London will grow faster than New York over the next 15 years as the British capital will benefit more from the growth of the global economy, according to a report by the British economic institute Oxford Economics.
London’s economy is expected to grow by an average of 2.9 percent annually until 2030, faster than New York’s economy, which will grow by an average of 2.6 percent annually, according to forecasts released on Monday by the consulting firm Oxford Economics.
– Global prospects provide a unique opportunity to reap the benefits of growth wherever it occurs, states Richard Holt, head of global city research at Oxford Economics.
According to him, London is among the “most flexible cities” in the world, where other sectors grow on the wings of the success of the banking and financial sector. New York, on the other hand, will see the largest increase in consumption on a global scale. Among European cities, only Paris has secured its place on the list of the ten fastest growing cities in the world, with a projected annual growth rate of 1.7 percent during the same period.
Shanghai topped the list with an economic growth rate of 5.2 percent annually.
The report also highlights that economic power is gradually shifting eastward as the population of Chinese cities grows and labor productivity surpasses that of Europe.
By 2030, eight European cities will fall off the list of the 50 leading global cities by gross domestic product (GDP), while nine new Chinese cities will enter, bringing the total number of Chinese cities on the list to 17. The research also showed that smaller cities, such as those in Africa and India, are expected to grow faster than larger ones, such as Tokyo, by 2030.
