The GDP per capita figure tells a lot about the economic development of a society. latest in his studies The International Monetary Fund has ranked countries according to how much their economic performance is expected per capita in 2023.
Luxembourg won the title of the richest country, with a per capita GDP (gross value added) of nearly $130,000.
Luxembourg is one of the smallest countries in the European Union with a population of 634,000. Formerly known for producing steel, the country now boasts a distinct financial services sector that accounts for most of its economic output. The per capita GDP of the richest country in the world is approximately 415 times that of the poorest country in the world, Burundi, with that figure being just $303.
A previous study showed that retirees in Luxembourg and other rich countries also live in luxury.
Based on per capita GDP, Ireland is the second richest country in the world at $107,000, followed by Switzerland at around $94,000. Ireland’s per capita GDP has grown significantly in recent years in particular, thanks to a business-friendly environment, low corporate tax rates and a highly skilled workforce that attracts foreign direct investment.
According to an IMF study, the top 10 richest countries are:
- Luxembourg
- Ireland
- Switzerland
- The State of Qatar
- Norway
- Singapore
- United State
- Iceland
- Australia
- Denmark
Hungary occupies the 57th place with 20,119 dollars, and thus we pushed Romania, Poland and Croatia behind us, but Slovakia and Slovenia are ahead of us.
However, it should be noted that GDP per capita is not a comprehensive indicator of welfare since It just gives an idea of the economic performance. For example, increased production can lead to environmental pollution, health problems and the accompanying increase in spending, which although it increases GDP, does not contribute to an improvement in the quality of life.
Most of the richest countries are located in Europe and North America, the two richest continents. the visual capital Diagram from an IMF study.
They are the poorest in Africa
Economic performance per capita in Africa is much lower than in North America and Europe.
With nearly 13 million inhabitants, Burundi is one of the smallest countries in Africa. The country has the lowest per capita GDP, just $308. Burundi gained independence in 1962, after being a German and then Belgian colony from the second half of the nineteenth century. Over the past 50 years, the country has suffered from frequent civil wars and high levels of corruption. However, the International Monetary Fund predicts positive trends for the country’s economy, citing recent economic reforms.
We wrote earlier that Burundi is one of the countries from which groups of immigrants migrate en masse to Europe. Many countries will build border fences using EU funds, but the European Commission still does not support this idea.
The second and third lowest per capita GDPs are in Sierra Leone and Malawi, both of which are about $200 more than Burundi.
All of the world’s 20 poorest countries – with the exception of Yemen – are located on the African continent.
The 10 poorest countries in the world:
- Burundi
- Sierra Leone
- Malawi
- Central African Republic
- Madagascar
- Somalia
- South Sudan
- Niger
- Mozambique
- Eritrea
(Cover photo: MTVA / Commissioner: László Róka )
