Brazil could become the world's eighth-largest economy in 2027 — The Rio Times

The International Monetary Fund forecasts that Brazil will become the world's eighth-largest economy in 2027 by nominal GDP in current U.S. dollars. Its economy could reach $2.80 trillion, compared with $2.65 trillion in 2026, when the country is expected to rank tenth, according to the fund's estimates. This was reported by The Rio Times, citing the IMF's October World Economic Outlook forecast database.

Whom Brazil will overtake

According to the 2027 forecast, Brazil will overtake Italy, whose nominal GDP is estimated at $2.77 trillion, as well as Russia — the aggressor state, for which the IMF forecasts $2.68 trillion. The gap between Brazil and Italy will amount to around $24 billion.

Canada, with $2.63 trillion, and South Korea, with $2.54 trillion, will be ranked after Russia in the projected ranking. Mexico, Latin America's second-largest economy, is estimated by the fund to have GDP of $2.31 trillion.

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France, which is expected to rank seventh, is projected to have an economy worth $3.65 trillion. In the top three of the IMF's 2027 ranking are the United States with GDP of $34.44 trillion, China with $22.94 trillion, and Germany with $5.66 trillion.

Impact of the real exchange rate

The IMF assesses economies in U.S. dollars, so a country's position depends not only on production volumes but also on exchange rates. Strengthening of the Brazilian real against the dollar could increase the valuation of the country's economy in dollar terms even without an acceleration in real growth.

Brazil's real GDP is forecast to grow by 2.2% in 2026 and by 1.9% in 2027. The IMF also forecasts that the country will retain eighth place through 2031, when its economy could reach $3.40 trillion. At the same time, Brazil's GDP per capita in 2027 is projected at $13,016, while Italy's is projected at $47,145.