GDP mask

The annual ritual of ranking the world's largest economies, a spectacle orchestrated by institutions like the International Monetary Fund (IMF), is a captivating performance. Yet, beneath the surface of these rankings lies a complex and often contradictory reality. While the US basks in the glow of its economic might, undercurrents of inequality, infrastructure decay, and political polarization threaten to undermine its long-term prosperity. China's meteoric rise is undeniable, but its growth model, reliant on exports and investment, has exhibited signs of strain. Europe, once the epicentre of global finance, grapples with its own set of challenges, burdened by debt and sluggish growth.

Emerging economies, such as India, Brazil, and Indonesia, hold the promise of future economic leadership. However, realizing this potential requires overcoming formidable obstacles. India, despite its strengths, faces infrastructure bottlenecks, corruption, and inequality. Brazil, rich in natural resources, has struggled with political instability and economic volatility. A high GDP per-capita may also mask deep-rooted social and economic disparities. Moreover, economic growth, if not managed carefully, can lead to environmental degradation and social unrest. Sustainable development should be the ultimate goal.

Majid Burfat

Karachi