Emerging Asia Set to Economically Outperform to 2050: While recent commentary has been focused on China’s post-COVID recovery in the short term, the long-term picture looks unequivocal. According to the research, there are five key… abrdn emergingasia
By 2050, four of the world’s seven largest economies will be in Asia. China looks set to overtake the US as the world’s largest economy by 2035 and India could take fourth place by the early 2030s, according to the abrdn Research Institute .
For example, income levels are still relatively low in many Asian countries, there is still massive potential for workers to move out of agriculture and into more productive manufacturing and service jobs, and many Asian firms have yet to reap the efficiencies of technology and industry-leading processes to boost productivity. The whole of Asia could account for almost half of the global economy – an increase from 35 percent today.Emerging Asia can still benefit from a demographic dividend.
China’s consumer market is already 50 percent the size of that of the US. By 2050, aRI predicts it could be almost 10 percent larger at $25 trillion. India’s consumer market is also set to grow fourfold over the next 30 years - overall, Emerging Asia is predicted to more than double its consumption - by comparison, Euro area consumption is only expected to grow 18 percent over the same period.