The World’s Middle Class in 2030
The world’s expanding middle class is a trend we think about a great deal as we consider the growth prospects of various businesses that fall within our circle of competence. The world is in for a sea change in terms of both the size and location of the world’s middle class.
For the first time in history, a truly global middle class is emerging. By 2030, it will more than double in size, from 2 billion today to 4.9 billion. Brookings Institution scholar Homi Kharas estimates that the European and American middle classes will shrink from 50 percent of the total to just 22 percent. Rapid growth in China, India, Indonesia, Vietnam, Thailand, and Malaysia will cause Asia’s share of the new middle to more than double from its current 30%. By 2030, Asia will host 64% of the global middle class and account for over 40% of global middle-class consumption.