WHY SOME COUNTRIES PROSPER, WHILST OTHERS CONTINUE TO REMAIN POOR AND IN CHAOS

Ultimately, a nation's economic trajectory is not predetermined by chance, luck, or geography, but forged by the hard choices they make and the work ethic and skills of its people

- By Dinesh Weerakkody

Why do some nations thrive while others struggle with poverty and instability? The answer lies not in geography or luck, but in leadership, institutions, and the choices societies make. From Singapore to South Korea, prosperity has followed nations that invest in education, innovation, and good governance. For others, corruption, weak institutions, and poor leadership continue to trap generations in cycles of inequality and underdevelopment.

Why do some nations flourish while others remain impoverished? That question remains as relevant as everespecially after Sri Lanka's painful economic struggles in 2022, and more recently, the crises in Bangladesh and Nepal.

Poor nations often grapple with extractive institutions, political instability, bloated governments, and deep historical legacies.

For decades, scholars and policymakers have debated the roots of prosperity.

Early theories placed geography at the centre of national success, arguing that climate, natural endowments, and location shaped destiny. Later, attention shifted to politics, with examples like Singapore led by Lee Kwan and Switzerland (Switzerland's prosperity is not attributed to a single person) proving that talent, leadership and good governance can overcome geographic and resource limitations. In their 2012 book Why Nations Fail, Daron Acemoglu and James A. Robinson argued that the quality of a country's economic and political institutions is the primary determinant of its wealth.

Beyond Geography and Race