How many rich countries are in South America? There are plenty of rich nations in South America but we’ll only discuss the top 10. These countries have some of the most amazing natural features on earth and a good number of inhabitants that enjoy them.
However, as far as these South American countries are concerned, it can be a bit tumultuous to sum up their wealth.
A helpful indicator is Gross Domestic Product (GDP) per capita based on Purchasing Power Parity (PPP), which takes into account the cost of living and inflation rates around the world.
These are the wealthiest countries in South America as of today, ranked from wealthiest to poorest.
Uruguay, $17,313
An agricultural sector focused on exports, an educated labour population, and substantial social spending are all characteristics of Uruguay’s economy. Uruguay serves as a regional centre for both international finance and tourism. Tourism and banking are two other significant areas.
The nation has a history of protecting improved workers’ rights, and at the start of the 20th century, both unions and the eight-hour workday were preserved.
Chile, $16,265
With a GDP per capita of $ 16,265 as of 2023, Chile has a sound economic foundation supported by strong market-oriented policies. Its vast natural resources account for a substantial share of its economic power.
The largest copper producer in the world is Chile, with the state-owned company CODELCO taking the lead since its founding in 1976.
With a significant impact on the GDP of Chile, copper exports have long been a vital part of the country’s economy.
Along with having a thriving mining industry, Chile also has a thriving agricultural sector that produces a variety of products, including wine, fruit, and fishery products. With their exports to markets around the world, the Maule and O’Higgins regions have earned a reputation for producing fine wine.
Venezuela, $15,975
In Venezuela, the petroleum industry, which accounts for over a third of GDP, almost 80% of exports, and more than half of government income, dominates the market-based mixed economy. According to estimates, the world’s 109th-ranked nation had a per capita GDP of $15,100 in 2016.
Due to strong consumer price subsidies, Venezuela has the cheapest petrol prices globally. Two-thirds of Venezuela’s economy is controlled by the private sector.
Heavy industrial products including steel, aluminium, and cement are produced and exported by Venezuela, with the majority of the country’s output occurring in and around Ciudad Guayana, close to the Guri Dam.
Vehicles, electronics, beverages, and food products are among the other notable products manufactured. 10% of the workforce, 3% of Venezuela’s GDP, and at least a quarter of its land area are all devoted to agriculture.
Argentina, $10,636
Argentina’s economic policies have been reoriented over time with a focus on bolstering indigenous sectors, improving infrastructure, and assuring sustainable prosperity.
It has the third-largest economy in Latin America in terms of size. But there are economic difficulties. The nation is still struggling with inflation, budget deficits, and foreign debt.
With big global corporations like Toyota, Ford, and Volkswagen operating sizeable production plants in the country, Argentina is currently the third-largest auto producer in Latin America.
Additionally, the agriculture industry considerably boosts the country’s GDP being the third-largest exporter of soybeans and maize in the globe.
Brazil, $7,507
Several important industries, especially those in agriculture, industry, and services, have had a substantial impact on the performance of the Brazilian economy.
China and the United States are the country’s two main trading partners, and the agricultural sector, known for its massive production of goods like sugar, coffee, and soybeans, continues to be a significant contributor to exports.
With well-known corporations like Embraer and Volkswagen Brazil, the industrial sector, especially the automotive and aviation industries, is very important internationally.
The main contributor to Brazil’s GDP, the services sector, has likewise experienced constant growth. With the help of investments in Sao Paulo and Rio de Janeiro, technology-driven industries like FinTech, digital services, and IT outsourcing have been expanding.
Peru, $6,621
According to the World Bank’s classification, Peru has an upper-middle-income economy that is in the process of developing and is distinguished by a high level of foreign commerce.
Several free trade agreements have been struck by Peru and its major trading partners. Following the signing of the China-Peru Free Trade Agreement on April 28, 2009, China became the country’s largest commercial partner.
Copper, gold, zinc, textiles, chemicals, pharmaceuticals, goods made with machines, services, fish meal, and other manufactured goods are Peru’s top exports. China, Brazil, the European Union, Chile, and the United States are the nation’s top trading partners.
Colombia, $6,104
At the moment, the main economic contributors to Colombia are the energy, textiles, food processing, and finance industries. Manufacturing is aided by the textile industry, which is represented by firms like Arturo Calle and Leonisa.
Also contributing to the country’s wealth is Ecopetrol, the state-owned petroleum business, which continues to be centred on the oil industry.
Colombia is also the third-largest producer of coffee beans in the world, and since 1927, the National Federation of Coffee Growers of Colombia has been in charge of managing the sector.
Ecuador, $5,965
With a GDP per Capita of $5,965, Oil exports, the sale of prawns, bananas, gold, and other key agricultural products, as well as money transfers from Ecuadorian emigrants working abroad, are the cornerstones of Ecuador’s economy. 2.7% of the nation’s GDP in 2017 came from remittances.
The key industries that dominated Ecuador’s economy in the past included aquaculture, petroleum, and agriculture. The nation has experienced economic growth in various areas, including textiles, processed food, metallurgy, and the service industries, as a result of changes in global market trends and technological advancements.
The country has an abundance of resources, including mangroves and eucalyptus trees that can be used as timber.
Paraguay, $5,891
The agricultural sector of Paraguay’s economy, which was the most developed in South America, had a significant impact on the performance of almost all other economic sectors.
Agriculture-related items play a significant role in the market economy of Paraguay. Increased agricultural exports, particularly of soybeans, have helped Paraguay’s economy expand in recent years.
Additionally, having a young population and a large hydroelectric resource base benefits Paraguay’s economy. The limited mineral resources and unstable political climate are some of its drawbacks. The administration is open to foreign investment. All in all, the country has mostly benefited from the food, beverage, and tobacco subsector.
Suriname, $4,869
Suriname is number 10 among the wealthy nations in South America.
Aluminium oxide and a little amount of aluminium made from locally mined bauxite were the two main exports that supported the majority of Suriname’s economy. The economy was dependent on the export of crude oil and gold once Alcoa left.
In Suriname, rice, a staple grain, is grown on more than half of the country’s arable land. Every year, there are two rice harvests: the primary one in the spring and a secondary crop in the autumn. Bananas, citrus fruits, coconuts, palm oil, and some grains are also exported.
Despite having once been significant export commodities, sugar, coffee, and cocoa are now primarily produced for domestic use.
The service sector, which employs more people than any other sector overall, employs about two-fifths of the population. The country’s environmental qualities are the focal point of tourism, which only started to emerge in the early 21st century.
Conclusion
With 17,313 dollars per person in 2023, Uruguay had the highest gross national income per capita in all of South America. Based on current rates, Chile came in second place, recording a GNI per capita of $16,265 per person.
