A look at the emerging markets which will shine over the next decade
The world is truly a small place when it comes to ‘our’ performance on a global level. No matter how many nations we have on the globe and how differently the events take place in all of them, whatever happens at one place, makes a change in the global scenario.
Financial markets provide a good example of one such scenario. In the past decades, as we are climbing the ladder up, we have seen how financial markets have become one of the most integral part of any economy. These markets are not only helping the companies listed in trade for funds, but also help the economies progress and make their spots in the global run for being the best!
And the way each company’s or an organization’s performance has an impact on the financial market of a particular nation, the same way, how a particular market performs leaves an impression on the global picture. We have seen in the past how events such as the Brexit, Elections in US etc. have caused rigorous changes on the global upfront, to an extent of throwing up companies out of the race forever.
Now, talking about what’s in store for the future, we try nothing but to predict what can happen. Whether we are going to soar high or else it will be a downfall. To have an idea and be prepared for the consequences, analysts often look up to the past, to see what can be expected and done. In this case, we try to place our hopes on nations that we expect are going to yield golden fruits on the financial front, while taking care of those that might prove to be hurdles in our race.
Looking at the best prospects for the future, China, undoubtedly leads the case. The way the economy has transformed itself from a centrally planned one to an export hub is overwhelming. And needless to say, it has almost overtaken the world’s biggest economy – The United States in terms of growth and progress. It is like a spiral taking place in here, where each element of growth has an impact on the other aspects of the nation. As per a survey, the country offers the best business opportunities for the coming decade, owing to its strong performance standards and the improvement plans framed so far. High yields, more number of companies, an efficient system of fund flow and a stabilized structure of commodity prices clearly gives it an edge over all other nations.
The next on our list is Vietnam, the 47th largest economy in the world. Apart from the spectacular improvement and progress that the nation has shown in the past decades, the most interesting part in the history of the nation has been its fight with inflation. Inflation: a disease that has caught almost every economy in the world. Vietnam is one nation that experienced hyperinflation in its early years, from 1987 to 2000. Clearly, the country was in a big mess that time. However, it proudly came out, when in 2008, the inflation, though stood at a high rate of 20.3%, was almost 160% times lower than that in 1988! And since then, it’s almost like it has never looked back. Currently, the nation is the most favoured and the most look forward to by foreign companies for mergers and acquisitions to get an entry into the market and make profitable agreements.
Another most promising option on our list is Turkey. It is one of the most developed nations in the world and a huge emerging market economy. It is also defined by economists and analysts as one of the world’s newly industrialised nations. Turkey is also among the world’s leading producers of some of the most essential goods and services. Not only is the country doing well, but its government is also taking all the steps it can to retain the position it has gained on the global front. In 2009, the Turkish govt. introduced various economic changes to reduce the impact of the global financial crisis on the country and the effect of this move was clearly visible in the shot up levels of production seen thereafter.
The Mexican economy is another example on our list. Mexico is the 13th largest economy in the world and has been trying since decades to improve its macroeconomic measures to retain its strength and power on the global platform. The economy has an unprecedented stability to it which have resulted in huge improvements in its per capital income, with reduced inflation and interest rates. The country has an export oriented economy and this is one of the major reasons how the country’s collaboration with other nations leads to a stronger financial market. Another interesting part about Mexico is that its labour force is ranked as the hardest working force in the world, in terms of the amount of hours worked. Currently, the Mexican govt. is working on improving its tourism sector which is also expected to give the market a huge boost. However, we are a bit concerned with the developments in US which are not in favour of Mexico.
Which other countries do you think should be on our list and why? Do comment below..
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