BRICs or BRICS

I love the inquiry made by CNN on whether or not South Africa should be considered an emerging economy on par with the BRICs (Brazil, Russia, India, and China). Should BRICs become BRICS? If you think I rewrote the same thing again, recheck capitalizations. Even more than I love reading CNN point of view, it brings me even greater joy to read the general public’s discussion on this subject.

The BRICs are the current markets that contribute to a third of the world’s GDP growth and more than a third of the world’s population. With China and India’s 2 billion + people and their growing middle classes, they are becoming the drivers of global consumption and proving to be the places to be or consider to be if you are in the business of selling anything. These countries led the global recovery following the economic fallout and then even better, at least from my athletic point of view, two of these countries secured positions as hosts to upcoming World Cups and Olympic games.

Maybe I only find any of this interesting to me because I am currently living in South Africa, but still it is definitely a point to ponder. Over my four years of college I had regularly seen the BRICs with the capital “S,” with a double “I,” or a capital “M” at the end. This signifying that South Africa, Indonesia, and Mexico, sat right on the edge of joining these other four emerging markets, all of which have good arguments. Did you know that Indonesia is one of the 4 largest countries by area? Oh, and so is Denmark. Think Greenland. So South Africa…the hosts of the 2010 World Cup and apartheid. Very interesting mix. Though to be fair, from living here, I am not sure it is okay to still completely hold the apartheid thing over their heads. While discrimination and racism still exists here, they are a far cry from 1994.

So Senor Jacob Zuma, president of South Africa has been invited to the next BRIC summit in Beijing the April. While many are in favor of South Africa’s rise on the world stage, some question it’s small fraction in population compared to other BRIC nations and the fact that it’s economy remains approximately ¼ of that of Russia. South Africa: -2. On the other side of things, South Africa does have a comparable equity market to that of Russia around $718 billion. Okay South Africa: -1. But, back to the other side, Russia is the only major energy exporter of the BRIC nations and unfortunately that does not help South Africa. Now, South Africa: -2 again. Okay, but South Africa sits in a position of serious importance on the continent of Africa, with 25% of all of Africa’s GDP. S.A. is also a top producer in the world for commodities like gold, copper, and platinum (every girl’s dream) and a producer of oil from coal and natural gas (that sounds like energy exports to me). Whoo into the positives, I’m giving South Africa: 2. That energy discussion has me slightly confused.  

Okay enough of the economic talk, lets discuss how South Africa is not only a powerhouse in Africa, it also works to combine the current divide between east and west. It is a liberal, democratic country, with a strong sense of history and culture (which I think could be slowly disappearing with its westernization), and from the World Cup a pretty strong infrastructural system in place. I mean I don’t count all those dirt, bumpy roads you have to take to get to their national parks and reserves; just the forty billion different highways running in circles around Johannesburg.

Okay time for the world’s commentary. One person says, “the answer is no, Africa is just a doomed continent.” Very eloquently said and obviously a well researched position. Another, “but yes, we still all ride giraffes to work and walk around with nothing but underwear made from reeds.” While this may be true for him, I currently ride an elephant most days, though when I am late I grab my cheetah. Instead of underwear made of reeds, I prefer butt-flaps made of animal hide and a coconut bra. Proud Africa responds, “YES!!!!!!!! SOUTH AFRICA DESERVES TO JOIN BRIC! SO IT SHOULD BE CHANGED TO BRICS! SOUTH AFRICA HAS DONE A FINE JOB WITH WHAT IT HAS…CONGRATULATIONS TO SOUTH AFRICA.” Wow, here we have some serious excitement. Okay and finally my favorite. “This is a joke, right? (S.A. being added to the BRIC economies) The Africans are still living in Jurassic Park. They have no abilities in all the crucial areas to be an economic powerhouse: No technology. No mass skilled labour. No financial (spelled wrong in her response) and marketing prowess. No nothing, except a lot of brawns to win Olympic medals in the events where brute force is the name of the game.” Oh, sweet sweet Sharon, you are so right, which is why I am sitting in Africa reading CNN.com and posting my blogs, checking my Facebook, uploading all of my work to Google Docs, and updating the office calendar in Google Calendar.  They also have no financial prowess, okay, so that would explain why I see the big four accounting firms everywhere I go and all the major financial firms. If I were you I would look out for those brawns because they most likely can out run you and beat you down with their pinky fingers.

Come on people, get it together. Maybe in addition to getting education for all, we need to consider re-educating some of the Western populations. Or, better idea, let's take some of the Western education and give it to those who cannot currently get an education. It might go farther.