Best Exchange Rates: Are The BRIC Countries The Way Forward?

January 25th, 2012
Best Exchange Rates UK investigates BRICs as an investment opportunity. At the recent G20 meetings one spokesman estimated that the BRICs current foreign exchange reserves are at 4.3 trillion USD, which accounts for nearly half of the world’s total.  Their continued economic growth, in an era when the old world economies are waning could provide a ray of hope for the future of global best exchange rates.  The problem now is at what level they should interject into the rest of the world’s economic woes. If they opt to inject a cash stimulus into the Eurozone for example, it would potentially hamper their own economic growth and thus affect the liquidity of currencies across the globe.
BRIC stands for Brazil, Russia, India and China, these four countries are often referred to as “the big four”. They represent the countries that have been deemed to be entering a new era of advanced economic development. Together these countries account for c. 43% of the world’s population and have a combined Gross Domestic Product (GDP) of $18.486 trillion. The growth of these countries is demonstrated by a simple comparison of Britain and its former colony India. The Indian economy has grown by 6% in the last year compared to Britain’s economic stagnation. The big four are beginning to build a record for pulling together in order to for an eco-political unit. China in particularly plays the economic card as a standard global political tool. In recent summits European politicians have headed to China, in a bid to secure a contribution to the International Monetary Fund. Yet despite their obvious intentions, Chinese officials are stating that they have not been formally asked yet. In the previous 2009 down turn the country provided $50 billion to the International Monetary fund in the form of purchasing IMF bonds. The question is now, will they invest further into saving the economies of the Eurozone.  As previously stated allocating huge sums of money to bail outs may impede their growth and therefore stunt any future economic recovery worldwide. Conversely, America and the European Union represent a huge portion of the Chinese’s global exports, if they fail the economic growth would be even slower that it is at present.
For the best exchange rates across the currencies and economic news, check out the rest of the site.
Best Exchange Rates UK investigates BRICs as an investment opportunity.
At the recent G20 meetings, one spokesman estimated that the BRICs current foreign exchange reserves are at 4.3 trillion USD which accounts for nearly half of the world’s total.  Their continued economic growth, in an era when the old world economies are waning, could provide a ray of hope for the future of global best exchange rates.  The problem now is at what level they should interject into the rest of the world’s economic woes. If they opt to inject a cash stimulus into the Eurozone, for example, it would potentially hamper their own economic growth and thus affect the liquidity of currencies across the globe.
BRIC stands for Brazil, Russia, India and China – these four countries are often referred to as “the big four”. They represent the countries that have been deemed to be entering a new era of advanced economic development. Together these countries account for around 43% of the world’s population and have a combined Gross Domestic Product (GDP) of $18.486 trillion. The growth of these countries is demonstrated by a simple comparison of Britain and its former colony India – whereas Britain’s economy is stagnating, the Indian economy has grown by 6% in the last year.
The big four are beginning to build a record for pulling together in order to form an eco-political unit. China, in particularly, plays the economic card as a standard global political tool. In recent summits, European politicians have headed to China in a bid to secure a contribution to the International Monetary Fund. Yet despite their obvious intentions, Chinese officials are stating that they have not been formally asked yet. In the 2009 downturn, the country provided $50 billion to the International Monetary fund in the form of purchasing IMF bonds. The question is whether they will, now, invest further in an attempt to bolster the economies of the Eurozone.
As previously stated allocating huge sums of money to bail outs may impede their growth and therefore stunt any future economic recovery worldwide. Conversely, America and the European Union represent a huge portion of China’s global exports – if they fail, the economic growth would be even slower that it is at present.
For the best exchange rates across the currencies and economic news, check out the rest of the site.

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