Improved economic conditions in Mexico, Indonesia, South Korea and Turkey are prompting analysts to take a closer look.
In 2001, economist Jim O’Neill came up with the catch-all term “BRIC” to describe the economies of Brazil, Russia, India and China. Investors and pundits initially scoffed at his premise that these countries would emerge as pillars of the 21st-century economy. No one is laughing now. They have emerged as global economic powerhouses and captivated investors.
Now O’Neill has set his sights on the next tier of large emerging economies. He has coined the term “MIST,” for Mexico, Indonesia, South Korea and Turkey. All four have large populations, account for more than 1% of global GDP and have fast-growing markets for consumer goods and services. Although just getting started, they may be considered as future growth markets. O’Neill cautions, however, that while countries can lay claim to being growth markets, none have the same growth potential as the original BRICs.