Over the next 50 years, Brazil, Russia, India and China – the BRICs economies – could become a much larger force in the world economy. We map out GDP growth, income per capita and currency movements in the BRICs economies until 2050.
The results are startling. If things go right, in less than 40 years, the BRICs economies together could be larger than the G6 in US dollar terms. By 2025 they could account for over half the size of the G6. Of the current G6, only the US and Japan may be among the six largest economies in US dollar terms in 2050.
The list of the world’s ten largest economies may look quite different in 2050. The largest economies in the world (by GDP) may no longer be the richest (by income per capita), making strategic choices for firms more complex.
We are also told that India has the greatest long-term potential for growth over the next thirty to fifty years.
From Goldman-Sachs, click here to get the whole study.
My take: These numbers are very speculative. Don’t assign them any predictive weight, but the article does outline one possible scenario. Don’t forget, circa 1960 or so, many economists were picking Ceylon (Sri Lanka) and the Philippines as the next big winners.
Thanks to Bart Oosterveld for the pointer to the piece.