Big economies meet in two groups that often make news. One is the G20, the group of the world's major economies. The other is BRICS, a group of large emerging economies. India is a member of both. India hosted the G20 summit in New Delhi in 2023. Exams ask about their origins, members, summits and key bodies. This post explains both in simple words. It ends with 15 previous year questions.
Key Points (Quick Revision)
- The G20 was formed in 1999 as a forum of finance ministers. The first leaders' summit was held in 2008 at Washington.
- The G20 has 19 countries, the European Union and the African Union, which joined at the New Delhi summit, 2023.
- India's G20 theme was "Vasudhaiva Kutumbakam - One Earth, One Family, One Future".
- The term BRIC was coined in 2001 by Jim O'Neill of Goldman Sachs. The first BRIC summit was at Yekaterinburg, 2009.
- The New Development Bank of BRICS is headquartered in Shanghai.
1. G20 - how it began
The G20 was born out of the Asian financial crisis of 1997-98. In 1999, finance ministers and central bank governors of major economies began meeting every year.
The global financial crisis of 2008 raised it to the level of leaders. The first G20 leaders' summit was held at Washington DC in November 2008.
The G20 has no permanent secretariat. The country holding the presidency runs it for one year. It works with a troika - the previous, current and next presidencies.
2. G20 members
The G20 has 19 countries plus two regional unions.
| Region | Members |
|---|---|
| Asia | China, India, Indonesia, Japan, South Korea, Saudi Arabia, Turkey |
| Europe | France, Germany, Italy, Russia, United Kingdom |
| Americas | Argentina, Brazil, Canada, Mexico, United States |
| Africa and Oceania | South Africa, Australia |
| Unions | European Union, African Union (since 2023) |
Together the G20 members account for about 85% of world GDP, 75% of world trade and two-thirds of the world's population.
3. The G20 summit in New Delhi, 2023
India held the G20 presidency from 1 December 2022 to 30 November 2023. The 18th G20 summit was held at Bharat Mandapam, New Delhi, in September 2023.
- Theme: "Vasudhaiva Kutumbakam - One Earth, One Family, One Future", taken from the Maha Upanishad.
- The African Union was made a permanent member.
- The New Delhi Leaders' Declaration was adopted by consensus.
- The Global Biofuels Alliance was launched.
- The India-Middle East-Europe Economic Corridor (IMEC) was announced.
India's presidency was followed by Brazil (2024) and then South Africa (2025), whose summit was the first G20 summit held in Africa.
4. BRICS - how it began
In 2001, economist Jim O'Neill of Goldman Sachs coined the term BRIC for four fast-growing economies: Brazil, Russia, India and China.
The leaders turned the idea into a group. The first BRIC summit was held at Yekaterinburg, Russia, in 2009.
South Africa joined in 2010, and the group became BRICS. Its first summit as a member was held at Sanya, China, in 2011.
BRICS has no permanent secretariat. The chair rotates every year in the order of the letters B-R-I-C-S.
5. BRICS expansion
BRICS began to expand from 2024.
- At the Johannesburg summit of 2023, six countries were invited to join.
- From 1 January 2024, Egypt, Ethiopia, Iran and the UAE became members.
- Saudi Arabia was invited, but its status has not been confirmed as full membership.
- Argentina declined the invitation.
- Indonesia joined as a full member in January 2025.
The Kazan summit of 2024 also created a category of partner countries. Membership details keep changing, so confirm the current list close to the exam.
6. BRICS institutions
| Body | Details |
|---|---|
| New Development Bank (NDB) | Agreed at the Fortaleza summit, 2014; started work in 2015; headquarters Shanghai; first president K. V. Kamath of India; funds infrastructure and sustainable development |
| Contingent Reserve Arrangement (CRA) | A pool of $100 billion to help members facing balance of payments pressure |
| Other initiatives | BRICS Business Council, BRICS Think Tanks Council, cooperation on vaccines, energy and payments |
India has hosted BRICS summits in 2012, 2016 and 2021. The 2016 summit was held at Goa.
7. G20 vs BRICS - the comparison
| Point | G20 | BRICS |
|---|---|---|
| Formed | 1999 (ministers), 2008 (leaders) | 2009 (first summit) |
| Members | 19 countries + EU + African Union | Original five plus new members from 2024 |
| Nature | Developed and emerging economies together | Emerging economies of the Global South |
| Secretariat | None; rotating presidency | None; rotating chair |
| Main body | Leaders' summit, finance track and Sherpa track | New Development Bank, CRA |
8. Previous year questions
- In which year was the G20 formed? – 1999
- Where was the first G20 leaders' summit held? – Washington DC, 2008
- Which regional union became a permanent member of the G20 in 2023? – The African Union
- What was the theme of India's G20 presidency? – Vasudhaiva Kutumbakam - One Earth, One Family, One Future
- Where was the 18th G20 summit held? – Bharat Mandapam, New Delhi (2023)
- Which alliance on fuel was launched at the New Delhi G20 summit? – Global Biofuels Alliance
- Who coined the term BRIC? – Jim O'Neill of Goldman Sachs (2001)
- Where was the first BRIC summit held? – Yekaterinburg, Russia (2009)
- Which country joined BRIC in 2010 to form BRICS? – South Africa
- Where is the headquarters of the New Development Bank? – Shanghai, China
- At which summit was the New Development Bank agreed? – Fortaleza, Brazil (2014)
- Who was the first president of the New Development Bank? – K. V. Kamath
- What is the size of the BRICS Contingent Reserve Arrangement? – $100 billion
- Which four countries became BRICS members on 1 January 2024? – Egypt, Ethiopia, Iran and the UAE
- Does the G20 have a permanent secretariat? – No
9. How to revise this topic
Start with the G20 dates: 1999 ministers, 2008 Washington leaders' summit, 2023 New Delhi.
Next, fix the New Delhi outcomes: African Union, Vasudhaiva Kutumbakam, Global Biofuels Alliance, IMEC.
Then learn the BRICS timeline: 2001 term, 2009 Yekaterinburg, 2010 South Africa, 2014 Fortaleza NDB, 2024 expansion.
Finally, remember the NDB facts: Shanghai, K. V. Kamath, and the $100 billion CRA.
10. Frequently Asked Questions
What is the G20?
The Group of Twenty is a forum of 19 major economies, the European Union and the African Union. It began in 1999 as a meeting of finance ministers and became a leaders' summit in 2008. It has no permanent secretariat.
What was special about the G20 summit in New Delhi?
Held in September 2023 under the theme Vasudhaiva Kutumbakam, it made the African Union a permanent member, adopted the New Delhi Leaders' Declaration by consensus and launched the Global Biofuels Alliance.
What is BRICS?
BRICS is a group of large emerging economies - originally Brazil, Russia, India, China and South Africa. The term BRIC was coined in 2001, the first summit was held in 2009 and the group has expanded since 2024.
Where is the New Development Bank located?
The New Development Bank of BRICS is headquartered in Shanghai, China. It was agreed at the Fortaleza summit in 2014 and its first president was K. V. Kamath of India.
Which countries joined BRICS in 2024?
Egypt, Ethiopia, Iran and the United Arab Emirates became members from 1 January 2024. Indonesia joined in January 2025. Confirm the latest list close to the exam.
For more Static GK topics in simple language, see our United Nations and Its Organs, SAARC and BIMSTEC and IMF and World Bank posts, or browse the Static GK section. Preparing for a banking exam? Start with the SBI PO guide or join the 100 Hour GS Course.