The Economist’s country of the year: Resilient Ireland, booming South Sudan, tumultuous Turkey: our country of the year is…

The Economist’s country of the year: Resilient Ireland, booming South Sudan, tumultuous Turkey: our country of the year is…

Dec 21st 2013 | From the print edition

HUMAN life isn’t all bad, but it sometimes feels that way. Good news is no news: the headlines mostly tell of strife and bail-outs, failure and folly.

Yet, like every year, 2013 has witnessed glory as well as calamity. When the time comes for year-end accountings, both the accomplishments and the cock-ups tend to be judged the offspring of lone egomaniacs or saints, rather than the joint efforts that characterise most human endeavour. To redress the balance from the individual to the collective, and from gloom to cheer, The Economist has decided, for the first time, to nominate a country of the year.But how to choose it? Readers might expect our materialistic outlook to point us to simple measures of economic performance, but they can be misleading. Focusing on GDP growth would lead us to opt for South Sudan, which will probably notch up a stonking 30% increase in 2013—more the consequence of a 55% drop the previous year, caused by the closure of its only oil pipeline as a result of its divorce from Sudan, than a reason for optimism about a troubled land. Or we might choose a nation that has endured economic trials and lived to tell the tale. Ireland has come through its bail-out and cuts with exemplary fortitude and calm; Estonia has the lowest level of debt in the European Union. But we worry that this econometric method would confirm the worst caricatures of us as flint-hearted number-crunchers; and not every triumph shows up in a country’s balance of payments.

Another problem is whether to evaluate governments or their people. In some cases their merits are inversely proportional: consider Ukraine, with its thuggish president, Viktor Yanukovych, and its plucky citizens, freezing for democracy in the streets of Kiev, even though nine years ago they went to the trouble of having a revolution to keep the same man out of office. Or remember Turkey, where tens of thousands protested against the creeping autocracy and Islamism of Recep Tayyip Erdogan, the prime minister-cum-sultan. Alas, neither movement has yet been all that successful.

Definitional questions creep in, too. One possible candidate, Somaliland, has kept both piracy and Islamic extremism at bay, yet on most reckonings it is not a country at all, rather a renegade province of Somalia—which has struggled to contain either. As well as countries yet to be, we might celebrate one that could soon disintegrate: the United Kingdom, which hasn’t fared too badly, all things considered, since coming into being in 1707, but could fracture in 2014 should the Scots be foolhardy enough to vote for secession.

And the winner is

When other publications conduct this sort of exercise, but for individuals, they generally reward impact rather than virtue. Thus they end up nominating the likes of Vladimir Putin, Ayatollah Khomeini or, in 1938, Adolf Hitler. Adapting that realpolitikal rationale, we might choose Bashar Assad’s Syria, from which millions of benighted refugees have now been scattered to freezing camps across the Levant. If we were swayed by influence per head of population, we might plump for the Senkaku (or Diaoyu) islands, the clutch of barren rocks in the East China Sea that have periodically threatened to incite a third world war—though that might imply their independence, leading both China and Japan to invade us. Alternatively, applying the Hippocratic principle to statecraft, we might suggest a country from which no reports of harm or excitement have emanated. Kiribati seems to have had a quiet year.

But the accomplishments that most deserve commendation, we think, are path-breaking reforms that do not merely improve a single nation but, if emulated, might benefit the world. Gay marriage is one such border-crossing policy, which has increased the global sum of human happiness at no financial cost. Several countries have implemented it in 2013—including Uruguay, which also, uniquely, passed a law to legalise and regulate the production, sale and consumption of cannabis. This is a change so obviously sensible, squeezing out the crooks and allowing the authorities to concentrate on graver crimes, that no other country has made it. If others followed suit, and other narcotics were included, the damage such drugs wreak on the world would be drastically reduced.

Better yet, the man at the top, President José Mujica, is admirably self-effacing. With unusual frankness for a politician, he referred to the new law as an experiment. He lives in a humble cottage, drives himself to work in a Volkswagen Beetle and flies economy class. Modest yet bold, liberal and fun-loving, Uruguay is our country of the year. ¡Felicitaciones!

Unknown's avatarAbout bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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