased from 38% in 2005 to 79.8%
in recent times which has resulted in reduction of Infant
mortality rate.
Brazil Russia India China South
 China’s significant drop is related to its advancement in
Africa
healthcare service.

UNDP Data for Infant Mortality (http://hdr.undp.org/en/data)

21-08-2018 8
 Literacy Rate 2015 Mean years of education for

https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4047
99.7
92.6 96.4 94.3 individuals aged 25–34 years
72.1
10.4
SOUTH AFRICA 7.4
10.2
7.6
8.9

Data accessed from

CHINA 5.7
9.3
7.3
BRAZIL RUSSIA INDIA CHINA SOUTH

800/)
5.6
2.9
Literacy Parameters

AFRICA INDIA 8.1

5.9
UNDP Data for Adult Literacy Rate 2015 (http://hdr.undp.org/en/data) 13.8
RUSSIA 11.6
13.2
11.6
Education Sector Spending as BRAZIL 6.2
9.3
8.3
% of GDP 2012 5.9
0 2 4 6 8 10 12 14 16
6.4
5.9
Female 2010 Female 1990 Male 2010 Male 1990
4.2 3.7
3.8

 India with 28.7 crores Illiterates in 2015 has the highest

number of illiterates in the world.
BRAZIL RUSSIA INDIA CHINA SOUTH  RTE has improved the numbers but lot of scope to improve.
AFRICA  The literacy rate parameters give a fall sense of human
abilities as the desired levels are often not met.
UNDP Data for % GDP Spending on education 2012
(http://hdr.undp.org/en/data)  General education is controlled by Russia and is free for all.
 SA higher education spending ensures higher literacy rates.
 Global Literacy Rate 2015-86.3 %
 Global Education Spending as part of GDP-4.9 %
21-08-2018 9
 Out of Pocket Health Expenditure % Total Health Sector Spending as % of
2012 GDP 2012
58.05 9.3 8.8

33.52 34.67 6.3

31.08 5.4
4

7.21
Health Parameters

Brazil Russia India China South Brazil Russia India China South
Africa Africa

Data accessed from https://wagner.nyu.edu/files/faculty/publications/SSRN-id2598570_2.pdf

 Brazil employees National Health Scheme for all.

Disease Spread across Population  Russia have quite inequality in access to healthcare
40000
facilities with guaranteed minimum program.
30000  Indian expenditure is very less compared to what
required and all expenditure happens at Point of
20000
Purchase indicating absence of health coverage.
10000  China is working towards a system of Universal
0
health coverage by 2020 with all essentials medical
Brazil Russia India China South Africa care being provided by the state.
 SA have NGO’s and other international
Communicable Disease 1990 Communicable Disease 2010
organization working towards healthcare system.
Non Communicable Disease 1990 Non Communicable Disease 2010

Data accessed from https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4047800/)

21-08-2018 10
Sustainable Development Parameters Access to Improved Drinking Water & Sanitation 2010
100
88.5
96.9 93.2 97 90.7 91.5 91.4
80.3 82.6
80 73.8 70.4 70.3 73.8
66.8 66.7 64.8 63.9
60

40 34.2
23.7
17.7
20

0
BRAZIL RUSSIA INDIA CHINA SOUTH AFRICA

Data accessed from https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4047800/)

CO2 Emission Per Capita 2006  Environment Kuznet Curve shows inverted U relationship
between economic growth and indicator of environment.
12.5  China responsible for 29% emission second most after US
followed by India at 6% and Russia at 5%.
8.9
7.6  The developing nations are trying to implement
5.0 renewable sources of energy and as per Paris act have
2.5 promised to cut the emissions to reach target by 2020.
1.6
 The access to proper sanitation is still an issue in India
with only 34.2% population having it.
Brazil Russia India China South
Africa
World
 South Africa in recent times is facing serious drought
conditions which has reduced the water access levels.
UNDP Data for CO2 Emission 2013 (http://hdr.undp.org/en/data)
21-08-2018 11
 Conclusion

In countries
There is a lot of themselves there is a
The BRICS nations are There is a lot of scope
disparity in socio lot of divide among the
driving the world’s for the countries to
economic people’s condition
growth engine and are learn from one another
development of BRICS which needs to be
going to play a very and implement
nations which needs to addressed in a
important part in programs which
be bridged so that the sustainable socio
world development in reaches wider section
development reaches economic
21st century of the society
to the last person development model
for all

21-08-2018 12
QUESTIONS ??

THANKS!