The 25 Best Frontier Markets For Investors

Lucas Kawa

In its March edition, Bloomberg Markets Magazine ranks the top 25 frontier markets for investors.

Frontier markets could also be termed ‘pre-emerging’ markets. These countries are distinguished by capital markets that are underdeveloped compared to emerging markets.

The scoring system the magazine used indicates that, by and large, these frontier markets are more desirable investment destinations than their emerging market counterparts.

Bloomberg Markets used a variety of criteria to rank these countries, from government debt to labour force participation ratios.

We present their list of the most attractive frontier markets for investors. Along with each country’s total score, we’ve included GDP growth, average annual inflation, and government debt-to-GDP ratio projections from 2013 to 2017, as well as a ranking of how easy it is to conduct business in the nation.

The list is dominated by African and Asian nations, though a few European and South American countries also made the cut.

25. Nigeria

Total Score: 54.2

GDP Growth,
2013-2017: 24.5%

Inflation Rate: 7.7%

Gov't Debt As
% of GDP: 15.1%

Ease of Doing
Business, Rank: 131

Source: Bloomberg Markets

24. Slovenia

Total Score: 55.8

GDP Growth,
2013-2017: 16.3%

Inflation Rate: 1.9%

Gov't Debt As
% of GDP: 58.6%

Ease of Doing
Business, Rank: 35

Source: Bloomberg Markets

23. Lebanon

Total Score: 56.6

GDP Growth,
2013-2017: 19.1%

Inflation Rate: 2.7%

Gov't Debt As
% of GDP: 136.0%

Ease of Doing
Business, Rank: 115

Source: Bloomberg Markets

22. Kenya

Total Score: 58.1

GDP Growth,
2013-2017: 21.8%

Inflation Rate: 5.2%

Gov't Debt As
% of GDP: 44.9%

Ease of Doing
Business, Rank: 121

Source: Bloomberg Markets

21. Trinidad and Tobago

Total Score: 58.3

GDP Growth,
2013-2017: 18.3%

Inflation Rate: 4.5%

Gov't Debt As
% of GDP: 40.2%

Ease of Doing
Business, Rank: 69

Source: Bloomberg Markets

20. Argentina

Total Score: 59.8

GDP Growth,
2013-2017: 19.8%

Inflation Rate: 9.8%

Gov't Debt As
% of GDP: 41.5%

Ease of Doing
Business, Rank: 124

Source: Bloomberg Markets

19. Jordan

Total Score: 60.4

GDP Growth,
2013-2017: 16.2%

Inflation Rate: 3.3%

Gov't Debt As
% of GDP: 77.1%

Ease of Doing
Business, Rank: 106

Source: Bloomberg Markets

18. Croatia

Total Score: 60.6

GDP Growth,
2013-2017: 16.6%

Inflation Rate: 3.0%

Gov't Debt As
% of GDP: 60.8%

Ease of Doing
Business, Rank: 84

Source: Bloomberg Markets

17. Oman

Total Score: 61.4

GDP Growth,
2013-2017: 8.9%

Inflation Rate: 3.0%

Gov't Debt As
% of GDP: 9.4%

Ease of Doing
Business, Rank: 47

Source: Bloomberg Markets

16. Bosnia Herzegovina

Total Score: 61.9

GDP Growth,
2013-2017: 24.1%

Inflation Rate: 2.3%

Gov't Debt As
% of GDP: 36.2%

Ease of Doing
Business, Rank: 126

Source: Bloomberg Markets

15. Ghana

Total Score: 62.0

GDP Growth,
2013-2017: 30.0%

Inflation Rate: 8.7%

Gov't Debt As
% of GDP: 37.5%

Ease of Doing
Business, Rank: 64

Source: Bloomberg Markets

14. Ukraine

Total Score: 62.1

GDP Growth,
2013-2017: 25.6%

Inflation Rate: 5.6%

Gov't Debt As
% of GDP: 35.0%

Ease of Doing
Business, Rank: 137

Source: Bloomberg Markets

13. Kuwait

Total Score: 64.0

GDP Growth,
2013-2017: 11.2%

Inflation Rate: 4.0%

Gov't Debt As
% of GDP: 6.5%

Ease of Doing
Business, Rank: 82

Source: Bloomberg Markets

12. Bahrain

Total Score: 65.1%

GDP Growth,
2013-2017: 10.3%

Inflation Rate: 2.1%

Gov't Debt As
% of GDP: 47.5%

Ease of Doing
Business, Rank: 42

Source: Bloomberg Markets

11. Tunisia

Total Score: 65.6

GDP Growth,
2013-2017: 26.0%

Inflation Rate: 3.6%

Gov't Debt As
% of GDP: 50.0%

Ease of Doing
Business, Rank: 50

Source: Bloomberg Markets

10. Qatar

Total Score: 67.4

GDP Growth,
2013-2017: 16.8%

Inflation Rate: 3.6%

Gov't Debt As
% of GDP: 29.2%

Ease of Doing
Business, Rank: 40

Source: Bloomberg Markets

9. Lithuania

Total Score: 67.8

GDP Growth,
2013-2017: 26.5%

Inflation Rate: 2.4%

Gov't Debt As
% of GDP: 40.5%

Ease of Doing
Business, Rank: 27

Source: Bloomberg Markets

8. United Arab Emirates

Total Score: 69.0

GDP Growth,
2013-2017: 9.2%

Inflation Rate: 1.9%

Gov't Debt As
% of GDP: 16.8%

Ease of Doing
Business, Rank: 26

Source: Bloomberg Markets

7. Botswana

Total Score: 69.4

GDP Growth,
2013-2017: 21.4%

Inflation Rate: 5.8%

Gov't Debt As
% of GDP: 10.6%

Ease of Doing
Business, Rank: 59

Source: Bloomberg Markets

6. Romania

Total Score: 69.6

GDP Growth,
2013-2017: 23.3%

Inflation Rate: 2.9%

Gov't Debt As
% of GDP: 32.9%

Ease of Doing
Business, Rank: 72

Source: Bloomberg Markets

5. Saudi Arabia

Total Score: 70.0

GDP Growth,
2013-2017: 16.4%

Inflation Rate: 4.1%

Gov't Debt As
% of GDP: 5.0%

Ease of Doing
Business, Rank: 22

Source: Bloomberg Markets

4. Bulgaria

Total Score: 71.2

GDP Growth,
2013-2017: 27.1%

Inflation Rate: 2.8%

Gov't Debt As
% of GDP: 15.0%

Ease of Doing
Business, Rank: 66

Source: Bloomberg Markets

3. Kazakhstan

Total Score: 72.3

GDP Growth,
2013-2017: 36.0%

Inflation Rate: 6.3%

Gov't Debt As
% of GDP: 11.0%

Ease of Doing
Business, Rank: 49

Source: Bloomberg Markets

2. Estonia

Total Score: 73.9

GDP Growth,
2013-2017: 24.0%

Inflation Rate: 2.9%

Gov't Debt As
% of GDP: 8.7%

Ease of Doing
Business, Rank: 21

Source: Bloomberg Markets

1. Vietnam

Total Score: 75.9

GDP Growth,
2013-2017: 33.8%

Inflation Rate: 5.3%

Gov't Debt As
% of GDP: 50.4%

Ease of Doing
Business, Rank: 99

Source: Bloomberg Markets

Maybe you want something a little more established?

These Are The 22 Most Attractive Emerging Markets For Investors>

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