News >> VIP – what’s in a new acronym?

VIP – what’s in a new acronym?

Vietnam, Indonesia and Philippines (VIP) are the most promising markets for investors and exporters in 2016.

Brazil, Russia, India and China, known as the BRIC bloc of nations, has long been the focus of global multi-nationals. VIP countries — Vietnam, Indonesia, and Philippines — are getting the attention that the BRICs have received in recent years. The three South-East Asian countries have large populations and high GDP growth levels.

In a column for Bloomberg View, the Goldman Sachs economist Jim O'Neill, who coined the acronym BRICS in 2001, discussed Indonesia’s economy: ‘Over the years I’ve become accustomed to being told that the BRIC countries should include Indonesia. Wasn’t Indonesia’s economic potential more compelling than Russia’s? Despite the size of its relatively young population (a tremendous asset), I thought it unlikely that Indonesia would do enough on the economic-policy front to quickly realize that potential. Now, meeting a diverse group of Indonesians — from the leading candidates for the 2014 presidential elections to shoppers in Jakarta’s busy malls — I found a healthy preoccupation with the country’s economic prospects’. With its large population, Indonesia will be ranked seventh in GDP by 2050. With 255 million people, Indonesia is the world's fourth most populous country after China, India, and the United States and the world's third most populous democratic country after India and the United States. Together with Vietnam’s 90 million and Philippines’ 102 million population, the VIP countries make a promising market for technology exports, not necessary Western.

All acronyms were coined in an effort to condense a collection of high-potential economies into a headline-grabbing buzzword, and whether it was intended or not, some of these acronyms can phonetically be linked with positive concepts: ‘BRICS’ could be associated with ‘strong’, ‘solid’ or ‘robust’, while to many, ‘MINT’ will imply a degree of freshness. The more recently-created acronym MINT economies stands for Mexico, Indonesia, Nigeria and Turkey. The latter, The term was originally coined by Fidelity. Investments, a Boston-based asset management firm, and was popularized by Jim O'Neill of Goldman Sachs, who had created the term BRIC.