A research report by the UK-based Standard Chartered Bank showed that by 2030, seven out of the ten largest economies in the world will be those that we now call emerging or developing economies. It also predicts that China will become the biggest economy in the world, double the size of USA's by 2030 and India's economy will be 30 percent bigger than that of the USA.
The report suggests that the countries from Asia, South America and Africa that are infamously known for their large populations living on low income will dominate the global economy in the future. Unlikely names like Egypt, Indonesia and Russia would surpass the now reigning strong countries like Japan and Germany.
The BRIC members stand strong due to their large middle-class population that is driven by urbanisation and education. Standard Chartered forecast also adds to the fact that the middle-class population is on the verge of becoming the world's largest demographic group by 2020.
"Our long-term growth forecasts are underpinned by one key principle: countries' share of world GDP should eventually converge with their share of the world's population, driven by the convergence of per-capita GDP between advanced and emerging economies,'' the report said.
By 2020, India's GDP is projected to grow by 7.8 percent while China's will naturally moderate to 5 percent by 2030, given the size of its economy.
Asia's share of global GDP rose to 28 percent in 2018 from 20 percent in 2010 and is likely to reach 35 percent by 2030, matching that of the European Union and US combined.
"We continue to expect Asia, led by China, to power global growth. Seven of the top 10 economies in 2030 will likely be current emerging markets. We estimate that India and Indonesia will join China in the top five."
The projected top 10 economies in the world by 2030 are:
Expected GDP: USD 6.9 trillion
Expected GDP: USD 7.2 trillion
Expected GDP: USD 7.9 trillion
Expected GDP: USD 8.2 trillion
Expected GDP: USD 8.6 trillion
Expected GDP: USD 9.1 trillion
Expected GDP: USD 10.1 trillion
Expected GDP: USD 31 trillion
Expected GDP: USD 46.3 trillion
Expected GDP: USD 64.2 trillion