With just over 430 million people, South America is the fifth-largest continent in the world. The continent is home to twelve distinct countries, each with its peculiarities.
Per the Global Economic Prospects report, South America’s (Latin America and Caribbean) economy is projected to grow modestly, with a growth rate of around 2.3% in 2024 and slightly increasing to 2.5% in 2025, but not without challenges like high inflation, tight financial conditions, and limited fiscal space in many countries.
Brazil and Argentina may top the conversation when discussing South America because of their global recognition. However, the subject of the wealthiest countries in South America extends beyond the two countries. While some countries boast thriving financial markets, others rely on rich natural reserves or high living standards. But which country is truly the richest? The answer isn’t as simple as it seems.
This article provides an in-depth analysis of the wealthiest countries in South America, using significant criteria such as Gross Domestic Product (GDP), quality of life, economic stability, Human Development Index (HDI), and GDP per capita to provide a diverse and complete overview.
Enjoy the read!
Key Takeaway
- The subject of the wealthiest countries in South America extends beyond mere popularity. Criteria like Gross Domestic Product (GDP), quality of life, economic stability, the Human Development Index (HDI), and GDP per capita are important.
- While GDP remains a key indicator of economic strength, metrics such as HDI, quality of life, and financial stability provide a proper view of prosperity.
- Brazil has the largest economy in South America in terms of nominal GDP, with countries like Argentina, Colombia, Chile, and Peru following.
- The future of South America’s wealth will depend on its ability to balance economic growth with sustainable development, investment in human capital, and social stability.
List of Countries in South America
- Argentina
- Bolivia
- Brazil
- Chile
- Colombia
- Ecuador
- Guyana
- Paraguay
- Peru
- Suriname
- Uruguay
- Venezuela
Top 5 richest countries in South America by GDP (IMF World Economic Outlook, October 2024)
| Country | GDP (Nominal) (billions of US$) Approximately |
| Brazil | $2.3 trillion |
| Argentina | $574 billion |
| Columbia | $419 billion |
| Chile | $362 billion |
| Peru | $294 billion |
Brazil
Population:212,549,582
Total GDP: $2.3 trillion
Main industries: Agriculture, Mining, Manufacturing
Brazil is the largest country in South America and the fifth largest nation in the world. A deep insight into the South American economic analysis shows that Brazil is the richest country in the region by GDP, with prominence in a diverse economy spanning mining, agriculture, manufacturing, and services.
Techpoint Africa news delivered to your inbox
Get the free daily newsletter read by industry experts. 100% free. Unsubscribe anytime.
The country is rich in natural resources, exporting iron ore, tin, manganese, gold, and diamonds. Its manufacturing sector is strong, producing automobiles, steel, electronics, and consumer goods. In agriculture, Brazil is the world’s largest coffee producer.
Despite its economic strength, inequality and poverty remain significant issues. Around 21% of Brazilians reportedly live below the poverty line, and racial and gender discrimination continue to impact the labor market.
The country’s GDP grew by 2.9% in 2023 and is expected to expand by 2.8% in 2024, driven by strong consumption, a robust labor market, and fiscal transfers. Growth is projected to moderate to 2.2% in 2025 and stabilize at 2.3% long-term, influenced by structural reforms.
Inflation is also expected to gradually reach 3.8% by 2025, though rising inflation expectations may slow monetary easing, impacting growth.
Argentina
Population:45,801,258
Total GDP: $574 billion
Primary industries: agriculture, mining, oil and gas, manufacturing, and tourism.
With a population slightly over 45 million and a total GDP of around $574 billion, Argentina ranks among the wealthiest countries in South America. The country possesses an abundant amount of natural resources and agriculture that boost its economy and make it one of the most successful on the continent. It manufactures vast quantities of gas and lithium, has fertile lands used for agricultural production, and is exploring possibilities of further entering the renewable energy industry.
However, despite its success with natural resources and agriculture, it has faced tremendous problems from inflation, with the peso falling exorbitant amounts against the dollar.
Argentina’s economy contracted by 1.6% in 2023 due to macroeconomic imbalances and a severe drought that reduced the agricultural output by 26%. In 2024, the country began a stabilization process, but the GDP is projected to shrink by 3.5% due to fiscal adjustments. However, growth is expected to rebound to 5% in 2025, driven by improved weather, energy investments, and agricultural recovery.
The International Monetary Fund (IMF) predicted that the country’s economy will grow in the next two years, forecasting growth of five percent in 2025 and 2026.
Columbia
Population: 53,251,176
Total GDP: $419 billion
Main industries: oil export, agriculture, natural resources, manufacturing, and services.
Colombia is one of the largest economies in South America, with a nominal GDP of approximately $419 billion. The country’s economy is driven by sectors such as energy, manufacturing, and services, with petroleum accounting for 45% of its exports.
While the country has significant potential for growth because of the large and growing consumer market and abundant natural resources, its economy is heavily reliant on oil and mining exports, making it vulnerable to fluctuations in global commodity prices.
Per a report, the country’s GDP will grow 2.5% in 2025 and 3.2% in 2026, driven by private consumption in durable goods, semi-durables, and services starting in 2026 and by fixed investment in infrastructure, machinery, and housing. Inflation will be 3.1% in 2026, with lower interest rates strengthening financial conditions.
Chile
Population: 19,829,201
Total GDP: $362 billion
Main industries: mining, agriculture, and tourism.
Chile is one of the most stable economies in South America, with a nominal GDP of approximately $362 billion and a population of roughly 19.8 million. Its major industries are mining, business and personal services, manufacturing, and retail trade.
Mining is a major sector of the Chilean economy, being one of the world’s largest producers of copper, iodine, rhenium, and lithium. The country produces approximately 30% of the world’s annual copper. The mining sector accounted for more than 14% of Chile’s GDP in 2021, generating 200 thousand direct jobs. Its mining exports added up to approximately $57 billion that year.
The country’s GDP growth is expected to be close to its potential level in 2024 and 2025, following a year of almost zero growth in 2023 (+0.2%).
Peru
Population:34,460,620
Total GDP: $294 billion
Main industries: mining, agriculture, and services sectors.
Peru is also among the wealthiest countries in South America, with a population slightly above 34 million and a total GDP of $294 billion. The country’s economy is driven by sectors, including mining, agriculture, and services. Its economy is expected to grow by an average of 2.5% over the next two years. This moderate growth environment, coupled with low inflation rates, would help reduce poverty by 3% points between 2023 and 2026.
Peru is one of the world’s largest producers of copper, gold, silver, and zinc, and a major exporter of asparagus, avocados, coffee, and grapes.
Top South American countries by GDP per capita
As mentioned earlier, it is only appropriate to include the GDP per capita when analyzing the richest countries in South America. It is a major metric that shows the average income per person. It also includes insight into economic prosperity, living standards, and wealth distribution.
Below is a ranking of the top most prosperous South American countries by GDP per capita:
| Country | GDP per capita |
| Guyana | $28,920 |
| Uruguay | $23,053 |
| Chile | $16,365 |
| Argentina | $12,814 |
| Brazil | $10,296 |
Guyana
Population: 834,418
GDP per capita : $28,920
Main industries: oil, gold, agriculture
Located in the northeastern corner of South America, Guyana is a country with slightly over 800,000 people and a GDP per capita of $28,920. The country’s primary industries include oil, gold, and agriculture. The government is projected to grow by 34.3% because of its booming oil sector, which accounts for 56% of GDP growth, with revenues exceeding $2.4 billion in 2024.
Its crude oil production has reached 645,000 barrels per day and is expected to surpass 1.2 million by 2027. According to a World Bank overview, Guyana historically had one of the lowest GDP per capita in South America. However, since 2020, the economy has experienced significant growth, averaging 42.3% annually. As a result, GDP per capita surged from $6,477 in 2019 to over $18,199 in 2022.
A recent analysis also confirms that Guyana will be among the top five elite global offshore producers by 2035.
Uruguay
Population: 3,385,298
GDP per capita : $23,053
Main industries: agriculture, renewable energy, tourism
Uruguay is one of the wealthiest countries in South America in 2025, with a GDP per capita of $23,053 and a projected 3.2% GDP growth for the year. The country’s key industries include agriculture, renewable energy, and tourism. The country’s agricultural sector contributes 7% of GDP, with beef, soybeans, and dairy as key exports.
Uruguay generates 98% of its electricity from renewables, with wind energy (50.8%) and hydroelectric power (30.9%) leading the way. According to the World Bank, the country’s economy grew by 0.4% in 2023, mainly reflecting the drought-induced decline in agricultural production. However, economic growth was expected to recover to 3.2% in 2024.
Chile
GDP per capita : $16,365
With a GDP per capita of $16,365, Chile’s economy is projected to grow 2.8% in 2025, rebounding from inflation and commodity price fluctuations in 2023. The recovery is driven by mining sector growth and renewable energy investments.
Chile’s strong export sector, policies, stable political environment, and global trade ties are said to contribute to its high GDP per capita, with an economy that is dependent on copper.
Argentina
GDP per capita : $12,814
Argentina ranks among the wealthiest South American countries by GDP per capita due to its strong agricultural exports, vast natural resources, and highly educated workforce, particularly in fields like technology, engineering, and business.
Argentina is one of the most urbanized countries in the world, with 92% of the population concentrated in cities.
Brazil
Population: 212,551,725
GDP per capita: $10,296
Main industries: agriculture, mining, manufacturing
Brazil also ranks among the richest South American countries by GDP per capita due to its diverse economy, including being a major leader in agriculture and mining.
The country’s GDP grew 2.9% in 2023 and was projected to expand 2.8% in 2024, driven by strong consumption, a robust labor market, and fiscal transfers. Growth is also expected to moderate to 2.2% in 2025 and stabilize at 2.3% in the medium term, reflecting structural reforms.
Top South American countries ranked by human development index (HDI)
The HDI in South America is measured based on factors including life expectancy, educational attainment, and income level. It aims to measure not only incomes but life quality as well.
Below is the list of the top South American countries ranked by the human development index (HDI):
| Countries | Human Development Index (HDI) |
| Chile | 0.860 |
| Argentina | 0.849 |
| Uruguay | 0.830 |
| Peru | 0.762 |
| Brazil | 0.760 |
Chile
Human development index: 0.860
Human development classification: Very high
Chile tops the South American countries with the highest human development index score (0.86) in South America, putting the country in the very high human development category—positioning it at 44 out of 193 countries and territories globally.
Chile’s HDI value for 2022 stands at 0.860. Between 1990 and 2022, it increased from 0.705 to 0.860, reflecting a 22.0% improvement. Over the same period, life expectancy at birth rose by 6.9 years, expected years of schooling increased by 4.0 years, and mean years of education grew by 2.7 years.
According to the World Bank, Chile’s poverty rate dropped from 8.0% in 2020 to 4.8% in 2022, a 40% decrease. The country has a well-developed social welfare system, including universal healthcare and education. The country also has a solid commitment to environmental protection.
Argentina
Human development index: 0.849
Human development classification: Very high
Argentina’s HDI value for 2022 stands at 0.849, placing it in the very high human development category and ranking 48th out of 193 countries globally. Between 1990 and 2022, it increased from 0.724 to 0.849, reflecting a 17.3% improvement.
Over the same period, life expectancy at birth rose by 4.3 years, expected years of schooling increased by 5.6 years, and mean years of schooling grew by 3.0 years.
In early 2023, over 42% of Argentine households in major metropolitan areas lived below the poverty line, up 12.9% points from a year earlier and 20 percentage points since 2018. Currently, 2.54% of the population survives on less than $3.65 per day.
Uruguay
Human development index: 0.830
Human development classification: Very high
Uruguay’s HDI value for 2022 is 0.830, placing it in the very high human development category and ranking 52nd out of 193 countries globally. Between 1990 and 2022, it increased from 0.702 to 0.830, an 18.2% improvement.
Within the same period, life expectancy at birth rose by 4.8 years, expected years of schooling increased by 4.4 years, and mean years of education grew by 1.9 years. Uruguay’s poverty rate dropped to 9.1% in 2023, down from 10.4% the previous year. Extreme poverty remains low at 0.4%, meaning 4 out of every 1,000 people cannot afford basic food necessities.
Peru
Human development index: 0.762
Human development classification: High
Peru’s HDI value for 2022 is 0.762, putting it in the high human development category and ranking 87th out of 193 countries globally. Between 1990 and 2022, it increased from 0.620 to 0.762, a 22.9% improvement. The life expectancy at birth rose by 8.3 years, expected years of schooling increased by 3.1 years, and mean years of schooling grew by 2.2 years.
Meanwhile, 29% of Peru’s population was living in poverty in 2023, a significant increase from 2022.
Brazil
Human development index: 0.760
Human development classification: High
Brazil’s HDI value for 2022 stands at 0.760, which puts it in the high human development category and ranks 89th out of 193 countries globally. Between 1990 and 2022, it increased from 0.620 to 0.760, a 22.6% improvement. The life expectancy at birth rose by 7.4 years, expected years of schooling increased by 2.7 years, and mean years of schooling grew by 4.6 years.
Between 2022 and 2023, Brazil’s poverty rate dropped from 31.6% to 27.4%, the lowest since 2012, lifting 8.7 million people out of poverty. Extreme poverty also dropped from 5.9% to 4.4%, marking the first time below 5.0%, with 3.1 million people escaping extreme poverty.
Top South American countries for quality of life and economic stability
Globally, Latin America, which includes South America, is among the top continents to live based on factors including quality of life, happiness, education, health care, life expectancy, gender equality, cost of living, and wealth.
While South America offers diverse living conditions, some countries stand out for their quality of life and economic stability. For instance, in 2023, Uruguay and Chile had the highest digital quality of life index in Latin America and the Caribbean region, at 0.57 and 0.56 points on a scale from zero to one, respectively.
Below are some of the top countries based on quality of life in South America and economic stability:
| Countries | Quality of life |
| Uruguay | 139.8 |
| Argentina | 118.0 |
| Chile | 107.3 |
Uruguay
Uruguay is reputable for its stable political and economic environment, with a strong social safety net that ensures a high level of financial security. The country ranks very high on the HDI (0.830), which contributes to its quality of life and standard of living, making it one of the most desirable places to live in South America.
Argentina
While economic stability remains a significant concern in Argentina, it is one of the countries in the region with a high quality of life through a strong cultural heritage and a highly educated population. The country is known for its vibrant cultural scene, which attracts both locals and expats. The country also ranks very high on the HDI (0.849), contributing to its quality of life and standard of living.
Chile
Recognized as one of the countries on the continent with a stable economy, Chile frequently leads in economic indicators. The country has a strong reputation for sound economic policies, contributing to financial resilience and sustainable growth.
Chile has the highest human development index (0.86) in South America, ranking 44th globally. This is said to reflect in its well-developed infrastructure and high standard of living.
| Countries | Cost of living index | Rent index | Cost of living plus rent index | Groceries index | Restaurant index | Local purchasing power index |
| Uruguay | 46.3 | 12.5 | 31.3 | 46.5 | 49.5 | 54.1 |
| Argentina | 35.7 | 9.9 | 24.3 | 37.0 | 39.8 | 15.8 |
| Chile | 25.1 | 10.6 | 24.3 | 38.1 | 26.8 | 51.0 |
This data, by Numbeo, an Internet database, indicates that Uruguay has the highest cost of living and rent index among the three countries, making it the most expensive overall. While it also leads in groceries and restaurant costs, its substantial local purchasing power offsets these expenses.
Argentina has the lowest cost of living and rent index, but its purchasing power is significantly weaker, which shows lower affordability despite cheaper living costs. Chile stands in between, with a moderate cost of living and rent index, while its strong local purchasing power suggests a balanced economic environment.
Key criteria for ranking the richest countries in South America
Ranking the richest countries of any continent is far beyond popularity. It involves the use of many criteria to have a diverse and complete overview. Below are the key criteria:
GDP (Gross Domestic Product)
GDP is a significant indicator of a city’s wealth, showing its total economic output. GDP measures the monetary value of goods and services produced within a country’s borders at a particular time, usually a quarter or a year. The changes in output, as measured by the GDP, are the most comprehensive gauge of an economy’s health.
Best put, GDP indicates a nation’s economic strength, reflecting its economy’s overall size and productivity. A higher GDP generally signifies a larger economy, greater industrial output, and increased commercial activity, making it one of the most important metrics for comparing the wealth of different nations.
GDP Per Capita
Gross domestic product (GDP) per capita is an economic metric that breaks down a country’s economic output to a per-person allocation. Economists use GDP per capita to determine the prosperity of countries based on their economic growth.
GDP per capita is calculated by dividing the GDP of a nation by its population. Countries with a higher GDP per capita tend to be those that are industrial and developed and have smaller populations compared to others, though there are notable exceptions like the United States, which has a high population and has a high GDP per capita.
Human Development Index (HDI)
The HDI is a summary measurement of basic achievement levels in human development. The computed HDI of a country is an average of indexes of each of the life aspects that are examined: knowledge and understanding, a long and healthy life, and an acceptable standard of living. Each component is normalized to a scale between zero and one, and then the geometric mean of the three elements is calculated.
The health aspect of the Human Development Index (HDI) is measured by life expectancy at birth, normalized between 20 years (minimum) and 85 years (maximum). Education is assessed through mean years of schooling and expected years of schooling, where 15 years and 18 years, respectively, represent the highest scores.
Economic standard of living is measured using GNI per capita (PPP), with values ranging from $100 (minimum) to $75,000 (maximum).
Quality of life and economic stability
A country’s quality of life depends on the well-being of its citizens. It comprises factors including healthcare, education, income levels, safety, infrastructure, and environmental quality. Economic stability refers to a country’s ability to maintain steady growth, low inflation, stable employment rates, and a resilient financial system. For instance, countries like Chile and Uruguay offer a high quality of life due to effective social policies and a reduced crime rate, while a country like Venezuela experiences declining living standards marked by hyperinflation and poverty.
In summary, a country’s ability to create a sustainable and comfortable environment for its citizens relies on maintaining both quality of life and economic stability.
Final Thoughts: What “Rich” really means in South America
This article will help you realize that the context of “rich” in South America is diverse, with different countries having their strengths under various criteria. For instance, Brazil stands as the continent’s economic powerhouse based on total GDP, while Guyana leads in GDP per capita due to its booming oil sector. Chile, Argentina, and Uruguay rank highest in human development, showing strong social policies and quality of life.
While GDP remains a key indicator of economic strength, metrics such as HDI, quality of life, and financial stability provide a proper view of prosperity. The future of South America’s wealth will depend on its ability to balance economic growth with sustainable development, investment in human capital, and social stability.
Besides, you may want to relocate to any South American country. Deciding on the best South American country to live in requires doing your research well, which is one of the reasons for coming up with this article. Argentina and Brazil boast vibrant cultures and strong economies, while Peru appeals with affordability and rich history, and Chile stands out for its stability and high living standards. Your choice depends on lifestyle, job prospects, and community preferences.
You can share your thoughts on which South American country you believe is growing the fastest and comment on any investment opportunities you’ve explored. Subscribe for more economic and financial insights on South American economic analysis and how these trends may reshape future city rankings.
Disclaimer
This publication, review, or article (“Content”) is based on our independent evaluation and is subjective, reflecting our opinions, which may differ from others’ perspectives or experiences. We do not guarantee the accuracy or completeness of the Content and disclaim responsibility for any errors or omissions it may contain.
The information provided is not investment advice and should not be treated as such, as products or services may change after publication. By engaging with our content, you acknowledge its subjective nature and agree not to hold us liable for any losses or damages arising from your reliance on the information provided. Always conduct your own research and consult professionals where necessary.
