WE COUNT DOWN THE PLANET'S LARGEST ECONOMIES IN 2050
Wonder which major industrialized countries will be richer or poorer 33 years from now? Accountancy firm PwC has just released a report outlining growth forecasts to 2050 for 32 of the largest economies in the world. We count down where it says these countries will be in 2050 from 32 to 1 based on GDP at Purchasing Power Parity (PPP), which allows for a more accurate measure of what countries will be producing.
http://www.msn.com/en-us/money/markets/decline-of-the-west-these-countries-will-rule-the-world-in-2050/ss-AAr61a5?li=BBnb7Kz&ocid=mailsignout#image=1
netherland --- 26
colombia - 30
poland -- 30
argentina -- 25
australia - 19
s. afrika - 29
spain - 16
fall down the rankings, Spain is projected to plummet from 16th most powerful economy in 2016 to 26th in 2050. Analysts put this down to a large decline in the working age population rather than lackluster economic performance.
thailand - 20
Like many emerging economies, Thailand is racing ahead. The Thai economy is expected to be the 25th largest in the world by 2050, up five places compared with 2016. Economic growth forecasts are buoyant for the coming decades despite negative population growth.
malaysia - 24
Another impressive rise in the rankings, Bangladesh is forecast to have the world's 23rd biggest economy in 2050, up from the 31st in 2016. This growth is nevertheless dependent on the government enacting economic reform and improvements to the country's education system, according to PwC.
12/33 SLIDES
21. ITALY (2016 RANKING: 12)
Italy has a similar albeit more serious problem. Struggling with an ageing population and mediocre economic performance, the European country is also projected to drop out of the top 20, down from the 12th largest economy in the world in 2016, to the 21st in 2050.
20. VIETNAM (2016 RANKING: 32)
Out of all 32 countries analyzed, Vietnam is poised to be the highest mover. Its economy is projected to be the 20th biggest in the world in 2050, up a massive 12 places compared with 2016. As is the case with Bangladesh, however, this explosive growth will be reliant on economic and educational reforms.
Challenges for policymakers
Our analysis also identifies a number of key challenges for policy-makers, including:
- Avoid a slide back into protectionism, which history suggests would be bad for global growth in the long run
- Ensuring that the potential benefits of globalisation are shared more equally across society
- Developing new green technologies to ensure that long-term global growth is environmentally sustainable
Please download our full report for more in-depth analysis of these policy issues.
Opportunities for business – winning in emerging markets
Our report, which can be downloaded in full below, also considers the opportunities for business:
- As emerging markets mature, they will become less attractive as low cost manufacturing bases but more attractive as consumer and business-to-business (B2B) markets
- But international companies need strategies that are flexible enough to adapt to local customer preferences and rapidly evolving local market dynamics
- Since emerging markets can be volatile, international investors also need to be patient enough to ride out the short-term economic and political cycles in these countries
Please also take a look at the research of our Growth Markets Centre for detailed examples of how companies can succeed in emerging markets.
https://www.pwc.com/gx/en/issues/economy/the-world-in-2050.html
