China overtakes the USA to become the world's richest country
From $156 trillion in 2000 to $514 trillion in 2020, the world's net worth rose at an unprecedented rate.
China has taken over the United States of America to become the world's richest nation. As per the reports, the global wealth has tripled over the last two decades and, China is leading the way.
After analysing the national balance sheet of 10 different countries by the research arm of consultants at McKinsey & Co., the results hint that it comprises 60% of world income. From $156 trillion in 2000 to $514 trillion in 2020, the world's net worth rose at an unprecedented rate, and China holds the largest single share that is nearly one-third of the world's income.
Reportedly, Jan Mischke, a partner in McKinsey Global Institute in Zurich, said that the world is now wealthier than it ever was. Even though China and US are the world's largest economies, the lion's share is held by the richest 10% of households and, the reports suggest that they are only getting richer. The report also says that the world's 68% of global net worth is tied up in real estate including machinery, equipment, infrastructure and small intangible goods like patents and intellectual property.
Financial assets like corporate bonds are not included in the global wealth assessment. The increasing prices of properties have gone beyond the global gross domestic product (GDP) due to declining interest rates.