25 Most Powerful Countries in the World in 2023
In this article, we look at the 25 most powerful countries in the world in 2023. To skip our detailed analysis of the global power dynamics, you can head to the 10 Most Powerful Countries in the World in 2023.
A vital lesson the war in Ukraine has illustrated is what the world could look like without American involvement, and what it looks like when Washington flexes its unmatched power. This is not to provide validation to the invasions of Iraq and Afghanistan, but a Ukraine left on its own support would have quickly succumbed to Russian advances, with Putin’s forces handing out punishments to members of the Ukrainian resistance.
Instead, we are seeing President Zelenskyy named by Time magazine as the 2022 Person of the Year for defending Ukraine and asserting its identity on the global stage. In addition to the resilience of the Ukrainians to fight invasion, Kyiv’s fightback has been significantly made possible by American support in all spheres of power. The United States’ intelligence agencies had warned of a potential invasion from Russia months in advance, which enabled Ukraine to plan effective offensives and strikes against Russian targets.
The Biden administration has provided Ukraine with HIMARS missiles which have proven to be instrumental in repelling Moscow’s assault. The Ukrainian military has used these missiles made by Lockheed Martin Corporation (NYSE:LMT) to hit multiple Russian ammunition depots and command posts. Of the $61 billion devoted by the U.S. Congress in 2022 to arm Ukraine, $631 million were awarded to Lockheed Martin Corporation (NYSE:LMT) to manufacture new HIMARS for Kyiv. In addition to this, the U.S., in January 2023, announced it would also send Ukraine 31 M1 Abrams tanks worth $400 million. These are produced by General Dynamics Corporation (NYSE:GD).
The situation in Ukraine has forced European countries to aggressively increase their arms procurement, which is likely to boost financial statements of various armament manufacturers. Germany's lower house of parliament approved a defense fund of over $100 billion in June 2022. You can read more on this in our list of the strongest countries in Europe by military power. This was followed by a 10 billion euros worth deal in December with Lockheed Martin Corporation (NYSE:LMT) for its F-35 fighter jets. The U.S. is also providing military support to allies in the European Union. In August 2022, General Dynamics Corporation (NYSE:GD) received an order from the American army to deliver 250 M1A2 SEPv3 Abrams battle tanks to Poland, costing $1.15 billion.
The conflict has also shown the influence of America’s global alliance network. According to a report in February this year, a total of 46 countries had placed economic sanctions on Russia and at least 40 had provided military, financial or humanitarian support to Ukraine following Washington’s call. The sanctions appear to be working as well, with Russian president Vladimir Putin admitting that they could hurt his country’s economy. Research also concludes that economic sanctions can lead to 55% of achievement in foreign policy objectives (complete, partial and negotiated).
On the corporate front, following the invasion of Ukraine in 2022, over 500 companies announced pulling out of or curtailing their operations in Russia amid investors' pressure. This included giants like Apple Inc. (NASDAQ:AAPL), Dell Technologies Inc. (NYSE:DELL) and Microsoft Corporation (NASDAQ:MSFT), among others. You can read more about how investors in the equity market influenced it in our list of the most ethical companies in the US.
Compared to a year ago, the Russian government’s revenues are down 35%, while expenditure is up by 59%. The World Bank and the Organization for Economic Co-operation and Development have both projected contractions in the Russian economy.
Russia’s woes in Ukraine with the United States turning the tide without being directly involved in the military conflict demonstrates that military strength alone does not translate into a nation’s power. There are other dimensions as well, such as economic strength, and political and cultural influence which when paired together can prove far more decisive.
Geoeconomics in the 21st Century
There is little doubt that economic power defines the 21st century. A growing number of countries have begun using economic tools as means to advance geopolitical interests, in what is a concept known as geoeconomics. China, for instance, in 2010, banned exports of vital earth minerals to Japan that are used in manufacturing hybrid cars in a dispute over Tokyo’s detention of a Chinese fishing trawler captain. Moreover, the country is said to "reward" African countries that vote with it in the United Nations, with financial aids and investments.
Retaliating to western sanctions, Russia in September 2022, cut off gas exports to Europe through its Nord Stream 1 pipeline, a key artery that flows directly into Germany and accounted for nearly 35% of all Russian gas supplies to Europe in 2021. The Kremlin has also invested heavily in the annexed region of Crimea, offering financial incentives to win the support of the local population.
The United States and its western allies have also led efforts to halt Iran’s nuclear ambitions through sanctions that are mainly aimed at reducing Iranian energy exports. In March this year, the U.S. sanctioned one Vietnamese, two Chinese, and two Emirati companies for their roles in trading Iranian oil and petrochemicals.
The Most Powerful Countries in 2050
According to a report by PwC, the world will be strikingly different in 2050 from how it is today. The global economy is projected to double in size, with the U.S. and Europe losing ground to China and India. Economic power is likely to shift to the Emerging 7, or E7 economies, which in 1995, were half the size of the advanced G7 economies. By 2015, both were relatively equal in size. In 2040 and onwards, E7 economies could be double the size of G7. Relatively smaller economies like Nigeria, Vietnam, and the Philippines are also expected to experience huge leaps in their economic rankings over the next 25 years.
The United States is the undisputed superpower currently, but by 2050, the world order is likely to turn multipolar, with China and India having a greater role in shaping global affairs. China is tipped to become the largest economy in the world, holding a 20% share of the world’s GDP in terms of purchasing power parity. So its safe to say that China will be economically the most powerful country in the world in 2050. China is also expanding its political and economic influence in other regions of the world, while the US is receding. You can read more about China's growing footprint in Africa in our list of the Most Politically Influential Countries in the World.
India will claim second spot, overtaking the United States which will fall to third position. Indonesia, Brazil, Mexico, and Nigeria are other countries that are likely to grow in power. Economic strength is expected to reflect in military power as well. Chinese President Xi Jinping has already made clear his ambitions of setting the People’s Liberation Army (PLA) on track to become the world’s strongest military by 2050.
However, challenges await countries like China and India in their quest to become the so-called superpowers in 2050. Analysts believe that to become prosperous countries with high standards of living like the United States and the European world, both China and India will require to develop their social infrastructure – healthcare and education, especially.
Methodology
We have used four metrics as determinants of national power to rank the most powerful countries in the world. These are economic strength, military strength, political influence, and cultural influence. For our analysis, we assigned 40% weightage to economic strength, 30% to military strength, 20% to political influence, and 10% to cultural influence. Economic strength received a higher weight due to the fact that a strong economy is positively correlated to the other three metrics. A country that is economically strong will have political influence, can raise a strong military, and also promote its culture around the world.
Gross Domestic Product (GDP) of countries has been considered to gauge economic strength. Data has been obtained from a 2021 report released by the World Bank. For military strength, we have referred to the 25 Most Powerful Militaries in the World in 2023. Brand Finance’s Global Soft Power Index 2023 (which ranks countries’ soft power on a scale of 1-100) has been used to determine political influence. Lastly, for cultural influence, we have followed the same methodology as in our list of the most culturally influential countries in the world.
Here are the most powerful countries:
25. Norway
Economic Strength Ranking: 28
Military Strength Ranking: 35
Political Influence Ranking: 17
Cultural Influence Ranking: 30
We start the list with Norway, one of the strongest economies in Europe with a GDP of $482 billion. It also has the fourth highest GNI per capita in the world. Much of the country’s wealth comes from its energy exports. In 2022, oil giant Equinor ASA (NYSE:EQNR) recorded profits worth nearly $76 billion, up from $39.4 billion in the previous year. Norway is also ranked 35th on military strength in the Global Firepower Index 2023.
24. Mexico
Economic Strength Ranking: 15
Military Strength Ranking: 31
Political Influence Ranking: 44
Cultural Influence Ranking: 28
Mexico is the 15th largest economy in the world in terms of GDP and a major exporter in the Latin America region. It has a growing cultural influence in North America, in particular the United States, where close to 12% of the population comprises Mexican Americans. The country’s cuisines, such as tacos and burritos, are also widely popular around the world. Over 18 million tourists visited Mexico in 2022, which is testament to the country’s soft power in the world.
23. United Arab Emirates
Economic Strength Ranking: 33
Military Strength Ranking: 34
Political Influence Ranking: 10
Cultural Influence Ranking: 13
The United Arab Emirates (UAE) ranks among the top politically influential countries in the world, according to Brand Finance’s Global Soft Power Index 2023. The Emirati nation ranks 13th on cultural influence. This has a lot to do with Dubai becoming a major business and tourism hub since the advent of the 21st century. The oil rich country has leveraged its economic strength to boost its military power and is a major security player in the region.
22. Poland
Economic Strength Ranking: 21
Military Strength Ranking: 14
Political Influence Ranking: 33
Cultural Influence Ranking: 57
Poland, with a GDP of nearly $680 billion, is the 21st largest economy in the world. It also boasts of a strong military force, with the government planning to spend $100 billion in the next decade on procurement of sophisticated weapons. Poland is one of the founding members of the United Nations, and in 2019, celebrated 20 years of accession to NATO.
21. Switzerland
Economic Strength Ranking: 20
Military Strength Ranking: 44
Political Influence Ranking: 8
Cultural Influence Ranking: 10
Switzerland is another strong European nation on our list of the most powerful countries in the world. It is the 20th largest economy in terms of GDP, and ranks seventh on the list of countries with the highest GNI per capita ($75,000). Due to its neutral posture in geopolitics, Switzerland holds significant political influence. Geneva is the global head office location for a number of international organizations, such as the World Trade Organization (WTO), World Health Organization (WHO), and The Office of the United Nations High Commissioner for Human Rights (UNHCHR).
20. Sweden
Economic Strength Ranking: 22
Military Strength Ranking: 37
Political Influence Ranking: 11
Cultural Influence Ranking: 15
Located in the Scandinavian region, Sweden is one of the most developed European countries. It ranks 15th on World Bank’s 2021 list of countries with the highest GNI per capita. A number of global corporations such as Apple Inc. (NASDAQ:AAPL) and Microsoft Corporation (NASDAQ:MSFT) maintain presence in the country. Networking and telecommunications giant, Ericsson, is headquartered in Stockholm. Sweden is ranked 11th on political influence, and 15th on cultural influence in our list.
19. Israel
Economic Strength Ranking: 26
Military Strength Ranking: 11
Political Influence Ranking: 27
Cultural Influence Ranking: 40
The Middle East’s technologically most advanced country, Israel, is next on our list. It is the 26th largest economy in the world, and has raised a strong military due to territorial disputes in the region. Its close ties with the western world, in particular, the United States, have earned the country extensive political influence in the region. With an average income of over $43,000, Israel ranks 36th in the list of countries with the highest GNI per capita.
18. Indonesia
Economic Strength Ranking: 16
Military Strength Ranking: 19
Political Influence Ranking: 45
Cultural Influence Ranking: 19
With a GDP of $1.2 trillion, Indonesia is the 16th largest economy in the world, and the biggest in the southeast Asia region. Over the years, it has used its economic strength to raise a strong military as well. In 2023, the government spent $8.8 billion on developing the country’s defense system. This includes an order for 42 Rafale jets. Indonesia ranks 19th on cultural influence, with Bali being one of the world’s most pristine tourist locations. It is the most populous Muslim majority nation in the world, which also grants it significant political influence.
17. Turkiye
Economic Strength Ranking: 19
Military Strength Ranking: 10
Political Influence Ranking: 23
Cultural Influence Ranking: 45
Geostrategically located at the intersection of Asia and Europe, Turkiye is one of the strongest countries in the world, with a GDP of $820 billion. The country is also a member of NATO and the G20, which has earned Turkiye immense geopolitical clout. Erdogan’s government has, in recent years, advanced Turkiye’s cultural influence through state-backed productions of TV series. One such example is ‘Ertugrul’, which has been dubbed in four languages - Arabic, Urdu, Spanish and Russian.
16. Netherlands
Economic Strength Ranking: 17
Military Strength Ranking: 22
Political Influence Ranking: 16
Cultural Influence Ranking: 16
Netherlands is next on the list. It is the 17th most powerful economy in the world in terms of GDP. It is home to Dutch multinational company Koninklijke Philips N.V. (NYSE:PHG), or Philips. It ranks 22nd on military strength, and that is primarily due to investments made on bolstering air power. The Netherlands ranks 16th in both political influence and cultural influence.
15. Brazil
Economic Strength Ranking: 12
Military Strength Ranking: 18
Political Influence Ranking: 31
Cultural Influence Ranking: 17
Brazil is a major power in the South America region. With a GDP of over $1.6 trillion, it is the world’s 12th biggest economy. Brazil has leveraged its economic power to upgrade its military as well. An example of that is the government strengthening its air fleet by procuring 36 Gripen fighter jets from Sweden. Brazil ranks 17th on cultural influence. Its football team is widely popular across the world for its flair.
14. Saudi Arabia
Economic Strength Ranking: 18
Military Strength Ranking: 12
Political Influence Ranking: 19
Cultural Influence Ranking: 33
Saudi Arabia is the most powerful country in the Middle East, having a GDP of close to $1 trillion. Much of its wealth is due to its oil production capacity. It is a leading member of OPEC, and in 2021 it produced 11% of the global output of oil. Saudi Arabia has also been investing heavily to upgrade its armed forces. It is ranked as the 12th most powerful military in the world. In 2022, it rejoined the list of the top five spenders on military expenditure, after having spent $75 billion on defense that year. Home to Islam’s holiest places, Saudi Arabia enjoys immense cultural influence over the Muslim world and is a leading member of the OIC.
13. Australia
Economic Strength Ranking: 13
Military Strength Ranking: 23
Political Influence Ranking: 14
Cultural Influence Ranking: 12
Australia is the largest country in Oceania. It is a member of the G20 and Quadrilateral Security Dialogue (QUAD), with India, Japan and the United States as the other three countries. It has the 13th largest economy in the world in terms of GDP. The Australian Dollar is the premiere currency of the Asia-Pacific region, and is the sixth most traded currency in the world in the foreign exchange market with a daily trade volume of $479 billion. Australia ranks in the top 15 list for both political influence and cultural influence. The country is also a heavy spender on defense. In February this year, the government placed an order for 72 F-35 jets from Lockheed Martin Corporation (NYSE:LMT) to increase the size of its fifth-generation fighter jet fleet which currently stands at 37.
12. Spain
Economic Strength Ranking: 14
Military Strength Ranking: 17
Political Influence Ranking: 12
Cultural Influence Ranking: 8
Spain is one of Europe’s greatest powers due to its strengths in all four spheres studied for this article. It is the 14th largest economy in the world with a GDP closing in on $1.5 trillion. 20 countries have Spanish as their official language, which is testament of the country’s cultural influence. The government in Madrid has declared its plans to boost spending on military expenditure by doubling its defense spending by 2029.
11. Canada
Economic Strength Ranking: 9
Military Strength Ranking: 24
Political Influence Ranking: 7
Cultural Influence Ranking: 11
Canada’s economic, political, and cultural strengths have earned it the status of one of the world’s most powerful countries. It has a GDP close to $2 trillion and 75% of its trade is with its southern neighbor, the United States. The country also hosts a number of U.S. corporations like Apple Inc. (NASDAQ:AAPL), Dell Technologies Inc. (NYSE:DELL), and Microsoft Corporation (NASDAQ:MSFT). Canada is a member of NATO and the G20, which grants it considerable political influence. It also ranks 11th as far as cultural influence is concerned. The Canadian military is ranked 24th on the list of the world’s most powerful militaries.
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Disclosure: None. 25 Most Powerful Countries in the World in 2023 is originally published on Insider Monkey.