According to a recently released PWC report available on most top British & European Newspapers and Tabloids, The UK economy will be overtaken by Nigeria and Mexico by 2050 as the country currently sitting among the Top Ten economies in the World may be displaced by these emerging economies given the current GDP growth rate of the country.
The UK’s economy’s will lag behind emerging markets, as its GDP growth rate falls from 2.3 per cent in 2014 to around 1.8 per cent in 2050, the report attributes an aging population and slothfulness among the countries workers as reason for the decline in the UK’s productivity.
Nigeria currently the 39th strongest Economy in the World under President Jonathan’s government in terms of GDP, Vietnam and the Philippines have high projected average growth rates of around 4.5-5.5 per cent per year until 2050. Malaysia is also projected to grow at around 4 per cent, which is higher than China’s projected average growth rate of around 3.5 per cent.
By 2050, according to a World Bank, Goldman Sachs study it is believed that if this current growth rate is maintained, Mexico will have become the Eight biggest economy in the world, and Nigeria the 13th by 2050. Turkey, Vietnam, Colombia, Poland and Malaysia are also slated to be the fast-growing large economies in the years taking us up to the middle of the century.
John Hawksworth, PwC’s chief economist, said: “Europe needs to up its game if it’s not to be left behind by this historic shift of global economic power, which is moving us back to the kind of Asian-led world economy last seen before the Industrial Revolution. The US may hold up better, provided it can remain at the global technological frontier, and the UK could also perform well by G7 standards if it remains open to trade, investment, people and ideas.”
However, while it is easy to cite mammoth growth for emerging markets, PwC did state that for these economies to realise their full potential, their respective governments would need to pursue and maintain sensible economic policies.