US lags behind as China becomes richest nation in the world

Beijing: China has become world’s richest nation as the global wealth tripled over the last two decades making China overtake the United States for the top spot, a report in Bloomberg revealed.

According to Bloomberg's report, China accounted for almost one-third of gains in global net worth over the past two decades.

A report by McKinsey & Co. that examines the national balance sheets of ten countries representing more than 60 per cent of the world's income.

The report states that the world’s net worth rose to an unprecedented $514 trillion in 2020, from an earlier net worth of $156 trillion in 2000, with China taking the largest single share: nearly one-third of the world’s income. More than two-thirds of the wealth of the global wealth is possessed by 10% of the elite in the world, the report added.

As per a report in Bloomberg, 68% of the global net wealth can be attributed to real estate.

Nearly two decades ago, China spurred its economic progress after it joined the World Trade Organization.

The US saw its net wealth go up to over $90 trillion, however, with more muted increases in property prices.

In March, an economist predicted the U.S. will remain wealthier than China for the next 50 years or more — long after the Asian economy is expected to overtake the U.S. to become the world’s largest.