India Growing Twice as Fast as China

0
India Growing Twice as Fast as China

Watch the video with Andrew Stotz or read a summary below. This post focuses on economic and population basics of five select markets in Asia.

Special Offer: Valuation Master Class

Short-Seller Spruce Point Highlights Its Latest Canadian Consumer Short: Saputo

InvestReputed short-seller Spruce Point Capital Management released its latest short report this week. The firm is shorting Canadian dairy and grocery manufacturer Saputo. Spruce Point chief Ben Axler believes the company is entering a phase of declining growth and highlights the financial stress and growing challenges he sees it facing, not only in Canada but Read More

Majority of Countries in Asia Have Room to Grow GDP per Capita before Their Populations’ Age

Tiny Singapore and Hong Kong have the highest per capita GDP

  • China’s per capita GDP is impressive given size
  • India has opportunity to expand per capita GDP for decades
  • Indonesia, Pakistan, and Bangladesh have big population

India Growing Twice as Fast as China

India, Indonesia, Pakistan

  • India is growing twice as fast as China
  • Above average growth in Afghanistan, Pakistan, and the Philippines
  • Korea and Thailand have the slowest growth
  • In Japan, population is shrinking

Youth Will Soon Drive India, Indonesia, Pakistan, and the Philippines. Lost Youth in Thailand

India, Indonesia, Pakistan

  • China has the largest labor force, but India has more young people about to join
  • Japan has the largest percentage of old folks
  • Relatively rich Korea, Hong Kong, and Singapore are all facing aging population
  • Less rich Thailand is at risk

India, Pakistan, and the Philippines Have an Abundance of Youth

India, Indonesia, Pakistan

  • Thailand and Vietnam now have the largest share of the population in working age
  • However, India, Pakistan, and the Philippines have a large share of young dependents to join the labor force in the future

Thailand and Vietnam Are Facing Aging Population

India, Indonesia, Pakistan

  • Thailand and Vietnam are getting old, but not rich
  • Unlike Japan which got rich and then old, moving its per capita GDP to a recent USD39,000
  • Thailand only recently hit USD6,000, while Vietnam is at USD2,200

Banking Issues Faced by Both India and Pakistan with about a 10% NPL Ratio

India, Indonesia, Pakistan

  • Philippine banking sector is in the best shape
  • High, but stable non-performing loans in Pakistan
  • India’s bad loans are rising fast

Only Thailand Is a Major Exporter

India, Indonesia, Pakistan

The Philippines has recently become very dependent on imports and has not matched that with exports or re-exports of imported products

Inflation and Unemployment Rate Are Very Low in Thailand

India, Indonesia, Pakistan

  • Thailand has very low inflation and unemployment rate, Vietnam has low as well
  • India has the highest inflation at almost 5%
  • Pakistan and the Philippines have relatively high unemployment
In 1992 Dr. Andrew Stotz, CFA, left a management career at Pepsi-Cola in California to teach finance in Thailand. In 1993, he found his life calling as a financial analyst, a job for which he was eventually voted #1 in Thailand. In the second half of his 20-year career in investment banking, Dr. Stotz was a Head of Research, leading teams of financial analysts. He served as a two-term president of CFA Society Thailand and now runs his firm, A. Stotz Investment Research, which provides research and tools for institutions and high-net-worth investors and helps CEOs make their companies financially world class.
Previous article Getting Ready For A Trade War
Next article Booth – Why are stock returns lower under Republicans?

No posts to display