Middle Class Explosion
McKinsey Korea predicted that the amount of people in the middle class would increase from 2 billion to 5 billion between now and 2030, with more than half of the new middle class living in Asian regions close to Korea. “The demand for infrastructure construction is sure to skyrocket in emerging countries, as well as advanced economies with aging infrastructure,” said Choi Won-shik, head of the Korean office of the company, adding, “The global infrastructure market is estimated to grow to US$57 trillion by 2030, and this will be a great opportunity for Korean companies that are capable of building high-quality infrastructure within a short time period.”
The middle class can be defined as households with an annual disposable income of US$5,000 to US$35,000, and purchasing power for manufactured goods and services supplied by global enterprises.
McKinsey advised that China would be at the center of the change. According to the company, the Chinese government is going to pour US$16 trillion between 2013 and 2030 into roads, railroads, ports, airports, power stations, telecom facilities, and other infrastructure. It is also said that the growth of the Internet of Things (IoT) market will boost the expansion of ICT infrastructure, including telecoms and server networks across the world.