What are MINTs (Mexico, Indonesia, Nigeria, Turkey)?

MINT (Mexico, Indonesia, Nigeria, Turkey) is an acronym that refers to a group of countries with the potential to realize rapid economic growth. The specific countries were selected based on specific demographic, geographic, and economic factors. The acronym is similar to the term BRIC, which refers to the economies of Brazil, Russia, India, and China. MINT was originally coined by Fidelity Investments, the well-known asset management firm, and was popularized by Jim O'Neill, a British economist with Goldman Sachs and who also had created the term BRIC.

Key Takeaways

  • MINT is an acronym for the countries Mexico, Indonesia, Nigeria, and Turkey.
  • Fidelity selected these countries in 2011 based on their potential for future growth based on certain geographic, demographic, and economic factors.
  • The MINTs were the successors to the BRIC countries, a group composed of Brazil, Russia, India, and China, and chosen for the same reasons.
  • Despite their potential for a rapidly growing economy, MINTs can still suffer from corruption, political instability, and economic crises.

Understanding MINTs (Mexico, Indonesia, Nigeria, Turkey)

MINT is an acronym that refers to four countries: Mexico, Indonesia, Nigeria, and Turkey. The investment firm Fidelity selected these countries in 2011 as a group that they expected would show strong growth and provide high returns for investors over the coming decade. The grouping was based on various factors such as the countries’ large populations, favorable demographics, and their emerging economies. When compared to the BRIC countries (Brazil, Russia, India, and China), MINTs have noticeably smaller economies. BRIC is a group of emerging-market economies that enjoyed strong growth for a number of years. As the BRIC countries’ growth slowed (with the exception of China), investors turned their attention to MINTs, which analysts touted to be the next countries with a rapidly growing economy.

Despite their prospects for ranking in the top 10 global economies by 2050, MINTs are far from a guaranteed profitable investment. MINTs still suffer from corruption and political instability, Many have experienced significant problems in the past. For example, Turkey faced an economic crisis around the year 2000, and the International Monetary Fund bailed the country out in 2001. Despite the upheaval, analysts consider the country a viable investment, particularly since Turkey implemented changes specifically designed to prevent the recurrence of the problems that originally led to the crisis.

Requirements for MINTs

Fidelity used a variety of qualifying factors when selecting countries ripe for economic investment. Some qualities are common among all the MINTs, for example, a young population, which makes for a strong workforce typifies MINTs. MINTs also have legal systems and regulation that favor business growth, as well as governments that maintain a pro-economic growth stance. Fidelity chose countries that were geographically well-positioned for trade and countries that were not overly dependent on a single industry. Fidelity included Nigeria, for example, because of its natural resources, large population, well-regulated and well-capitalized banks, and opportunities to expand retail credit. Fidelity included Indonesia because the firm considered the country's large workforce to be a significant economic asset.

Fidelity also focused on counties that it believes may become major exporters of both raw and finished goods in the future although Nigeria, Mexico, and Indonesia are already major oil exporters. Investors hope that MINTs will prove to be as savvy an investment as the BRICs and show strong growth in GDP and stock prices.