$3 trillion contribution from the UAE and Saudi Arabia to the BRICS output

The accession of the UAE and the Kingdom of Saudi Arabia to BRICS represents a strategic shift for the group’s economy, as they contribute more than $3 trillion to the national product of the group, which currently includes 11 countries. The two countries also have a pivotal role in the grouping thanks to their huge resources, such as oil and energy. And their important geopolitical role in the group.
A recent research paper by the Abu Dhabi-based Interregional Center for Strategic Analyzes confirmed that Saudi Arabia and the UAE have consolidated the status of the BRICS group since officially joining the group in January 2024, while attention is turning to the two countries’ active role in the group during the new summit that will be held in Brazil in early 2025, especially in the direction Towards achieving an economic system that provides great opportunities for member states to achieve a new global economic balance.
The UAE and Saudi Arabia officially joined the BRICS group, along with Egypt, Iran, and Ethiopia, as of January 1, 2024, after an official invitation was sent during the BRICS summit held in August 2023 in South Africa, where the member states (Brazil, Russia, India, China, and South Africa) agreed to Expand the group to include these new countries.
The Interregional Center said that this accession has strengthened the group’s influence at the global level, especially with regard to energy trade, as the alliance brings together the largest energy producers: Saudi Arabia and the Emirates, and the largest consumers in emerging countries. It is also expected that the expansion will contribute to strengthening the economy and trade of these countries.
The BRICS group offers a range of prominent economic benefits to its members, including:
• BRICS facilitates trade between member countries using local currencies, which enhances intra-regional investments and reduces costs associated with currency price fluctuations.
• The BRICS New Development Bank provides concessional financing for infrastructure and development projects in member states and other developing countries.
• The BRICS grouping, which includes major energy producers such as Saudi Arabia, the UAE, and Russia, allows the development of cooperation strategies that contribute to stabilizing energy markets and enhancing their security.
• Cooperation between the BRICS countries, which account for a large share of global GDP, allows the formation of a more balanced economic system and reduces the dominance of major traditional economies, such as the G7.
• Cooperation between member states provides opportunities to exchange knowledge and technology, especially in areas such as renewable energy, agriculture, and industry.
• Coordination between BRICS countries helps expand export and investment markets, which enhances the competitiveness of member states’ economies at the international level.

Interregional stressed that the BRICS alliance seeks to strengthen the international economic relations of its members and achieve sustainable development, while paving the way for a more pluralistic and equitable global economic system, especially after 6 other countries joined the group officially as of January 2024, namely: Saudi Arabia, the Emirates, Egypt, Iran, and Argentina, which It later withdrew due to change in internal politics and Ethiopia.
He explained that the UAE and Saudi Arabia will play a pivotal role in supporting the success of the BRICS grouping through several strategic and economic aspects, most notably: enhancing joint investments, as the two countries have huge financial resources, allowing them to provide large investments in infrastructure and development projects within the BRICS countries, which enhances the grouping’s goals to support development. Sustainable projects, such as renewable energy projects and industry development.
Interregional added: “Saudi Arabia and the UAE will play a major role in energy policies within BRICS, as they have ambitious plans to invest in clean energy and green hydrogen, which are areas of great interest to BRICS. The two countries also seek to enhance intra-regional trade, which increases the group’s role in global trade.” Especially with the UAE enjoying a global financial center and investment market that enables the group to strengthen its financial mechanisms, such as the New Development Bank (NDB). Saudi Arabia also contributes, through its Vision 2030, to developing capital markets that can It is integrated with the group’s economic objectives.”
Interregional pointed out that the strategic location and diplomatic role of the UAE and Saudi Arabia make them a gateway to accessing the markets of the Middle East and North Africa, which enhances their role as diplomatic and regional powers that contribute to enhancing the stability and security of relations between the BRICS countries and other countries. Through their economic strength and geopolitical position, the two countries are considered a qualitative addition to the BRICS grouping. This supports the group’s goals of achieving sustainable economic development and enhancing cooperation among emerging economies.
The importance of BRICS in the global economy has increased, as the group now represents more than 45% of the world’s population, and its economies exceed 28.5 trillion dollars. The equivalent of 28% of the total global economy, which exceeds the share of the Group of Seven Nations (G7), which includes 10% of the world’s population, and the equivalent of 26% of the global economy. Statistics indicate that trade between the BRICS countries grew by 14% during the year 2023. To about $683.5 billion.