The Emergence Of A New Global Economic Bloc

At St. Petersburg on Friday, backers of multipolarity pushed forward integration of their networks. Photo Credit: The Cradle  

Pepe Escobar, The Cradle: St. Petersburg sets the stage for the War of Economic Corridors 

In St. Petersburg, the world's new powers gather to upend the US-concocted “rules-based order” and reconnect the globe their way 

The St. Petersburg International Economic Forum has been configured for years now as absolutely essential to understand the evolving dynamics and the trials and tribulations of Eurasia integration. 

St. Petersburg in 2022 is even more crucial as it directly connects to three simultaneous developments I had previously outlined, in no particular order: 

* First, the coming of the “new G8” – four BRICS nations (Brazil, Russia, India, China), plus Iran, Indonesia, Turkey and Mexico, whose GDP per purchasing parity power (PPP) already dwarfs the old, western-dominated G8. 

* Second, the Chinese “Three Rings” strategy of developing geoeconomic relations with its neighbors and partners. 

* Third, the development of BRICS+, or extended BRICS, including some members of the “new G8,” to be discussed at the upcoming summit in China. 

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WNU Editor: This caught my attention on how quickly the world is changing .... the coming of the “new G8” – four BRICS nations (Brazil, Russia, India, China), plus Iran, Indonesia, Turkey and Mexico, whose GDP per purchasing parity power (PPP) already dwarfs the old, western-dominated G8.

These Are The Biggest Economic Risks For 2022

Live Mint: What could possibly go wrong? These are the biggest economic risks for 2022  

Economists have struggled to see ahead in the pandemic. They’re upbeat about next year, but could easily get blindsided again 

The Covid years are littered with predictions that didn’t work out. For anyone looking ahead into 2022, that should be enough to give pause. 

Most forecasters, including Bloomberg Economics, have as their base case a robust recovery with cooling prices and a shift away from emergency monetary-policy settings. What could go wrong? Plenty. 

Omicron, sticky inflation, Fed lift-off, China’s Evergrande slump, Taiwan, a run on emerging markets, hard Brexit, a fresh euro crisis, and rising food prices in a tinder-box Middle East — all these feature in a rogues’ gallery of risks. 

Some things might go better than expected too, of course. Governments may decide to keep fiscal support in place. China’s latest Five Year Plan could catalyze stronger investment. Pandemic savings might fund a global spending splurge.  

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WNU Editor: I would add energy prices.