A report by PriceWaterhouse Coopers predicts that by 2050 the Indonesian economy will have grown to almost 20% the size of the US economy. Well, GNFI is sure, Indonesia economy can grow as much as 25-27% of US economy sometimes in 2035. That is gonna be a quantum leap for this country. Currently Indonesian GDP is 7% the size of the world giant America in purchasing power parity terms and 2% in current exchange rate terms.
Indonesia is included in a group called E7 which also is comprised of China, India, Brazil, Russia, Mexico and Turkey, the big guns of the developing world. By 2050,the report says, the E7 economies will have outstripped the current G7 (US, Japan, Germany, UK, France, Italy and Canada) “by between 25% when comparing GDP using market exchange rates to around 75% when using purchasing power parity (PPP) exchange rates”.
Indonesia, along with Mexico, is also predicted to have eclipsed both Germany and the UK by 2050 even at market exchange rates terms.
In per capita terms GDP, currently at $3,702 according , is thought likely to grow to $23,686 by 2050, the second lowest of all the countries measured, just above India, and some way behind China.
Year on year GDP growth from 2005-2050 is given at 7.3% in US$ terms, 4.8% in rupiah terms, and 4.2% at per capita PPP terms. Whichever way it is measured these growth rates would see Indonesia just behind India, and just ahead of China, in ranking terms.
The ranking of projected real growth in GDP and income per capita: 2005-50 (%pa) is predicted to be like this respectively :
India, Indonesia, China, Turkey, Brazil, Mexico, Russia, South Korea, Canada, Australia, US, Spain, UK, France, Italy, Germany, Japan, with Indonesia’s income per capita will grow 4.2 p.a (India will be 4.3, and China 3.8).
The summary of economic shift is predicted to be this way :
- The Brazilian economy would be of similar size to that of Japan by 2050 at market exchange rates and slightly larger in PPP terms, but still only around 20-25% of the size of the US economy;
- Indonesia and Mexico would also grow relatively rapidly, being larger than either Germany or the UK by 2050 (even at market exchange rates);
- Russia would grow significantly more slowly due to its projected sharply declining working age population, but would still be of similar size to France by 2050 at either market exchange rates or PPPs; and
- Turkey would grow more strongly due to its younger population, being of similar size to Italy by 2050 at both market exchange rates and in PPP terms.
Population
China and Russia are expected to experience significant declines in their working age populations between 2005 and 2050, in contrast to relatively younger countries such as India, Indonesia, Brazil, Turkey and Mexico, whose working age populations should on average show positive growth over this period, although they too will have begun to see the effects of aging by the middle of the century.
So, if I still find a pessimistic Indonesian around, I’ll punch him good.
Read the report here : http://www.pwc.com/en_GX/gx/world-2050/pdf/world2050emergingeconomies.pdf
Popularity: 18% [?]
Niki
9 months ago
ok…i hope proverty and unemployement rate will decrease. Exchange rate will be increase, soon (as it’s been ups and downs for weeks. It’s better now but don’t know). Let’s not waiting until 2050…let’s start it now…
irfan
9 months ago
41years is very long periode, it means. Eight ellections and eight president after SBY government
esumpelo
9 months ago
nice…
I hope it comes true. let’s work and see
and I hope I still alive when it comes
MK
8 months ago
In Turkey, says society typically (in negative situations): Where is the government? Instead of saying what WE could do. I have never heard the same in DK or any Europian country. I elaborate more, instead of taking the fight themselves, they expect help from the government, which the goverment still would not do anything, therefore they don’t come forward in anything. I think personally that this article is a fake promotion. It’s written as a kind of notice to the G7 countries as the E7 countries can’t strengthen itself, because it would be done through the G7 countries, although the E7 countries could start on it.
Ciremai
1 day ago
i think a GDP per capita of USD 15,000 could be achieved in in 2018 or 2019, than we will be in the row of high income country.