While Brazil topped the GRDI for the second year in a row--driven by a growing middle class, high consumption rates, a large urban population and less political and financial risk--Botswana made the list for the first time.

 

The southern African nation debuted at No. 20, with A.T. Kearney calling its entry “a precursor to steadily developing countries in the sub-Sahara Africa region that could emerge as favorable retail markets in the coming years.”

 

A.T. Kearney’s Global Consumer Institute has been publishing the GRDI since 2002. It ranks the top 30 developing countries for retail investment worldwide. The index analyzes 25 macroeconomic and retail-specific variables to help retailers plan their strategy and identify opportunities in emerging markets.

 

Rounding out the top five behind Brazil are Chile, which claimed the No. 2 spot again, followed by China at No. 3, up from No. 6 last year, Uruguay at No. 4, down from No. 3, and India at No. 5, down from No. 4 last year.

 

A.T. Kearney notes that while the “BRIC” countries, Brazil, Russia, India and China, still tempt the world’s largest retailers and are expected to keep growing, a number of other, smaller nations are developing and present opportunities for luxury retailers in particular.

 

These include Georgia, which ranked No. 6, Oman at No. 8, Mongolia at No. 9 and Azerbaijan at No. 17. All four countries are new to the list in 2012.