Over the past thirty years, the Asian continent has undergone rapid transformation. While some Asian economies have flourished, mirroring and competing with the West, many developing nations are steadily ascending towards becoming top global economies.
Below are some of the fastest-growing economies in Asia, as per the projections of the International Monetary Fund.
1. Vietnam
GDP Growth Rate: 6.9%
Vietnam has had a horrifying history of war and conflict, but nowadays Vietnam is on the news because of its unbelievable economic progress. This came as a result of the reform aimed to restructure the centrally planned economy into a socialist oriented market economy.
Now Vietnam is a hub for foreign investment and manufacturing in Southeast Asia. International trade agreements also played a key role in their growth helping the country become a favourite destination to do business in the region.
2. India
GDP Growth Rate: 6.8%
India also came with a lot of struggle and political turmoil in the past, notable changes in the Indian economy started in the 90’s when the country opened up its economy and moved away from the
The Soviet era plan model, the reforms helped the country shift from an agricultural based economy to an industrial and service based one. India’s growth has mostly come with the services of the IT sector in the country with more focus on manufacturing now.
If India is able to overcome most of its challenges it might become a 5 trillion dollar economy in the next 5 years.
3. Bangladesh
GDP Growth Rate: 6.07%
Bangladesh is now one of the fastest growing economies in Asia, born out of war the country has come a long way from its past. This was possible because the government abandoned the nationalization policy and gradually gave scope to private sector participation in the economy.
The country’s garment industry is also a major contributor to its economy, they are the world’s second largest manufacturer of ready made garments. It is projected that the country’s GDP could grow to $800 billion by 2030 if their cards are played well.
4. The Philippines
GDP Growth Rate: 6.0%
The Philippines could join the world’s biggest economies in terms of value in less than 3 decades due to its large young population and fast improving industries. The country has been classified as a newly industrialized country with major contributions from its tourism, agriculture, electronics and electrical sector generating billions of dollars in annual revenue.
However, The service sector overtook the industry sector in terms of GDP, the services sector today employs 56% of the country’s workforce which is more than the agricultural and industrial sectors combined.
The Philippines is currently the most popular business processing outsourcing country. Another source that brings income to the country is remittances which accounts for more than 9% of the country’s GDP.
5. Indonesia
GDP Growth Rate: 5.17%
Indonesia is a country rich in natural resources, they hold large reserves of crude palm oil, coal, gas and copper. In the 2000s they made a lot of money due to the commodity boom in the international market which helped them to recover from the Asian Financial Crisis.
Indonesia also has a young population. This massive population creates a huge demand for consumer goods. It is estimated that by 2030 Indonesia could be the largest economy in Asia after China and India.
In conclusion, Asia remains one of the most dynamic regions globally, improved consumption and investment are boosting recovery in many Asian economies. It is expected that in the coming times the above economies could be the next countries to show a significant influence on the world economy.
