PwC, making the forecast in its latest report titled: “The world in 2050: Will the shift in global economic power continue?” reported that China will be the largest economy by 2030, while India may challenge the United States for second place by 2050 even as it predicted that the emerging economies of Nigeria, Indonesia and Mexico could push the UK and France out of the top ten economies of the world by the year.
The firm, however, tied Nigeria’s and other countries’ growth level to the extent to which their governments are able to build their institutions to global standards, diversify their economies and sustained growth-friendly policies.
PwC Nigeria’s Chief Economist and co-author, Andrew S. Nevin, explained: “Nigeria’s potential advantages for future growth include a large consumer market, a strategic geographic location, and a young and highly entrepreneurial population.
“With drop in oil pric, which could thwart this possibility as a result of the attendant pressure on fiscal policy, Nigeria will need to manage the oil price decline effectively at all levels of government and create a sustainable platform for diversification into the sectors.
“We are all aware of the significant headwinds created by the rapid drop in the oil price, putting pressure on the fiscal and monetary systems, as well as reducing economic growth in the short term.
“To achieve its longterm economic potential, Nigeria will need to manage the oil price decline effectively at all levels of government and create a sustainable platform for diversification into the sectors that we know will drive the economy in the future – including power, agriculture, manufacturing, telecoms, hospitality and real estate,” he added.
The report further stated that Philippines, Vietnam and Malaysia are set to be notable risers with Colombia and Poland growing more strongly by 2050 than Brazil and Russia.