By Jay Forte, Contributing Reporter RIO DE JANEIRO, BRAZIL – It has been predicted that Brazil would surpass the United Kingdom as the sixth largest economy in the world by the end of 2011. As of today, The Guardian, Telegraph and Daily Mail all placed the South American giant as number six, behind U.S., China, Japan, Germany, and France. Newspapers The Guardian, Telegraph and Daily Mail all reported Brazil has overtaken the UK as the sixth largest economy, image recreation. The 2008 banking crisis, and the continuing global financial instability and recession are factors for the decline of the United Kingdom according to the The Guardian, which also highlights that South America has grown from exports to China and Asia. In 2010, Brazil was the seventh largest economy in the world after overtaking Italy. The largest country in Latin America’s economy has surged because of vast reserves of natural resources and a rapidly growing, and cash-rich, middle class. During this time the UK struggled with a national debt crisis and lack of bank credit. Citizens of the UK on average have a much higher standard of living than Brazilians still, but the latter’s 203 million population helps drive the GDP. By 2020, Brazil should be moving up the ranking one more slot – as it passes Germany, with an economy that will be larger than any European country. For 2012, the Brazilian Central Bank estimates growth of 3.5 percent, while the finance minister, Guido Mantega, predicts an increase between four percent and five percent. Read more (in Portuguese). * The Rio Times Daily Update is a new feature we are offering to help keep you up-to-date with major news as it happens. 12 Responses to "Brazil Overtakes UK as Sixth Economy: Daily" Nicholas December 27, 2011 at 1:50 AM “Citizens of the UK on average have a much higher standard of living than Brazilians” Nice calculation “on average” but it doesn’t work for the “average” brit that is loosing it’s home, or have his or her mortgage underwater and is strugling to pay for food. Majority of the brits are paying their mortgage with credit cards what won’t last for long. Life is hard in Brazil for the people who live there, but it seems much better than in the late 70’s and 80’s while Brazil has so much room to grow..and not in the UK. the world is changing and it’s that’s they say, it’ the end of the world AS WE KNOW IT. Pingback: Brazil to Have European Living Standards in 10 to 20: Daily Update | The Rio Times | Brazil News doug December 27, 2011 at 3:35 PM The average brit enjoys a health service that will at least look after them well into their old age plus an infrastructure that works! This reminds me of the Life of Brian: What have the Romans ever done for us……….! Lets get real, the UK has education, roads, railways, hospitals, police force etc. Well done Brazil, but now lets see the money spent wisely and more equally, that is the challenge. Dr. Frederick Howard December 27, 2011 at 6:20 PM Very good article – the best line? “…a rapidly growing, and cash-rich, middle class.” This is the measure and strength of a successful democracy. This has all but forgotten in the USA. It isn’t the rich that has created the jobs, it’s the middle class, who with their vast numbers actually buy the goods thereby resulting in the demand for those products. Brazil is doing all the rings that the USA did 50-60years ago. Brazil manufactures goods, depends on internal demand, has more exports than imports. Bravo to both the present and immediate past presidents! They saw the future and thus Brazil is now number 6 in the world! Imagine the IMF calling on Brazil with hat in hand and on bended knee for their monetary support. Yet UK’s drop is the same as happened in the USA with has forgotten the middle class (has continually shrunk in the past 30+ years). It’s true that the UK has fallen because of the world’s economy, and to say that they have a higher standard of living. However, with perseverance, stability and their eye continually on the Brazilian prize, a rapidly growing, and cash-rich, middle class, Brazil will succeed. Pingback: World Cup Team Looks at Domestic Stars | The Rio Times | Brazil News Pingback: Brazil Opens 2012 With Positive Financial Outlook: Daily Update | The Rio Times | Brazil News Michael Shandrick January 24, 2012 at 3:19 PM I agree with Dr. Howard that fostering growth of the middle class is a key step on the path toward economic growth in a democracy. The middle class, however, is still recovering from the flawed economics and corruption of the eight years Lula was in power. But the new government seems to have made a course correction and is back on track to focusing on a tried and true tradition of economic stability and cautious planning. The proof is in the pudding. 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