As the majority of the world's population continues to gather in cities, the majority of our global wealth is also concentrating there. And that wealth is heavily concentrated in few global cities. Or as our own Richard Florida would say: Global wealth is spiky. A new report from McKinsey Global Institute says that the top 600 global urban centers (based on GDP) account for more than half of the world's GDP. By 2025 that number is expected to jump to 60 percent.
MGI put together a handy infographic to compare GDP in the top 600 between 2007 number and their projected 2025 GDP. You can also explore population shifts and filter the information by city size. (Click here or on the image below to explore the infographic.)
In the report, MGI predicts that by 2025, the top 600 urban areas will continue to be powerful, but they will shift considerably to cities global East and South. According to the report:
Today, major urban areas in developed-regions are, without doubt, economic giants. Half of global GDP in 2007 came from 380 cities in developed-regions, with more than 20 percent of global GDP coming from 190 North American cities alone. The 220 largest cities in developing-regions contributed another 10 percent.
But by 2025, one-third of these developed-market cities will no longer make the top 600; and one out of every 20 cities in emerging-markets is likely to see its rank drop out of the top 600. By 2025, 136 new cities are expected to enter the top 600, all of them from the developing world and overwhelmingly—100 new cities—from China.
Here are some more jaw-dropping statistics from the report:
- 22 percent of the world's population lives in the top 600 cities
- The top 600 cities generated $30 trillion in GDP in 2007
- Top 100 cities generated 38 percent of global GDP in 2007
- In 2025, top 600 cities will generate $64 trillion in global GDP
- In 2025, 2 billion people will live in the top 600 cities
Top image: Flickr/cuellar