Resilient, stable, sustainable: The benefits of economic diversification

Policymakers worldwide should work to achieve greater economic diversification, in order to reduce the impact of external events and foster more robust, resilient growth over the long term. Not only must a country’s gross domestic product (GDP) be balanced among sectors, but key elements of its economy must be varied, flexible, and readily applicable to a variety of economic opportunities, and areas of overconcentration must continually be identified.