2/03/2011 The 10 Fastest Growing Economies Of…

The 10 Fastest Growing Economies Of The Next 40 Years

Christine Jenkins | Mar. 1, 2011, 10:46 AM | 14,843 | 3
60 Like Share 37 60 Like A A A

Forget the BRICs*.

If you want to get in on the best of the $300-trillion rise in world GDP
between now and 2050, you've got to invest in the next set of
emerging markets.

Citi economist William Buiter predicts that Nigeria, India and Iraq will
be the fastest growing countries from now until 2050, all with over
7.7% in yearly growth. (*India also makes the top ten, outperfoming
China, Brazil and Russia to become the world's biggest economy in
2050.)

Meanwhile Western Europe and Japan will languish at sub-2% growth.

America will do slightly better. Image: wwwmanuelgarcia via Fickr

#10 Egypt
YoY growth rate: 6.4%

GDP in 2050: $6.0 trillion (#10 in the world)

A 60.8% rise in Egypt's working age population by 2050 will be a

"big plus" if job opportunities keep up. Citi is optimistic about
economic reform after the revolution.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

#9 Sri Lanka
YoY growth rate: 6.6%

GDP in 2050: $1.3 trillion

In the next decades, Citi expects improved governance and post-

conflict growth in Sri Lanka after the end of the civil war with the
Tamil Tigers. The investment rate has to rise to make up for a
population that will all but stop growing.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: transaid images via Flickr

businessinsider.com/fastest-growing-… 1/5
2/03/2011 The 10 Fastest Growing Economies Of…

#8 Indonesia
YoY growth rate: 6.8%

GDP in 2050: $14 trillion (#4 in the world)

A 17.9% increase by 2050 in an already-large working age

population could set up Indonesia for China-like growth, if capital
formation and infrastructure catch up. Natural resource
extraction, a major source of growth so far, needs more
investment.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

#7 Mongolia
YoY growth rate: 6.9%

GDP in 2050: $150 billion

Mongolia's economy, based "overwhelmingly" on resource

extraction, is set for 14.2% GDP growth in the next five years.
Right now the "quite remarkable" saving and investment rates put
Mongolia on the right path for potential growth.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: Wikimedia Commons

#6 Philippines
YoY growth rate: 7.3%

GDP in 2050: $5.9 trillion

The Philippines' way too low investment rate at 14.5% of GDP

needs to rise, but the country will benefit from a growing
population and large community of workers sending remittances
back and gaining foreign experience.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: By ibarra_svd on flickr

#5 Vietnam

businessinsider.com/fastest-growing-… 2/5
2/03/2011 The 10 Fastest Growing Economies Of…
YoY growth rate: 7.5%

GDP in 2050: $5.0 trillion

Some of Vietnam's many challenges, which include "erratic at

best and poor most of the time" exchange rate and
macroeconometric policies, will be easy to overcome.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: flydime via Fickr

#4 Bangladesh
YoY growth rate: 7.5%

GDP in 2050: $5.0 trillion

Bangladesh is starting out at the bottom with a GDP per capita

that's just 4% of the US, but with recent political stability and a
young population it could get impressive growth rates over the
next decades.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: Wikimedia Commons

#3 Iraq
YoY growth rate: 7.7%

GDP in 2050: $2.2 trillion

Iraq's post-war reconstruction and recovery means it will have an

estimated 11.7% annual growth during the first five years. Over
the next four decades, its working age population should go up
by 143.4% and it has abundant oil and gas resources to draw on
to finance infrastructure investment.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: Wikimedia Commons

#2 India

businessinsider.com/fastest-growing-… 3/5
2/03/2011 The 10 Fastest Growing Economies Of…
YoY growth rate: 8.0%

GDP in 2050: $86 trillion (#1 in the world)

India will be the largest economy in the world by 2050, but it has
to improve its overall infrastructure and extend education to lower
castes as well as females in rural areas.

Projections provided by Citi. GDP in 2050 (PPP) was given by

Citi or estimated using growth rate.

Image: Nataraj Metz via flickr

#1 Nigeria
YoY growth rate: 8.5%

GDP in 2050: $9.5 trillion (#6 in the world)

In four decades, Nigeria's working age population should

increase by 123%, and it has started to exploit its large natural
resource endowments more sustainably. Its private sector has
spawned companies that are expanding to other African regions,
but improvements are need in healthcare to raise the low life
expectancy.

Projections provided by Citi. GDP in 2050 was given by Citi or

estimated using growth rate.

You can probably guess the laggards

The 10 Slowest Growing Economies Of The Next 40 Years >

Image: - reuben - on flickr

Tags: Investing, Features, Emerging Markets, Economy, Citi | Get Alerts for these topics »

Share: Short URL http://read.bi/hpWwyN

Twitter Facebook Buzz Digg StumbleUpon Buzz Reddit LinkedIn Email Embed

Alerts Newsletter

businessinsider.com/fastest-growing-… 4/5
2/03/2011 The 10 Fastest Growing Economies Of…

Citi Blackboard Home »

Edit This »

Summary
Citi is one of the major U.S. financial services companies. Citigroup was created in 1998 after the merge between Citicorp and Travelers.
Citicorp comes from the City Bank of New York, founded in 1812. Citigroup is based in 140... More »

Recent Posts About Citi

The 10 Slowest Growing Economies Of The Next 40 Years
Could 35 Citigroup Clients All Be Wrong?
Citi Gets Tied To The Insider Trading Probe: One Of Its Hedge Funds Made $450,000 From Samir Barai's Trades

Christine Jenkins Writer Recent Posts

Contact: The 12 Most Expensive Piece...
e-mail: cjenkins@businessinsider.com
An Incredible Satellite Tou...
Subscribe to her RSS feed
Now Over One In Four Am eric...

3 Comments Receive email updates on new comments!

Nigerian Banker on Mar 1, 11:10 AM said: 3 0

One of my relatives died and left me large sum of money, if you will accept this sum in USA I will give you 20% of proceeds. Flag as Offensive

Reply

koozy14 on Mar 1, 12:31 PM said: 0 0

@Nigerian Banker: Only if it comes with the Brooklyn Bridge... Flag as Offensive

Reply

gokulramarunasalam on Mar 1, 11:25 AM said: 0 0

Gokulram Arunasalam Flag as Offensive

The greatest asset for India is her demographics - growing young population! If the government gets its act together on the infrastructure front,
there is little stopping India, especially with a vibrant democracy.

Reply

businessinsider.com/fastest-growing-… 5/5