Strongest national economies in 2019 - part 1
- by Anna K.
We all know major currencies. And we all know major players in the markets. But as everything that we know and see is tied to the international economic relations and to the state of each economy separately. And the larger the economy is the larger its impact on international situation is going to be.
So it is time for us to look at the largest and best-to-pay-attention-to economies of the world.
5. United Kingdom.
Obvious first place is occupied by US economy. Even despite political turmoil and the future harmful impact of trade tariffs upon the economy for the moment USA have the biggest and the most successful economy in the world. In 2019 the GDP forecast is predicted to exceed $21 trillion.
Right now US economy stands for 20 percent of the global output. And even China cannot compete with these numbers. More than a fifth of companies on the Fortune Global 500 are coming from the United States.
Even though it is not clear for how long the USA can stand up against the Chinese economy it is clear that for the time-being the first spot is going to be firmly reserved for the USA and USA only.
Well of course, a close second. Although not so close that Americans would be really threatened by them – the Chinese.
Main phenomenon of China is not the size of its economy and not astonishing GDP numbers of $9.2 trillion – the real phenomenon of China is the speed of development and growth of its economy. Economic reforms of 1978 allowed China to become world’s first production hub. And this tendency doesn’t seem to stop there any time soon. We are bound to see the growth developing further and further.
Here we should note – even despite very difficult international position at the moment all of the experts predict the same thing – by 2030 we are going to see China surpass the USA and proudly occupy the first place of the world’s largest economies. So right now might be the best time to invest into Chinese economy!
The size of this Asian country might be very deceiving after all. The small island doesn’t really look as if it can carry the load of the world’s third largest economy. But knowing all of the technical and economic nuances of the country we can easily say – we believe the development of Japanese economy at this rate.
$5.2 trillion GDP easily places Japan behind such giant as USA and China. That means that with time Japanese economy can pose a real threat to the status of USA and China. And may I remind you that after the crisis of 2008 Japan has fallen from grace. That means that if there had been no crisis on the first place we would see a much stronger Japanese economy than we are seeing today.
Yes-yes. The country that can single-handedly change and influence the performance of the most popular currency couple – EUR/USD is only ranking 4th in terms of the size and strength of its economy. Even though it is not that low, still, we would expect it to be higher on the list, right?
German GDP is predicted to reach $4.2 trillion this year. Which is all thanks to the unbelievable recovery that the country has gone thought after 2008 recession. But still – recent reports show that it is not strong enough to support euro all on its own.
Plus, it seems that something is taking a toll on the national numbers as every next report shows numbers worse that in the previous one. Will that lead to economic catastrophe sooner or later? It might, but not just now.
5. United Kingdom.
Even despite all of the Brexit deal-no deal, despite all of the controversy surrounding royals of the Great Britain and all of the scandals that might come out about the UK on the international arena traders still prefer to stick with the GBP despite it all.
We are looking at 5th strongest economy of the world. And even though there are questions like how did UK reach this status and will it be able to maintain its $3.2 trillion GDP for a long time UK still proudly stands in its place.
Although trading in GBP may very soon become dangerous – after all Brexit should have happened already and there is no expert in the field who can say what is going to happen to the British currency after the divorce between the two sides is finished.