Military expenditure (% of GDP)

IndicatorName: Military expenditure (% of GDP)

Limitationsandexceptions:
Data on military expenditures are not compiled using standard definitions and are often incomplete and unreliable due to countries' reluctance to disclose military information. Even in countries where the parliament vigilantly reviews budgets and spending, military expenditures and arms transfers rarely receive close scrutiny or full, public disclosure (see Ball 1984 and Happe and Wakeman-Linn 1994). However, the Stockholm International Peace Research Institute (SIPRI) has adopted a definition of military expenditure derived from the North Atlantic Treaty Organization's (NATO) former definition (in use until 2002; see Definitions).

In the many cases where SIPRI cannot make independent estimates, it uses the national data provided. Because of the differences in definitions and the difficulty in verifying the accuracy and completeness of data, data on military expenditures are not always comparable across countries. However, SIPRI puts a high priority on ensuring that the data series for each country is comparable over time.

Statisticalconceptandmethodology:
SIPRI military expenditure data includes military and civil personnel, including retirement pensions and social services for military personnel; operation and maintenance; procurement; military research and development; and military aid (in the military expenditures of the donor country). Excluded are civil defense and current expenditures for previous military activities, such as for veterans' benefits, demobilization, and weapons conversion and destruction. This definition cannot be applied for all countries, however, since that would require more detailed information than is available about military budgets and off-budget military expenditures (for example, whether military budgets cover civil defense, reserves and auxiliary forces, police and paramilitary forces, and military pensions).

SIPRI data for the most recent years include two types of estimate which apply to all countries: (a) figures for the most recent years are for adopted budgets, budget estimates or revised estimates, and are revised, more often than not, in subsequent years; and (b) the deflator used for the latest year in the series is an estimate SIPRI's primary source of military expenditure data is official data provided by national governments. These data are derived from budget documents, defense white papers, and other public documents from official government agencies, including government responses to questionnaires sent by SIPRI, the UNODA, or the Organization for Security and Co-operation in Europe. Secondary sources include international statistics, such as those of NATO and the IMF's Government Finance Statistics Yearbook. Other secondary sources include country reports of the Economist Intelligence Unit, country reports by IMF staff, and specialist journals and newspapers.

The data on military expenditures as a share of GDP are SIPRI estimates. The SIPRI military expenditure figures are presented on a calendar-year basis. The only exception is the USA, for which statistics report data on a fiscal-year basis. Calendar-year data are calculated on the assumption of an even rate of expenditure throughout the fiscal year. The ratio of military expenditure to GDP is calculated in domestic currency at current prices and for calendar years.

The SIPRI military expenditure figures are presented on a calendar-year basis. The only exception is the USA, for which statistics report data on a fiscal-year basis. Calendar-year data are calculated on the assumption of an even rate of expenditure throughout the fiscal year.


Developmentrelevance:
Although national defense is an important function of government and security from external threats that contributes to economic development, high military expenditures for defense or civil conflicts burden the economy and may impede growth. Data on military expenditures as a share of gross domestic product (GDP) are a rough indicator of the portion of national resources used for military activities and of the burden on the economy.

Data on military expenditures as a share of gross domestic product (GDP) are a rough indicator of the portion of national resources used for military activities and of the burden on the economy. As an "input" measure military expenditures are not directly related to the "output" of military activities, capabilities, or security. Comparisons of military spending among countries should take into account the many factors that influence perceptions of vulnerability and risk, including historical and cultural traditions, the length of borders that need defending, the quality of relations with neighbors, and the role of the armed forces in the body politic.

Longdefinition: Military expenditures data from SIPRI are derived from the NATO definition, which includes all current and capital expenditures on the armed forces, including peacekeeping forces; defense ministries and other government agencies engaged in defense projects; paramilitary forces, if these are judged to be trained and equipped for military operations; and military space activities. Such expenditures include military and civil personnel, including retirement pensions of military personnel and social services for personnel; operation and maintenance; procurement; military research and development; and military aid (in the military expenditures of the donor country). Excluded are civil defense and current expenditures for previous military activities, such as for veterans' benefits, demobilization, conversion, and destruction of weapons. This definition cannot be applied for all countries, however, since that would require much more detailed information than is available about what is included in military budgets and off-budget military expenditure items. (For example, military budgets might or might not cover civil defense, reserves and auxiliary forces, police and paramilitary forces, dual-purpose forces such as military and civilian police, military grants in kind, pensions for military personnel, and social security contributions paid by one part of government to another.)

Periodicity: Annual

Source: Stockholm International Peace Research Institute (SIPRI), Yearbook: Armaments, Disarmament and International Security.

Topic: Public Sector: Defense & arms trade

Aggregationmethod: Weighted average

License_Type: Use and distribution of these data are subject to Stockholm International Peace Research Institute (SIPRI) terms and conditions.

Generalcomments: Data for some countries are based on partial or uncertain data or rough estimates.

value: World Development Indicators

value: Public Sector


sourceNote: Military expenditures data from SIPRI are derived from the NATO definition, which includes all current and capital expenditures on the armed forces, including peacekeeping forces; defense ministries and other government agencies engaged in defense projects; paramilitary forces, if these are judged to be trained and equipped for military operations; and military space activities. Such expenditures include military and civil personnel, including retirement pensions of military personnel and social services for personnel; operation and maintenance; procurement; military research and development; and military aid (in the military expenditures of the donor country). Excluded are civil defense and current expenditures for previous military activities, such as for veterans' benefits, demobilization, conversion, and destruction of weapons. This definition cannot be applied for all countries, however, since that would require much more detailed information than is available about what is included in military budgets and off-budget military expenditure items. (For example, military budgets might or might not cover civil defense, reserves and auxiliary forces, police and paramilitary forces, dual-purpose forces such as military and civilian police, military grants in kind, pensions for military personnel, and social security contributions paid by one part of government to another.)

sourceOrganization: Stockholm International Peace Research Institute (SIPRI), Yearbook: Armaments, Disarmament and International Security.

name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


name: Europe & Central Asia (excluding high income)


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


name: East Asia & Pacific (IDA & IBRD countries)


Developmentrelevance:
Although national defense is an important function of government and security from external threats that contributes to economic development, high military expenditures for defense or civil conflicts burden the economy and may impede growth. Data on military expenditures as a share of gross domestic product (GDP) are a rough indicator of the portion of national resources used for military activities and of the burden on the economy.

As an "input" measure military expenditures are not directly related to the "output" of military activities, capabilities, or security. Comparisons of military spending among countries should take into account the many factors that influence perceptions of vulnerability and risk, including historical and cultural traditions, the length of borders that need defending, the quality of relations with neighbors, and the role of the armed forces in the body politic.

Comparisons of military spending among countries should take into account the many factors that influence perceptions of vulnerability and risk, including historical and cultural traditions, the length of borders that need defending, the quality of relations with neighbors, and the role of the armed forces in the body politic.

IndicatorName: Military expenditure (% of general government expenditure)

Limitationsandexceptions:
Data on military expenditures are not compiled using standard definitions and are often incomplete and unreliable due to countries' reluctance to disclose military information. Even in countries where the parliament vigilantly reviews budgets and spending, military expenditures and arms transfers rarely receive close scrutiny or full, public disclosure (see Ball 1984 and Happe and Wakeman-Linn 1994). However, the Stockholm International Peace Research Institute (SIPRI) has adopted a definition of military expenditure derived from the North Atlantic Treaty Organization's (NATO) former definition (in use until 2002; see Definitions).

Data on military expenditures as a share of central government expenditures use data on central government expenditures from the International Monetary Fund (IMF). Therefore the data may differ from comparable data published by national governments.

In the many cases where SIPRI cannot make independent estimates, it uses the national data provided. Because of the differences in definitions and the difficulty in verifying the accuracy and completeness of data, data on military expenditures are not always comparable across countries. However, SIPRI puts a high priority on ensuring that the data series for each country is comparable over time.

Statisticalconceptandmethodology:
SIPRI military expenditure data includes military and civil personnel, including retirement pensions and social services for military personnel; operation and maintenance; procurement; military research and development; and military aid (in the military expenditures of the donor country). Excluded are civil defense and current expenditures for previous military activities, such as for veterans' benefits, demobilization, and weapons conversion and destruction. This definition cannot be applied for all countries, however, since that would require more detailed information than is available about military budgets and off-budget military expenditures (for example, whether military budgets cover civil defense, reserves and auxiliary forces, police and paramilitary forces, and military pensions).

SIPRI data for the most recent years include two types of estimate which apply to all countries: (a) figures for the most recent years are for adopted budgets, budget estimates or revised estimates, and are revised, more often than not, in subsequent years; and (b) the deflator used for the latest year in the series is an estimate.

SIPRI's primary source of military expenditure data is official data provided by national governments. These data are derived from budget documents, defense white papers, and other public documents from official government agencies, including government responses to questionnaires sent by SIPRI, the UNODA, or the Organization for Security and Co-operation in Europe. Secondary sources include international statistics, such as those of NATO and the IMF's Government Finance Statistics Yearbook. Other secondary sources include country reports of the Economist Intelligence Unit, country reports by IMF staff, and specialist journals and newspapers.

The SIPRI military expenditure figures are presented on a calendar-year basis. The only exception is the USA, for which statistics report data on a fiscal-year basis. Calendar-year data are calculated on the assumption of an even rate of expenditure throughout the fiscal year.


name: Military expenditure (% of general government expenditure)


Developmentrelevance:
Although national defense is an important function of government and security from external threats that contributes to economic development, high military expenditures for defense or civil conflicts burden the economy and may impede growth. Data on military expenditures are a rough indicator of the portion of national resources used for military activities and of the burden on the economy.

Comparisons of military spending among countries should take into account the many factors that influence perceptions of vulnerability and risk, including historical and cultural traditions, the length of borders that need defending, the quality of relations with neighbors, and the role of the armed forces in the body politic.

IndicatorName: Arms exports (SIPRI trend indicator values)

Limitationsandexceptions:
SIPRI calculates the volume of transfers to, from and between all parties using the TIV and the number of weapon systems or subsystems delivered in a given year. This data is intended to provide a common unit to allow the measurement if trends in the flow of arms to particular countries and regions over time. Therefore, the main priority is to ensure that the TIV system remains consistent over time, and that any changes introduced are backdated.

SIPRI TIV figures do not represent sales prices for arms transfers. They should therefore not be directly compared with gross domestic product (GDP), military expenditure, sales values or the financial value of export licences in an attempt to measure the economic burden of arms imports or the economic benefits of exports. They are best used as the raw data for calculating trends in international arms transfers over periods of time, global percentages for suppliers and recipients, and percentages for the volume of transfers to or from particular states.

Longdefinition: Arms transfers cover the supply of military weapons through sales, aid, gifts, and those made through manufacturing licenses. Data cover major conventional weapons such as aircraft, armored vehicles, artillery, radar systems, missiles, and ships designed for military use. Excluded are transfers of other military equipment such as small arms and light weapons, trucks, small artillery, ammunition, support equipment, technology transfers, and other services. Figures are SIPRI Trend Indicator Values (TIVs) expressed in US$ m.  A '0' indicates that the value of deliveries is less than US$0.5m

Source: Stockholm International Peace Research Institute (SIPRI), Arms Transfers Programme (http://portal.sipri.org/publications/pages/transfer/splash).

Statisticalconceptandmethodology:
Stockholm International Peace Research Institute (SIPRI)'s Arms Transfers Program collects data on arms transfers from open sources. Since publicly available information is inadequate for tracking all weapons and other military equipment, SIPRI covers only what it terms major conventional weapons. Data cover the supply of weapons through sales, aid, gifts, and manufacturing licenses; therefore the term arms transfers rather than arms trade is used. SIPRI data also cover weapons supplied to or from rebel forces in an armed conflict as well as arms deliveries for which neither the supplier nor the recipient can be identified with acceptable certainty; these data are available in SIPRI's database.

Data cover major conventional weapons such as aircraft, armored vehicles, artillery, radar systems and other sensors, missiles, and ships designed for military use as well as some major components such as turrets for armored vehicles and engines. Excluded are other military equipment such as most small arms and light weapons, trucks, small artillery, ammunition, support equipment, technology transfers, and other services.

Aggregationmethod: Sum

License_Type: CC BY-4.0

Notesfromoriginalsource:
SIPRI statistical data on arms transfers relates to actual deliveries of major conventional weapons. To permit comparison between the data on such deliveries of different weapons and to identify general trends, SIPRI has developed a unique system to measure the volume of international transfers of major conventional weapons using a common unit, the trend-indicator value (TIV).

The TIV is based on the known unit production costs of a core set of weapons and is intended to represent the transfer of military resources rather than the financial value of the transfer. Weapons for which a production cost is not known are compared with core weapons based on: size and performance characteristics (weight, speed, range and payload); type of electronics, loading or unloading arrangements, engine, tracks or wheels, armament and materials; and the year in which the weapon was produced. A weapon that has been in service in another armed force is given a value 40 per cent of that of a new weapon. A used weapon that has been significantly refurbished or modified by the supplier before delivery is given a value of 66 per cent of that of a new weapon.

value: Trade


name: Arms exports (SIPRI trend indicator values)

sourceNote: Arms transfers cover the supply of military weapons through sales, aid, gifts, and those made through manufacturing licenses. Data cover major conventional weapons such as aircraft, armored vehicles, artillery, radar systems, missiles, and ships designed for military use. Excluded are transfers of other military equipment such as small arms and light weapons, trucks, small artillery, ammunition, support equipment, technology transfers, and other services. Figures are SIPRI Trend Indicator Values (TIVs) expressed in US$ m.  A '0' indicates that the value of deliveries is less than US$0.5m

sourceOrganization: Stockholm International Peace Research Institute (SIPRI), Arms Transfers Programme (http://portal.sipri.org/publications/pages/transfer/splash).


IndicatorName: General government final consumption expenditure (current US$)

Limitationsandexceptions: Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total.

Longdefinition: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in current U.S. dollars.

Source: World Bank national accounts data, and OECD National Accounts data files.

Statisticalconceptandmethodology: Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Topic: Economic Policy & Debt: National accounts: US$ at current prices: Expenditure on GDP

Aggregationmethod: Gap-filled total

value: Economy & Growth


name: General government final consumption expenditure (current US$)

sourceNote: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in current U.S. dollars.

sourceOrganization: World Bank national accounts data, and OECD National Accounts data files.


IndicatorName: General government final consumption expenditure (current LCU)

Longdefinition: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in current local currency.

Topic: Economic Policy & Debt: National accounts: Local currency at current prices: Expenditure on GDP


name: General government final consumption expenditure (current LCU)

sourceNote: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in current local currency.


Developmentrelevance: An economy's growth is measured by the change in the volume of its output or in the real incomes of its residents. The 2008 United Nations System of National Accounts (2008 SNA) offers three plausible indicators for calculating growth: the volume of gross domestic product (GDP), real gross domestic income, and real gross national income. The volume of GDP is the sum of value added, measured at constant prices, by households, government, and industries operating in the economy. GDP accounts for all domestic production, regardless of whether the income accrues to domestic or foreign institutions.

IndicatorName: General government final consumption expenditure (constant 2015 US$)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total.

Measures of growth in consumption and capital formation are subject to two kinds of inaccuracy. The first stems from the difficulty of measuring expenditures at current price levels. The second arises in deflating current price data to measure volume growth, where results depend on the relevance and reliability of the price indexes and weights used. Measuring price changes is more difficult for investment goods than for consumption goods because of the one-time nature of many investments and because the rate of technological progress in capital goods makes capturing change in quality difficult. (An example is computers - prices have fallen as quality has improved.)

To obtain government consumption in constant prices, countries may deflate current values by applying a wage (price) index or extrapolate from the change in government employment. Neither technique captures improvements in productivity or changes in the quality of government services.

Longdefinition: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.

Topic: Economic Policy & Debt: National accounts: US$ at constant 2015 prices: Expenditure on GDP


name: General government final consumption expenditure (constant 2015 US$)

sourceNote: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: General government final consumption expenditure (annual % growth)

Longdefinition: Annual percentage growth of general government final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. General government final consumption expenditure (general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation.

Topic: Economic Policy & Debt: National accounts: Growth rates


name: General government final consumption expenditure (annual % growth)

sourceNote: Annual percentage growth of general government final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. General government final consumption expenditure (general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: General government final consumption expenditure (constant LCU)

Longdefinition: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in constant local currency.

Topic: Economic Policy & Debt: National accounts: Local currency at constant prices: Expenditure on GDP

BasePeriod: varies by country


name: General government final consumption expenditure (constant LCU)

sourceNote: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation. Data are in constant local currency.


name: East Asia & Pacific (IDA & IBRD countries)


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: General government final consumption expenditure (% of GDP)

Longdefinition: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation.

Topic: Economic Policy & Debt: National accounts: Shares of GDP & other


name: General government final consumption expenditure (% of GDP)

sourceNote: General government final consumption expenditure (formerly general government consumption) includes all government current expenditures for purchases of goods and services (including compensation of employees). It also includes most expenditures on national defense and security, but excludes government military expenditures that are part of government capital formation.


IndicatorName: Household and NPISHs Final consumption expenditure (current US$)

Longdefinition: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in current U.S. dollars.

name: Households and NPISHs Final consumption expenditure (current US$)


sourceNote: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in current U.S. dollars.


IndicatorName: Household and NPISHs Final consumption expenditure (current LCU)

Longdefinition: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in current local currency.

name: Households and NPISHs Final consumption expenditure (current LCU)


sourceNote: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in current local currency.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Households and NPISHs final consumption expenditure: linked series (current LCU)

Longdefinition: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This series has been linked to produce a consistent time series to counteract breaks in series over time due to changes in base years, source data and methodologies. Thus, it may not be comparable with other national accounts series in the database for historical years. Data are in local currency, at current prices.

Source: World Bank staff estimates based on World Bank national accounts data archives, OECD National Accounts, and the IMF WEO database.


name: Households and NPISHs final consumption expenditure: linked series (current LCU)

sourceNote: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This series has been linked to produce a consistent time series to counteract breaks in series over time due to changes in base years, source data and methodologies. Thus, it may not be comparable with other national accounts series in the database for historical years. Data are in local currency, at current prices.

sourceOrganization: World Bank staff estimates based on World Bank national accounts data archives, OECD National Accounts, and the IMF WEO database.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Households and NPISHs Final consumption expenditure (constant 2015 US$)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Household final consumption expenditure is often estimated as a residual, by subtracting all other known expenditures from GDP. The resulting aggregate may incorporate fairly large discrepancies. When household consumption is calculated separately, many of the estimates are based on household surveys, which tend to be one-year studies with limited coverage. Thus the estimates quickly become outdated and must be supplemented by estimates using price- and quantity-based statistical procedures. Complicating the issue, in many developing countries the distinction between cash outlays for personal business and those for household use may be blurred.

Informal economic activities pose a particular measurement problem, especially in developing countries, where much economic activity is unrecorded. A complete picture of the economy requires estimating household outputs produced for home use, sales in informal markets, barter exchanges, and illicit or deliberately unreported activities. The consistency and completeness of such estimates depend on the skill and methods of the compiling statisticians.

Measures of growth in consumption and capital formation are subject to two kinds of inaccuracy. The first stems from the difficulty of measuring expenditures at current price levels. The second arises in deflating current price data to measure volume growth, where results depend on the relevance and reliability of the price indexes and weights used. Measuring price changes is more difficult for investment goods than for consumption goods because of the one-time nature of many investments and because the rate of technological progress in capital goods makes capturing change in quality difficult. (An example is computers - prices have fallen as quality has improved.)

Longdefinition: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in constant 2015 prices, expressed in U.S. dollars.

Statisticalconceptandmethodology:
Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Deflators for household consumption are usually calculated on the basis of the consumer price index.


name: Households and NPISHs Final consumption expenditure (constant 2015 US$)

sourceNote: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in constant 2015 prices, expressed in U.S. dollars.


name: East Asia & Pacific (IDA & IBRD countries)


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Household and NPISHs Final consumption expenditure (annual % growth)

Longdefinition: Annual percentage growth of household and NPISHs final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country.

name: Households and NPISHs Final consumption expenditure (annual % growth)


sourceNote: Annual percentage growth of household and NPISHs final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country.


IndicatorName: Household and NPISHs Final consumption expenditure (constant LCU)

Longdefinition: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in constant local currency.

name: Households and NPISHs Final consumption expenditure (constant LCU)


sourceNote: Household and NPISHs final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. This indicator includes the expenditures of nonprofit institutions serving households even when reported separately by the country. Data are in constant local currency.


IndicatorName: Households and NPISHs final consumption expenditure per capita (constant 2015 US$)

Longdefinition: Household final consumption expenditure per capita (private consumption per capita) is calculated using private consumption in constant 2015 prices and World Bank population estimates. Household final consumption expenditure is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. Data are in constant 2015 U.S. dollars.

name: Households and NPISHs Final consumption expenditure per capita (constant 2015 US$)


sourceNote: Household final consumption expenditure per capita (private consumption per capita) is calculated using private consumption in constant 2015 prices and World Bank population estimates. Household final consumption expenditure is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. Data are in constant 2015 U.S. dollars.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Household final consumption expenditure per capita growth (annual %)

Longdefinition: Annual percentage growth of household final consumption expenditure per capita, which is calculated using household final consumption expenditure in constant 2010 prices and World Bank population estimates. Household final consumption expenditure (private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country.

name: Households and NPISHs Final consumption expenditure per capita growth (annual %)


sourceNote: Annual percentage growth of household final consumption expenditure per capita, which is calculated using household final consumption expenditure in constant 2010 prices and World Bank population estimates. Household final consumption expenditure (private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


Longdefinition:
This indicator provides values for households and NPISHs final consumption expenditure expressed in current international dollars converted by purchasing power parity (PPP) conversion factor.

Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country.

PPP conversion factor is a spatial price deflator and currency converter that eliminates the effects of the differences in price levels between countries.

From July 2020, “Households and NPISHs final consumption expenditure: linked series (current LCU)” [NE.CON.PRVT.CN.AD] is used as underlying expenditure in local currency unit so that it’s in line with time series of PPP conversion factor, private consumption (LCU per international $), which are extrapolated with linked CPI.

Source: International Comparison Program, World Bank | World Development Indicators database, World Bank | Eurostat-OECD PPP Programme.

Statisticalconceptandmethodology:
Typically, higher income countries have higher price levels, while lower income countries have lower price levels (Balassa-Samuelson effect). Market exchange rate-based cross-country comparisons of GDP at its expenditure components reflect both differences in economic outputs (volumes) and prices. Given the differences in price levels, the size of higher income countries is inflated, while the size of lower income countries is depressed in the comparison. PPP-based cross-country comparisons of GDP at its expenditure components only reflect differences in economic outputs (volume), as PPPs control for price level differences between the countries. Hence, the comparison reflects the real size of the countries.

For more information on underlying households and NPISHs final consumption expenditure in local currency, please refer to the metadata for "Households and NPISHs Final consumption expenditure, PPP (current international $)" [NE.CON.PRVT.PP.CD]. For more information on underlying PPP conversion factor, please refer to the metadata for "PPP conversion factor, private consumption (LCU per international $)" [PA.NUS.PRVT.PP].

For the concept and methodology of PPP, please refer to the International Comparison Program (ICP)’s website (https://www.worldbank.org/en/programs/icp).

Topic: Economic Policy & Debt: Purchasing power parity

name: Europe & Central Asia (excluding high income)


IndicatorName: Households and NPISHs Final consumption expenditure, PPP (current international $)

sourceNote:
This indicator provides values for households and NPISHs final consumption expenditure expressed in current international dollars converted by purchasing power parity (PPP) conversion factor.

Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country.

PPP conversion factor is a spatial price deflator and currency converter that eliminates the effects of the differences in price levels between countries.

From July 2020, “Households and NPISHs final consumption expenditure: linked series (current LCU)” [NE.CON.PRVT.CN.AD] is used as underlying expenditure in local currency unit so that it’s in line with time series of PPP conversion factor, private consumption (LCU per international $), which are extrapolated with linked CPI.

sourceOrganization: International Comparison Program, World Bank | World Development Indicators database, World Bank | Eurostat-OECD PPP Programme.


name: Households and NPISHs Final consumption expenditure, PPP (current international $)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Households and NPISHs Final consumption expenditure, PPP (constant 2021 international $)

Longdefinition: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. Data are converted to constant 2021 international dollars using purchasing power parity rates.

Statisticalconceptandmethodology: For the concept and methodology of PPP, please refer to the International Comparison Program (ICP)’s website (https://www.worldbank.org/en/programs/icp).


name: Households and NPISHs Final consumption expenditure, PPP (constant 2021 international $)

sourceNote: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. Data are converted to constant 2021 international dollars using purchasing power parity rates.


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


name: East Asia & Pacific (IDA & IBRD countries)


IndicatorName: Households and NPISHs final consumption expenditure (% of GDP)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Household final consumption expenditure is often estimated as a residual, by subtracting all other known expenditures from GDP. The resulting aggregate may incorporate fairly large discrepancies. When household consumption is calculated separately, many of the estimates are based on household surveys, which tend to be one-year studies with limited coverage. Thus the estimates quickly become outdated and must be supplemented by estimates using price- and quantity-based statistical procedures. Complicating the issue, in many developing countries the distinction between cash outlays for personal business and those for household use may be blurred.

Informal economic activities pose a particular measurement problem, especially in developing countries, where much economic activity is unrecorded. A complete picture of the economy requires estimating household outputs produced for home use, sales in informal markets, barter exchanges, and illicit or deliberately unreported activities. The consistency and completeness of such estimates depend on the skill and methods of the compiling statisticians.

Longdefinition: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This item also includes any statistical discrepancy in the use of resources relative to the supply of resources.


name: Households and NPISHs final consumption expenditure (% of GDP)

sourceNote: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This item also includes any statistical discrepancy in the use of resources relative to the supply of resources.


IndicatorName: Final consumption expenditure (current US$)

Longdefinition: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). Data are in current U.S. dollars.


name: Final consumption expenditure (current US$)

sourceNote: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). Data are in current U.S. dollars.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Final consumption expenditure (current LCU)

Longdefinition: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). Data are in current local currency.


name: Final consumption expenditure (current LCU)

sourceNote: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). Data are in current local currency.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


IndicatorName: Final consumption expenditure (constant 2015 US$)

Longdefinition: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). Data are in constant 2015 prices, expressed in U.S. dollars.

name: Europe & Central Asia (excluding high income)


name: Final consumption expenditure (constant 2015 US$)

sourceNote: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). Data are in constant 2015 prices, expressed in U.S. dollars.


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Final consumption expenditure (annual % growth)

Longdefinition: Average annual growth of final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). This estimate includes any statistical discrepancy in the use of resources relative to the supply of resources.


name: Final consumption expenditure (annual % growth)

sourceNote: Average annual growth of final consumption expenditure based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). This estimate includes any statistical discrepancy in the use of resources relative to the supply of resources.


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Final consumption expenditure (constant LCU)

Longdefinition: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). Data are in constant local currency.


name: Final consumption expenditure (constant LCU)

sourceNote: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (formerly private consumption) and general government final consumption expenditure (formerly general government consumption). Data are in constant local currency.


name: East Asia & Pacific (IDA & IBRD countries)


IndicatorName: Final consumption expenditure (% of GDP)

Longdefinition: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). This estimate includes any statistical discrepancy in the use of resources relative to the supply of resources.


name: Final consumption expenditure (% of GDP)

sourceNote: Final consumption expenditure (formerly total consumption) is the sum of household final consumption expenditure (private consumption) and general government final consumption expenditure (general government consumption). This estimate includes any statistical discrepancy in the use of resources relative to the supply of resources.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Gross national expenditure deflator (base year varies by country)

Longdefinition: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment).


name: Gross national expenditure deflator (base year varies by country)

sourceNote: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment).


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


IndicatorName: Gross national expenditure (current US$)

Longdefinition: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in current U.S. dollars.


name: Gross national expenditure (current US$)

sourceNote: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in current U.S. dollars.


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Gross national expenditure (current LCU)

Longdefinition: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in current local currency.


name: Gross national expenditure (current LCU)

sourceNote: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in current local currency.


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Gross national expenditure (constant 2015 US$)

Longdefinition: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in constant 2015 prices, expressed in U.S. dollars.


name: Gross national expenditure (constant 2015 US$)

sourceNote: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in constant 2015 prices, expressed in U.S. dollars.


name: East Asia & Pacific (IDA & IBRD countries)


IndicatorName: Gross national expenditure (constant LCU)

Longdefinition: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in constant local currency.


name: Gross national expenditure (constant LCU)

sourceNote: Gross national expenditure (formerly domestic absorption) is the sum of household final consumption expenditure (formerly private consumption), general government final consumption expenditure (formerly general government consumption), and gross capital formation (formerly gross domestic investment). Data are in constant local currency.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


Gross national expenditure (% of GDP)

IndicatorName: Gross national expenditure (% of GDP)


IndicatorName: Exports of goods and services (current US$)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total.

Data on exports and imports are compiled from customs reports and balance of payments data. Although the data from the payments side provide reasonably reliable records of cross-border transactions, they may not adhere strictly to the appropriate definitions of valuation and timing used in the balance of payments or corresponds to the change-of ownership criterion. This issue has assumed greater significance with the increasing globalization of international business. Neither customs nor balance of payments data usually capture the illegal transactions that occur in many countries. Goods carried by travelers across borders in legal but unreported shuttle trade may further distort trade statistics.

Longdefinition: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in current U.S. dollars.


name: Exports of goods and services (current US$)

sourceNote: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in current U.S. dollars.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


IndicatorName: Exports of goods and services (current LCU)

Longdefinition: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in current local currency.


name: Exports of goods and services (current LCU)

sourceNote: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in current local currency.


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Exports of goods and services (constant 2015 US$)

Longdefinition: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Exports of goods and services (constant 2015 US$)

sourceNote: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in constant 2015 prices, expressed in U.S. dollars.


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Exports of goods and services (annual % growth)

Longdefinition: Annual growth rate of exports of goods and services based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.


name: Exports of goods and services (annual % growth)

sourceNote: Annual growth rate of exports of goods and services based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.


name: East Asia & Pacific (IDA & IBRD countries)


IndicatorName: Exports of goods and services (constant LCU)

Longdefinition: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in constant local currency.


name: Exports of goods and services (constant LCU)

sourceNote: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments. Data are in constant local currency.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Exports of goods and services (% of GDP)

Longdefinition: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.


name: Exports of goods and services (% of GDP)

sourceNote: Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


IndicatorName: Gross fixed capital formation, private sector (current LCU)

Longdefinition: Private investment covers gross outlays by the private sector (including private nonprofit agencies) on additions to its fixed domestic assets.


name: Gross fixed capital formation, private sector (current LCU)

sourceNote: Private investment covers gross outlays by the private sector (including private nonprofit agencies) on additions to its fixed domestic assets.


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Gross fixed capital formation, private sector (% of GDP)


name: Gross fixed capital formation, private sector (% of GDP)


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Gross fixed capital formation (current US$)

Longdefinition: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current U.S. dollars.


name: Gross fixed capital formation (current US$)

sourceNote: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current U.S. dollars.


name: East Asia & Pacific (IDA & IBRD countries)


IndicatorName: Gross fixed capital formation (current LCU)

Longdefinition: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current local currency.


name: Gross fixed capital formation (current LCU)

sourceNote: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current local currency.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Gross fixed capital formation (constant 2015 US$)

Longdefinition: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 2008 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Gross fixed capital formation (constant 2015 US$)

sourceNote: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 2008 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


IndicatorName: Gross fixed capital formation (annual % growth)

Longdefinition: Average annual growth of gross fixed capital formation based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 2008 SNA, net acquisitions of valuables are also considered capital formation.


name: Gross fixed capital formation (annual % growth)

sourceNote: Average annual growth of gross fixed capital formation based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 2008 SNA, net acquisitions of valuables are also considered capital formation.


name: Europe & Central Asia (excluding high income)


name: Europe & Central Asia (IDA & IBRD countries)


name: Latin America & the Caribbean (IDA & IBRD countries)


IndicatorName: Gross fixed capital formation (constant LCU)

Longdefinition: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant local currency.


name: Gross fixed capital formation (constant LCU)

sourceNote: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant local currency.


name: East Asia & Pacific (excluding high income)


name: Sub-Saharan Africa (IDA & IBRD countries)


IndicatorName: Gross fixed capital formation (% of GDP)

Longdefinition: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.


name: Gross fixed capital formation (% of GDP)

sourceNote: Gross fixed capital formation (formerly gross domestic fixed investment) includes land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.


name: East Asia & Pacific (IDA & IBRD countries)


Changes in inventories (current US$)

IndicatorName: Changes in inventories (current US$)

Longdefinition: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in current U.S. dollars.


sourceNote: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in current U.S. dollars.


Changes in inventories (current LCU)

IndicatorName: Changes in inventories (current LCU)

Longdefinition: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in current local currency.


sourceNote: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in current local currency.


Changes in inventories (constant LCU)

IndicatorName: Changes in inventories (constant LCU)

Longdefinition: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in constant local currency.


sourceNote: Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." Data are in constant local currency.


Gross capital formation (current US$)

IndicatorName: Gross capital formation (current US$)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total.

Data on capital formation may be estimated from direct surveys of enterprises and administrative records or based on the commodity flow method using data from production, trade, and construction activities. The quality of data on government fixed capital formation depends on the quality of government accounting systems (which tend to be weak in developing countries). Measures of fixed capital formation by households and corporations - particularly capital outlays by small, unincorporated enterprises - are usually unreliable.

Estimates of changes in inventories are rarely complete but usually include the most important activities or commodities. In some countries these estimates are derived as a composite residual along with household final consumption expenditure. According to national accounts conventions, adjustments should be made for appreciation of the value of inventory holdings due to price changes, but this is not always done. In highly inflationary economies this element can be substantial.

Longdefinition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current U.S. dollars.


sourceNote: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current U.S. dollars.


Gross capital formation (current LCU)

IndicatorName: Gross capital formation (current LCU)

Longdefinition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current local currency.


sourceNote: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in current local currency.


IndicatorName: Gross capital formation (constant 2015 US$)

Limitationsandexceptions:
Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total.

Data on capital formation may be estimated from direct surveys of enterprises and administrative records or based on the commodity flow method using data from production, trade, and construction activities. The quality of data on government fixed capital formation depends on the quality of government accounting systems (which tend to be weak in developing countries). Measures of fixed capital formation by households and corporations - particularly capital outlays by small, unincorporated enterprises - are usually unreliable.

Estimates of changes in inventories are rarely complete but usually include the most important activities or commodities. In some countries these estimates are derived as a composite residual along with household final consumption expenditure. According to national accounts conventions, adjustments should be made for appreciation of the value of inventory holdings due to price changes, but this is not always done. In highly inflationary economies this element can be substantial.

Measures of growth in consumption and capital formation are subject to two kinds of inaccuracy. The first stems from the difficulty of measuring expenditures at current price levels. The second arises in deflating current price data to measure volume growth, where results depend on the relevance and reliability of the price indexes and weights used. Measuring price changes is more difficult for investment goods than for consumption goods because of the one-time nature of many investments and because the rate of technological progress in capital goods makes capturing change in quality difficult. (An example is computers - prices have fallen as quality has improved.) Several countries estimate capital formation from the supply side, identifying capital goods entering an economy directly from detailed production and international trade statistics. This means that the price indexes used in deflating production and international trade, reflecting delivered or offered prices, will determine the deflator for capital formation expenditures on the demand side.

Longdefinition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 2008 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Gross capital formation (constant 2015 US$)

sourceNote: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 2008 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant 2015 prices, expressed in U.S. dollars.


name: Fragile and conflict affected situations


name: Middle East & North Africa (excluding high income)


IndicatorName: Gross capital formation (annual % growth)

Longdefinition: Annual growth rate of gross capital formation based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 2008 SNA, net acquisitions of valuables are also considered capital formation.


name: Gross capital formation (annual % growth)

sourceNote: Annual growth rate of gross capital formation based on constant local currency. Aggregates are based on constant 2015 prices, expressed in U.S. dollars. Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 2008 SNA, net acquisitions of valuables are also considered capital formation.


name: Latin America & Caribbean (excluding high income)


name: Least developed countries: UN classification


name: Middle East & North Africa (IDA & IBRD countries)


name: Sub-Saharan Africa (excluding high income)


Gross capital formation (constant LCU)

IndicatorName: Gross capital formation (constant LCU)

Longdefinition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant local currency.


sourceNote: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation. Data are in constant local currency.


Gross capital formation (% of GDP)

IndicatorName: Gross capital formation (% of GDP)

Longdefinition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.