National college of business administration & economics

Name:
Wajeeha Siddiqui
Registration ID:
2173072
Subject:
Money & Banking
Submitted to:
Sir Abdur Rauf
Assignment number:
1
 List of currencies
Country or territory Currency ISO-4217
China Chinese Yuan Renminbi CNY

Canada Canadian dollar CAD

Egypt Egyptian pound EGP

India Indian rupee INR

Italy European euro EUR

Japan Japanese yen JPY

Malaysia Malaysian ringgit MYR

Qatar Qatari riyal QAR

Romania Romanian leu RON

Russia Russian ruble RUB

Seychelles Seychellois rupee SCR

Singapore Singapore dollar SGD

Slovakia European euro EUR

Spain European euro EUR

Sri Lanka Sri Lankan rupee LKR

Sudan Sudanese pound SDG

Sweden Swedish krona SEK

Switzerland Swiss franc CHF

Syria Syrian pound SYP

Turkey Turkish lira TRY

Taiwan New Taiwan dollar TWD

Tajikistan Tajikistani somoni TJS

Tanzania Tanzanian shilling TZS

Thailand Thai baht THB

Uganda Ugandan shilling UGX

Ukraine Ukrainian hryvnia UAH

United Arab Emirates UAE dirham AED

United Kingdom Pound sterling GBP

United States of America United States dollar USD

Uruguay Uruguayan peso UYU

US Virgin Islands (USA) United States dollar USD

Uzbekistan Uzbekistani som UZS

Vietnam Vietnamese dong VND

Yemen Yemeni rial YER

World most important banks

1. Industrial & Commercial Bank of China

This is the largest bank in the world when measured by assets. It has $3.62 trillion in total assets.
The bank’s revenues come in at $134.8 billion. Measured by revenues, this is the fourth largest
bank in the world.
Though this is a commercial bank, it is state-owned. The bank provides loans, financing for
businesses, credit cards, as well as money management for high-net-worth individuals and
companies. The bank also offers money market vehicles, investing opportunities and exchange
and transfer services.
A bank spokesman says that President Trump’s insistence that U.S. companies stop
manufacturing in Mexico could be an opportunity for the Chinese bank. It plans to invest in
Mexico as U.S. firms pull out.

2. China Construction Bank Corp.

This is the second Chinese bank on our top 10 list. It offers corporate banking, which deals with
credit, company e-banking, credit lines and commercial loans. The personal banking segment
offers personal loans, credit cards, deposits and wealth management for individual investors.
The bank also operates a Treasury sector that deals with money markets, debt securities, and
currencies. The China Construction Bank has assets of $2.94 trillion.
On March 29, 2017, the bank announced that its profits have risen by 2.8% during the fourth
quarter. The bank expects its profit margins to shrink in 2017, and plans to improve pricing on
loans.
3. Agricultural Bank of China
This Beijing bank has branches across China, plus London, Tokyo, New York and Sydney,
Australia. Not only is it the third-largest bank on our list, but it is also one of the 10 largest
companies in the world. Agricultural Bank of China is state-owned.
The bank deals with small farmers and large agricultural wholesale companies. It also works
with non-agricultural companies. Its largest growth segment is mid-sized companies. The bank
has assets of $2.82 trillion.
The bank reported a fourth-quarter increase in profits of 1.8%, even though its profit margins
have been shrinking. Profits in U.S. dollars was $ $26.7 billion.

4. Bank of China
The Bank of China offers investment banking, insurance and investing services. It also provides
personal loans, credit card services, debit cards, mortgages, asset and liability management and
insurance. Assets total $2.63 trillion.
In April of 2017, the bank sold bonds denominated in four currencies. The sale took place on one
day and resulted in $3 billion in capital for the bank. In its latest profit report, the Bank of China
reported a 3.7% drop.

5. HSBC Holdings (HSBC)

This is a bank based in England. The bank has offices in 80 countries, and has 1,800 locations in
the U.K. It provides private banking and consumer finance, along with corporate banking and
investment services. HSBC has $2.57 trillion in assets.

6. JPMorgan Chase & Co. (JPM)

This is the first bank on the list that is based in the United States. It is based in New York, but it
is a multinational bank.
Though it is ranked sixth-largest in the world, it is the largest bank in the United States. It is
involved in investment services, asset management, wealth management and securities. Assets
total $2.45 trillion.
As of April 23, 2017, Shepherd Financial Partners has purchased 51,950 shares of JP Morgan
stock worth $3,128,000. The analyst consensus for a one-year target price is $91.35 per share.
The stock currently trades at $84.52.
7. BNP Paribas
This French bank has assets of $2.4 trillion. It has offices in 75 countries, including the United
States. This bank was ranked second among banks in the euro zone in 2016.
The analyst consensus on the stock of BNP Paribas is a “buy.” The bank is merging its research
teams and expects to cut some analyst jobs in 2017.
The company announced on April 5, 2017 that it had sold its shares in the Dakota Pipeline. The
sale was worth $120 million.

8. Mitsubishi UFJ Financial Group

This is a Japanese bank that offers consumer banking, as well as business and private banking.
This is also an investment bank. It offers asset management and real estate banking. Mitsubishi
UFJ Financial Group has assets worth $2.459 trillion.
Assets for the bank total $2,901.34 billion. State Street Corp. increased its holdings in this bank
by 18.6%. This is the second largest public company in Japan. The stock trades at $6.92 as of
this writing, Analysts have placed a target price of $7.48 per share. It pays a dividend of 2.63%.

9. Bank of America (BAC)

Bank of America is a U.S. bank that offers services for personal banking, small businesses, mid-
sized businesses, and large corporations. It offers investment services in addition to its deposit
and checking accounts. The bank has nearly 5,000 retail outlets, with assets topping $2.15
trillion.
The stock currently trades at $22.71 and has a one-year target price of $ 25.63. It pays a dividend
of 1.32%. The bank’s revenues have dropped slightly over the past three years. On April 18,
2017, the bank reported a 46% rise in earnings per share.
Bank of America has begun pursuing small businesses and is making more loan money available
to them. Its small business program includes putting staff in We Work offices where small
businesses operate.

10. Credit Agricole Group

This is the second French bank on the list. It has assets of $1.91 trillion. This bank has a history
of working with farmers. It is part of a network of 39 French banks.
The bank raised its holding in the DEO group by 87.6% as of April 20, 2017. It also invested in
Coca-Cola (KO), Exxon Mobile (XOM), and Abercrombie and Fitch.
In February of 2017, the company reported it had a 67% drop in its fourth-quarter profits due to
mortgage refinancing by its customers. However, revenues rose by 7%. Forbes ranks the
company as one of the world’s top 20 most sustainable companies.

The World's Top 20 Economies

The different phases of economic cycles toss economies around the world. However, it’s
interesting to see that these top economies don't budge easily from the positions they hold. When
compared to the top 20 economies of 1980, 17 are still present on the list which means only three
new entrants. In addition to the key players remaining almost the same, the analysis reveals these
economies are the engine of growth, commanding majority of the global wealth. The nominal
GDP of the top 10 economies adds up to about 67% of the world’s economy, while the top 20
economies contribute almost 81%. The remaining 172 countries together constitute less than
one-fifth to the world’s economy.
 Nominal GDP = gross domestic product, current prices, U.S. dollars
 GDP based on PPP = gross domestic product based on purchasing-power-parity (PPP)
valuation of country GDP, current international dollar)
 Gross domestic product per capita, current prices, U.S. dollars

1. United States
Nominal GDP: $19.39 trillion
GDP (PPP): $19.39 trillion
The U.S. has retained its position of being the world’s largest economy since 1871. The size of
the U.S. economy was at $19.39 trillion in 2017 in nominal terms and is expected to reach
$20.41 trillion in 2018. The U.S. is often dubbed as an economic superpower and that's because
the economy constitutes almost a quarter of the global economy backed by advanced
infrastructure, technology, and abundance of natural resources. While the U.S. economy is
service-oriented, contributing almost 80% its GDP, it's manufacturing merely contributes about
15% of its output.
When the economies are assessed in terms of purchasing power parity, the U.S. loses its top spot
to its close competitor China. In 2017, the U.S. economy, in terms of GDP (PPP) was at $19.39
trillion while the Chinese economy was measured at $23.16 trillion. The gap between the size of
the two economies in terms of nominal GDP is expected to lessen by 2023; the U.S. economy is
projected to grow to $24.53 trillion by 2023 followed closely by China at $21.57 trillion.

2. China
Nominal GDP: $12.01 trillion
GDP (PPP): $23.15 trillion
China has experienced exponential growth over the past few decades, breaking the barriers of a
centrally planned, closed economy to evolve into a manufacturing and exporting hub of the
world. China is often referred to as the "world’s factory" given its huge manufacturing and
export base. However, over the years, the role of services has gradually increased and that of
manufacturing as a contributor to GDP has declined relatively. Back in 1980, China was the
seventh-largest economy with a GDP of $305.35 billion while the size of the U.S. then was $2.86
trillion. Since it initiated market reforms in 1978, the Asian giant has seen an economic growth
averaging 10% annually. In recent years, the pace of growth has slowed although it remains high
in comparison to its peer nations.
The World Bank reported a spurt in China’s economic growth in 2017 for the first time since
2010, mainly driven by a cyclical rebound in global trade. It projects a growth at 6.6% in 2018
which would sober down to around 5.5% by 2023. Over the years, the difference in the size of
the Chinese and the U.S. economy has been shrinking rapidly. In 2017, the Chinese GDP in
nominal terms stood at $12.01 trillion, lower than the U.S. by $7.37 trillion. In 2018, the gap is
expected to reduce to $6.32 trillion and by 2023 the difference would be of $2.96 trillion. In
terms of GDP in PPP, China is the largest economy with a GDP (PPP) of $23.15 trillion. By
2023, China GDP (PPP) would be $37.06 trillion. China’s huge population brings down its GDP
per capita to $8,643.11 (seventy-second position).

3. Japan
Nominal GDP: $4.87 trillion
GDP (PPP): $5.42 trillion
Japan is the third-largest economy in the world with a GDP of $4.87 trillion in 2017. The
economy is expected to cross the $5 trillion mark in 2018. The financial crisis of 2008 rocked the
Japanese economy and it’s been a challenging time for its economy since then. The global crisis
triggered recession followed by weak domestic demand and huge public debt. When the
economy was beginning to recover, it suffered a massive earthquake which hit the country
socially and economically. While the economy has broken the deflationary spiral, economic
growth remains muted.
Its economy will get some stimulus with the 2020 Olympics which keep the investment flow
strong which is backed by a lax monetary policy by the Bank of Japan. The nominal GDP of
Japan is $4.87 trillion which is expected to move up to $5.16 trillion in 2018. Japan slips to the
fourth spot when GDP is measured in terms of PPP; GDP (PPP) was $5.42 billion in 2017 while
its GDP per capita was $38,439.52 (25th spot).

4. Germany
Nominal GDP: $3.68 trillion
GDP (PPP): $4.17 trillion
Germany is not just Europe’s largest economy but also the strongest. On the global scale, it is the
fourth-largest economy in terms of nominal GDP with a $3.68 trillion GDP. The size of its GDP
in terms of purchasing power parity is $4.17 trillion while its GDP per capita is $44,549.69 (17th
place). Germany was the third-largest economy in nominal terms in 1980 with a GDP of $850.47
billion.
The nation has been dependent upon capital good exports which suffered a setback post-financial
crisis of 2008. The economy grew by 1.9% and 2.5% in 2016 and 2017 respectively. However,
IMF has revised growth downwards to 2.2% and 2.1% respectively in 2019 and 2020 given the
threat of rising protectionism and Brexit. To revise its manufacturing strength in the current
global scenario, Germany has launched Industrie 4.0 — its strategic initiative to establish the
country as a lead market and provider of advanced manufacturing solutions.

5. United Kingdom
Nominal GDP: $2.62 trillion
GDP (PPP): $2.91 trillion
The United Kingdom, with a $2.62 trillion GDP is the fifth-largest economy in the world. When
compared in terms of GDP PPP, UK slips to the ninth spot with a GDP (PPP) of $2.91 trillion. It
ranks 23rd in terms of GDP per capita which is $39,734.59. Its nominal GDP is estimated at
$2.96 trillion during 2018, but its ranking is expected to slide to the seventh spot by 2023 with a
GDP of $3.47 trillion.
Starting from 1992 till 2008, the economy of the UK witnessed an uptrend in each quarter.
However, it witnessed a decline in its output for consecutive five quarters starting April 2008.
The economy shrunk by 6% during these five quarters (between the first quarter of 2008 and the
second quarter of 2009) and eventually took five years to grow back to the pre-recession levels,
according to data from the Office of National Statistics. The economy of the UK is primarily
driven by the services sector which contributes more than 75% of GDP with manufacturing, the
second prominent segment followed by agriculture. Although agriculture is not a major
contributor to its GDP, 60% of the U.K.’s food needs are produced domestically, even though
less than 2% of its labor force is employed in the sector.

6. India
Nominal GDP: $2.61 trillion
GDP (PPP): $9.45 trillion
India is the fastest-growing trillion-dollar economy in the world and the sixth-largest with a
nominal GDP of $2.61 trillion. India is poised to become the fifth-largest economy overtaking
the United Kingdom by 2019 as per the IMF projection. The country ranks third when GDP is
compared in terms of purchasing power parity at $9.45 trillion. When it comes to calculating
GDP per capita, India’s high population drags its nominal GDP per capita down to $1,982. The
Indian economy was just $189.438 billion in 1980, ranking 13th on the list globally. India’s
growth rate is expected to rise from 6.7% in 2017 to 7.3% in 2018 and 7.5% in 2019, as drags
from the currency exchange initiative and the introduction of the goods and services tax fade
according to IMF.
India’s post-independence journey began as an agrarian nation, however, over the years
manufacturing and services sector have emerged strongly. Today, its service sector is the fastest-
growing sector in the world, contributing to more than 60% to its economy and accounting for
28% of employment. Manufacturing remains as one of its crucial sectors and is being given due
push via the governments' initiatives such as “Make in India”. Although the contribution of its
agricultural sector has declined to around 17%, it still is way higher in comparison to the western
nations. The economy’s strength lies in a limited dependence on exports, high saving rates,
favorable demographics, and a rising middle class.

7. France
Nominal GDP: $2.58 trillion
GDP (PPP): $2.83 trillion
France, the most-visited country in the world and is the third-largest economy of Europe and the
seventh-largest in the world with a nominal GDP of $2.58 trillion. Its GDP in terms of
purchasing power parity is around $2.83 trillion. The country offers a high standard of living to
its people as reflected in its GDP per capita of $44,549. In recent years, the economic growth has
slowed resulting in unemployment which has placed immense pressure on the government to
reboot the economy. The World Bank has recorded unemployment rates at 10% during 2014,
2015 and 2016. During 2017, it declined to 9.681%.
In addition to tourism which remains very important for its economy, France is a leading
agricultural producer, accounting for about one-third of all agricultural land within the European
Union. France is the world’s sixth-largest agricultural producer and the second-largest
agricultural exporter, after the United States. The manufacturing sector is majorly dominated by
the chemical industry, automotive and armament industry. The economy has grown by 2.3%
during 2017 and is expected to grow at 1.8% and 1.7% during 2018 and 2019 as per IMF.

8. Brazil
Nominal GDP: $2.05 trillion
GDP (PPP): $3.24 trillion
Brazil is the largest and most populous nation in Latin America. With a nominal GDP of $2.05
trillion, Brazil is the eighth-largest economy in the world. The nation which had been riding on
the commodity wave suffered multiple setbacks with the end of the commodity supercycle in
addition to internal problems of corruption and political uncertainty which dampened the
investment and business environment.
During the period 2006-10, the nation grew at an average 4.5%, moderating to around 2.8%
around 2011-13. By the year 2014, it was barely growing at 0.1%. In 2016, Brazil contracted by
3.5% before rebounding by 1% in 2017. IMF projects the economy the economic growth to
revive to 2.5% by 2019. Brazil is a part of the BRICS along with Russia, India, China and South
Africa. The country has a GDP (PPP) of $3.24 trillion and a GDP per capita of $9,681.

9. Italy
Nominal GDP: $1.93 trillion
GDP (PPP): $2.31 trillion
With a nominal GDP of $1.93 trillion, Italy is the world’s ninth-largest economy. Its economy is
expected to expand to $2.5 trillion by 2023. In terms of GDP (PPP), its economy is worth $2.31
trillion and a per capita GDP of $31,984. Italy—a prominent member of the Eurozone and has
been facing deep political and economic chaos. Its unemployment rate continues to be in double-
digits while its public debt remains sticky at around 132% of GDP. On the positive side, exports
and business investment are driving the economic recovery. The economy clocked 0.9% and
1.5% in 2016 and 2017 respectively. It is projected to edge down to 1.2% in 2018 and 1.0% in
2019.

10. Canada
Nominal GDP: $1.65 trillion
GDP (PPP): $1.76 trillion
Canada displaced Russia to take the 10th spot in 2015 and has retained its position since then.
Canada's nominal GDP is currently at $1.65 trillion and is expected to touch $1.79 trillion in
2018 and $2.43 trillion by 2023. Its per capita GDP of $45,077 is ranked 20th globally while its
GDP of $1.76 trillion in terms of PPP pulls it down to the 17th spot. The country has contained
the level of unemployment and is likely to further shrink. While services are the major sector,
manufacturing is the cornerstone of is economy with 68% of its exports constituting of
merchandise exports. Canada is laying a lot of emphasis on manufacturing which is crucial to its
future economic growth. Canada registered a growth of 3% in 2017 vis-à-vis 1.4% in 2016 and is
expected to grow at 2% during 2018 and 2019.
11. South Korea
Nominal GDP: $1.53 trillion
GDP (PPP): $2.02 trillion
The South Korean economy known for conglomerates such as Samsung and Hyundai, is the 11th
largest economy in the world with a nominal GDP of $1.53 trillion. The country has made
incredible progress in the past couple of decades to establish itself as a high-tech industrialized
nation.
South Korea over the past four decades has demonstrated incredible economic growth and global
integration to become a high-tech industrialized economy. During the 1960’s its GDP per capita
was among the poorer countries in the world which is now at the 29th spot with $29,981. Its
GDP (PPP) is at $2.02 trillion. South Korea entered the trillion-dollar club in 2004 propelled by
international trade and industrialization. It is among the top exporters in the world and presents
great investment opportunities reflected in its ease of doing business ranking.

12. Russia
Nominal GDP: $1.52 trillion
GDP (PPP): $4.01 trillion
Russia, the largest country in the world in terms of landmass is the 12th-largest economy in the
world with a nominal GDP of $1.52 trillion. Russia moves up the ladder to the sixth spot for
rankings with a $4.01 trillion GDP based on PPP.
The 1990’s were a rough period for its economy since it inherited a devastated industrial and
agricultural sector along with the fundamentals of a centrally planned economy. During the next
decade Russia witnessed growth at a healthy pace of 7%, however, this growth was led by the
commodity boom. The dependence of the Russian economy on oil was exposed during the 2008-
09 global financial crisis and eventually again in 2014. The situation worsened with the
imposition of sanctions by the West. The economy contracted by 0.2% in 2016, however, it
rebounded with a 1.5% growth in 2017. IMF projects a growth of 1.7% and 1.5% during 2018
and 2019 respectively.

13. Australia
Nominal GDP: $1.38 trillion
GDP (PPP): $1.24 trillion
Australia is the 13th-largest economy with a nominal GDP of $1.38 trillion. The economy has
grown at a healthy pace for the past two decades on the back of low unemployment, low public
debt and inflation, robust exports, a strong service sector and a stable financial system. Given
that Australia is a rich land in natural resources—and a major exporter of energy, natural
resources and food. In terms of different sectors of its economy, agriculture and industry
contribute about 4% and 26% each while its service sector which engages 75% of its employed
population contributes 70% to its GDP. It is estimated that the economy of Australia will be
close to the $2 trillion mark by 2023 and its GDP based on PPP which is currently at $1.24
trillion will be nearing $1.65 trillion during the same time period. Australia ranks 11th on the
measure in terms of GDP per capita with $55,707 per capita GDP in 2017.

14. Spain
Nominal GDP: $1.31 trillion
GDP (PPP): $1.77 trillion
The $1.3 trillion Spanish economy is the 14th-largest in the world. Post-Brexit, Spain is the
fourth-largest economy in the Eurozone. The country with a population of 46.6 million has
witnessed a long recessionary period (second quarter of 2008 till the third quarter of 2013) and is
slowing returning to health on the back of record tourism and exports along with a revival in
domestic consumption.
Spain replaced United Kingdom to become the second most visited country in the world with a
huge influx of inbound tourists. In terms of sectors, agriculture has traditionally played a crucial
role, however, with time the contribution of the sector has fallen to about 3%. The country
remains a major exporter of olive oil, pork, and wine. Some of the prominent industrial sectors
are automobiles, chemicals, pharmaceuticals, industrial machinery. The economy grew 3.1% in
2017 and is expected to edge down to 2.8% and 2.2% in 2018 and 2019 respectively.
15. Mexico
Nominal GDP: $1.15 trillion
GDP (PPP): $2.45 trillion
Mexico, the second-largest economy in Latin America is the 15th-largest economy in the world
with a GDP (nominal) of $1.15 trillion while its GDP in terms of PPP is $2.45 trillion. The same
is expected to touch $1.58 trillion and $3.26 trillion respectively by 2023. Back in 1980, Mexico
was the 10th-largest economy with a nominal GDP of $228.6 billion. The economy expanded by
2.9% and 2% during 2016 and 2017. Over the next two years, IMF projects a growth of 2.3%
and 2.7% respectively. The share of agriculture in Mexican economy has remained under 4%
over the last two decades while its industry and services contribute around 33% and 63% to its
output. Automotive, oil and electronics are among the developed industries while financial
services and tourism are prominent contributors within services.
16. Indonesia
Nominal GDP: $1.01 trillion
GDP (PPP): $3.24 trillion
Indonesia is the largest economy in Southeast Asia and the 16th-largest on the global map. The
Indonesian economy has shown tremendous progress over the last two decades. It was a victim
of the Asian financial crisis in 1997, however, it has charted impressive growth ever since. The
economy is now a part of trillion-dollar club with a nominal GDP of $1.01 trillion. The World
Bank cites its enormous progress on poverty reduction— “cutting the poverty rate to more than
half since 1999, to 10.9% in 2016.” Its GDP per capita at $3,875 is way higher than $857 in
2000. Indonesia, the fourth most populous nation is the seventh-largest economy with a $3.24
trillion GDP in terms of purchasing power parity. Among sectors, agriculture contributes about
14% to its GDP while industry and services add approximately 43% each to its output.

17. Turkey
Nominal GDP: $849.48 billion
GDP (PPP): $2.17 trillion
Turkey with its 849.48 billion economy is the 17th-largest economy in the world. The share of
Turkey’s middle-class increased from 18% to 41% of the population between 1993 and 2010,
according to the World Bank and country joined the upper-middle income group in the late
2000’s.
The economy is projected to join the trillion-dollar club by 2020 while its GDP (PPP) will reach
$3.05 trillion by 2023. Between 1960 and 2012, Turkey’s average annual GDP growth was
4.5%. The economy has been growing at an impressive pace since the 2000, driven by both
industry and services. The economy witnessed macroeconomic and fiscal stability while its
employment and income levels witnessed an increase. While the economy registered a 7.4%
growth in 2017, however, it is projected to soften to 4.2% in 2018 amid a rising external debt,
depreciating currency, rising inflation, and unemployment.

18. Netherlands
Nominal GDP: $849.48 billion
GDP (PPP): $2.17 trillion
The Netherlands, the sixth largest economy in the European Union is the 18th-largest economy
in the world. Back in 1980, Netherlands was the twelfth largest economy globally with a GDP of
$189.49 billion. Today, the country has a nominal GDP of $825.745 billion and a GDP (PPP) of
$916.07 billion. It ranks 13th on the basis of per capita income with GDP per capita of 48,345.
The economy is backed by abundant natural resources, booming tourism and sound industries
such as food processing, chemicals, electrical machinery and petroleum refining. The
Netherlands can boast of highly mechanized, highly productive agricultural sector which makes
it among the top agricultural exporters globally. Despite its small nation, Netherlands is a major
player in the world's trade.

19. Saudi Arabia

Nominal GDP: $683.82 billion
GDP (PPP): $1.77 trillion
Saudi Arabia is predominantly an oil-based economy. The country possesses around 18% of the
world’s proven petroleum reserves. It ranks as the largest exporter of petroleum with oil and gas
sector accounting for about 50% of its GDP and 70% of export earnings. Saudi Arabia is rich in
other natural resources like natural gas, iron ore, gold, and copper. The economy showed
recovery from the oil shock in 2016 with a 1.7% growth. In 2017, it incurred huge budget deficit
financed by foreign reserves and bond sales. The country is looking to bolster its non-oil
economy to diversify its economy and tackle the problem of unemployment. In 2017, its nominal
GDP was $683.82 billion while its GDP based on PPP was $1.77 trillion. The economy which
slumped by 0.9% in 2017 is expected to grow by 1.9% in 2018 and 2019.

20. Switzerland
Nominal GDP: $678.57 billion
GDP (PPP): $517.17 billion
Switzerland, one of the most stable market economies in the world. It is the twentieth largest
economy in the world with a nominal GDP of $678.57 billion. The country offers a very high
standard of living for its people represented by the GDP per capita of $80,590, only behind
Luxembourg. Switzerland has a booming tourism industry and a strong financial sector.
Switzerland has a long tradition of industry, especially the clock and watches industry and
pharmaceuticals. Agriculture only contributes about 1% to its GDP. The country has a highly
skilled workforce and low unemployment (3%). The country’s economy benefits from its stable
political system, sound infrastructure, and favorable tax rates. In recent years, its growth rate has
hovered between 1-1.5%.