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Economy of Cameroon vs Netherlands compared: GDP & Debt

Updated on by Georank team

Cameroon has a GDP of $53.3B compared to $1.21T for the Netherlands, ranking 91/197 and 19/197 by economy size, respectively.

Cameroon has $22.8B in government debt (42.8% of GDP), compared to $532B (43.8% of GDP) in the Netherlands.

Cameroon vs Netherlands GDP by year

Cameroon
Netherlands
1x
Year GDP, current $
Cameroon Netherlands
2024 $53,296,694,320 $1,214,927,698,573
2023 $48,814,501,547 $1,135,475,867,551
2022 $44,347,206,073 $1,046,540,797,549
2021 $45,011,937,347 $1,054,472,123,450
2020 $40,773,241,177 $932,560,861,701
2019 $39,667,757,528 $928,903,005,576
2018 $39,955,552,190 $929,733,599,797
2017 $36,098,547,033 $848,233,537,846
2016 $33,814,337,044 $797,163,949,290
2015 $32,210,233,020 $775,743,675,303
2014 $36,386,544,706 $901,556,501,756
2013 $33,728,621,180 $883,951,539,007
2012 $30,155,062,329 $845,689,017,066
2011 $30,630,910,495 $913,140,741,333
2010 $27,507,501,821 $852,464,982,433
2009 $27,932,970,317 $878,954,223,140
2008 $27,715,142,033 $957,901,566,041
2007 $23,928,250,433 $853,499,460,873
2006 $20,910,512,975 $737,593,995,289
2005 $19,509,852,207 $688,133,699,636
2004 $18,826,214,136 $661,224,886,143
2003 $15,970,315,035 $582,435,617,082
2002 $12,417,251,350 $475,529,972,123
2001 $10,953,485,349 $432,536,219,669
2000 $10,566,579,295 $417,649,282,154
1999 $11,565,826,465 $447,778,514,140
1998 $11,298,144,990 $438,612,530,549
1997 $10,789,458,433 $417,506,211,882
1996 $11,093,538,846 $451,372,549,020
1995 $10,864,772,471 $452,967,334,614
1994 $8,902,446,252 $379,688,232,232
1993 $16,181,814,713 $354,070,495,966
1992 $12,071,775,335 $363,497,050,125
1991 $11,840,192,296 $327,982,316,124
1990 $12,314,482,628 $318,799,003,994
1989 $11,012,566,195 $258,716,904,292
1988 $12,236,057,362 $262,295,966,105
1987 $13,049,659,981 $245,406,949,521
1986 $11,857,056,199 $201,157,708,221
1985 $8,544,810,498 $144,057,523,222
1984 $7,311,938,026 $144,124,462,912
1983 $6,870,200,010 $153,671,294,109
1982 $6,611,255,964 $158,712,765,536
1981 $6,610,938,617 $164,375,775,854
1980 $6,674,569,047 $195,439,301,707
1979 $5,919,002,983 $179,933,827,310
1978 $4,662,852,583 $156,089,077,205
1977 $3,394,664,024 $127,203,923,857
1976 $2,898,090,002 $109,329,386,564
1975 $2,857,037,371 $100,397,061,694
1974 $2,157,415,533 $87,371,810,804
1973 $1,901,393,361 $71,946,639,603
1972 $1,498,251,890 $54,787,070,173
1971 $1,236,941,394 $44,644,730,576
1970 $1,151,216,993 $38,220,884,519
1969 $1,100,551,489 $34,086,038,090
1968 $1,046,191,218 $30,097,635,751
1967 $936,175,260 $27,143,828,099
1966 $851,112,535 $24,741,480,717
1965 $814,083,266 $22,721,869,808
1964 $776,650,177 $20,232,048,553
1963 $718,320,845 $17,193,744,109
1962 $694,247,864 $15,847,582,341
1961 $652,777,608 $14,599,836,396
1960 $614,206,068 $13,282,979,015

Data sources: World Bank | Economy & Growth (1960–2024, retrieved 2026-04-06).

GeoRank.org/economy/cameroon/netherlands | CC BY

GDP per capita in Cameroon vs Netherlands by year

Cameroon
GDP per capita

GDP per capita, PPP
Netherlands
GDP per capita

GDP per capita, PPP
1x
Year Current $
Cameroon Netherlands
GDP per capita GDP per capita, PPP GDP per capita GDP per capita, PPP
2024 $1,830 $5,589 $67,520 $86,174
2023 $1,720 $5,411 $63,516 $81,729
2022 $1,605 $5,189 $59,123 $78,630
2021 $1,672 $4,794 $60,142 $68,574
2020 $1,556 $4,365 $53,468 $62,597
2019 $1,555 $4,241 $53,555 $62,345
2018 $1,611 $4,011 $53,955 $58,819
2017 $1,496 $3,767 $49,514 $56,038
2016 $1,442 $3,627 $46,809 $53,162
2015 $1,415 $3,498 $45,794 $50,957
2014 $1,649 $3,422 $53,457 $49,751
2013 $1,576 $3,239 $52,602 $49,622
2012 $1,449 $3,060 $50,474 $47,653
2011 $1,514 $2,989 $54,702 $47,004
2010 $1,399 $2,914 $51,306 $45,301
2009 $1,461 $2,879 $53,172 $44,959
2008 $1,492 $2,870 $58,247 $46,714
2007 $1,326 $2,818 $52,101 $44,203
2006 $1,191 $2,704 $45,124 $41,208
2005 $1,143 $2,598 $42,165 $37,778
2004 $1,133 $2,533 $40,611 $35,961
2003 $988 $2,368 $35,897 $34,286
2002 $790 $2,263 $29,447 $34,568
2001 $715 $2,191 $26,956 $33,259
2000 $709 $2,108 $26,225 $31,895
1999 $796 $2,039 $28,319 $29,316
1998 $799 $1,975 $27,924 $27,749
1997 $783 $1,915 $26,745 $26,062
1996 $827 $1,850 $29,064 $24,564
1995 $832 $1,790 $29,301 $23,480
1994 $701 $1,752 $24,683 $22,414
1993 $1,310 $1,731 $23,156 $21,443
1992 $1,005 $1,890 $23,939 $20,831
1991 $1,015 $1,963 $21,764 $20,177
1990 $1,087 $2,032 $21,322 $19,203
1989 $1,001 - $17,423 -
1988 $1,145 - $17,771 -
1987 $1,258 - $16,734 -
1986 $1,179 - $13,804 -
1985 $875 - $9,941 -
1984 $772 - $9,992 -
1983 $746 - $10,696 -
1982 $732 - $11,089 -
1981 $750 - $11,537 -
1980 $784 - $13,812 -
1979 $718 - $12,817 -
1978 $582 - $11,196 -
1977 $435 - $9,180 -
1976 $381 - $7,937 -
1975 $386 - $7,346 -
1974 $299.9 - $6,450 -
1973 $271.8 - $5,353 -
1972 $220.1 - $4,110 -
1971 $186.7 - $3,384 -
1970 $178.5 - $2,931 -
1969 $175.2 - $2,647 -
1968 $170.8 - $2,364 -
1967 $156.6 - $2,155 -
1966 $145.8 - $1,986 -
1965 $142.7 - $1,848 -
1964 $139.2 - $1,668 -
1963 $131.6 - $1,437 -
1962 $130 - $1,342 -
1961 $124.6 - $1,254 -
1960 $119.1 - $1,156 -

Data sources: World Bank | Economy & Growth (1960–2024, retrieved 2026-04-06).

GeoRank.org/economy/cameroon/netherlands | CC BY

Cameroon's GDP per capita is $1,830, ranking 158/197, compared to $67,520 in the Netherlands, ranking 13/197. Adjusted for purchasing power (GDP per capita PPP), Cameroon ranks 156th at $5,589, while the Netherlands ranks 11th at $86,174.

Economic indicators

Cameroon Netherlands
Gross domestic product
$53.3B
2024
$1.21T
2024
GDP rank
91/197
2024
19/197
2024
GDP growth
3.52%
2023-2024
1.08%
2023-2024
GDP per capita
$1,830
2024
$67,520
2024
GDP per capita rank
158/197
2024
13/197
2024
GDP per capita, PPP
$5,589
2024
$86,174
2024
GDP per capita PPP rank
156/197
2024
11/197
2024
Government debt
$22.8B
2024
$532B
2024
Debt-to-GDP ratio
42.8%
2024
43.8%
2024
Government debt per person
$784
2024
$29,571
2024
Government debt per person rank
152/185
2024
24/185
2024
Average annual personal income after taxes
$1,578
2026
$47,815
2026
Market capitalization of domestic companies n/a
$1.1T
2017
Number of millionaires n/a
1,267,000
2025
Number of billionaires n/a
13
2025
Income share by richest 10%
31.1%
2021
21.4%
2021
Income share by poorest 10%
2.1%
2021
3.6%
2021
Government expenditure, % of GDP
16.7%
2024
44.4%
2024
Consumer prices inflation
4.53%
2023-2024
3.35%
2023-2024
Unemployment rate
3.28%
2021
3.64%
2024
Population
30864115
18252623

Spending and national debt comparison by year

Cameroon
Spending

Debt
Netherlands
Spending

Debt
1x
Year % of GDP
Cameroon Netherlands
Government spending Government debt Government spending Government debt
2024 16.7% 42.8% 44.4% 43.8%
2023 17.1% 43.1% 44% 45.9%
2022 17.1% 45.6% 43.3% 48.4%
2021 17.1% 47.2% 45.9% 50.5%
2020 16.6% 44.9% 47.8% 53.4%
2019 18.7% 41.6% 42.1% 47.7%
2018 18% 38.3% 42.4% 51.6%
2017 19.2% 36.5% 42.8% 56%
2016 20.2% 32.1% 43.9% 60.9%
2015 20.1% 31.6% 45.3% 63.8%
2014 20.1% 20.7% 46.7% 67.2%
2013 19.2% 17.5% 47.5% 67.2%
2012 17.2% 14.9% 47.6% 65.7%
2011 17.8% 15.9% 47.8% 61.2%
2010 15.2% 14% 48.9% 58.9%
2009 14.7% 11.3% 48.4% 56.3%
2008 15.9% 11.2% 44.3% 54.4%
2007 13.5% 13.8% 43.3% 42.7%
2006 12.5% 18.4% 44% 45%
2005 12.4% 43.8% 43.4% 49.6%
2004 13.4% 51.7% 44.7% 50.1%
2003 13.2% 51.5% 45.8% 49.8%
2002 13.9% 56.6% 44.8% 48.7%
2001 14.6% 62.2% 44.1% 49.4%
2000 14.6% 75.9% 43.2% 52.2%
1999 - 68.4% 44.3% 58.6%
1998 - 67.8% 44.6% 62.7%
1997 - - 45.7% 65.7%
1996 - - 47.3% 71.2%
1995 - - 53.9% 73%
1994 - - 49.4% 73.5%
1993 - - 50.9% 76.7%
1992 - - 50.2% 75.6%
1991 - - 49.6% 74.8%
1990 - - 48.8% 75%
1989 - - 54.5% 73.7%
1988 - - 56.4% 73.7%
1987 - - 58.5% 71.3%
1986 - - 57% 68.9%
1985 - - 57.3% 67.1%
1984 - - 58.1% 61.9%
1983 - - 59.1% 58.4%
1982 - - 59.1% 52.4%
1981 - - 56.8% 46.9%
1980 - - 55.2% 43.6%
1979 - - 53.7% 39.5%
1978 - - 52.3% 38.1%
1977 - - 50.6% 34.9%
1976 - - 50.8% 35.2%
1975 - - 50.8% 36.1%
1974 - - 46.4% 36.3%
1973 - - 44.6% 38.1%
1972 - - 44.9% 41.3%
1971 - - 44.6% 43.7%
1970 - - 43.2% 46.1%
1969 - - 42.1% 48.2%
1968 - - 25.4% 54.4%
1967 - - 24.1% 55%
1966 - - 24.4% 55.6%
1965 - - 23.4% 55.8%
1964 - - 22.3% 57.1%
1963 - - 21.9% 61.7%
1962 - - 22.1% 63.8%
1961 - - 22.2% 65.9%
1960 - - 20.4% 66.7%

Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1990–2024, retrieved 2026-02-20); International Monetary Fund (IMF) | Public Finances in Modern History (1960–1989, retrieved 2026-02-20).

GeoRank.org/economy/cameroon/netherlands | CC BY

In 2024, Cameroon's government spending was $8.91B, accounting for 16.7% of its GDP, while the Netherlands spent $540B, or 44.4% of GDP.

Debt-to-GDP ratio is 42.8% in Cameroon and 43.8% in the Netherlands, ranking 125/185 and 123/185, respectively.

Government deficit by year

Deficit/surplus
Cameroon

Netherlands
1x
Year Deficit/surplus, % of GDP
Cameroon Netherlands
2024 -1.48% -0.94%
2023 -0.63% -0.37%
2022 -1.11% 0.002%
2021 -3.01% -2.26%
2020 -3.19% -3.72%
2019 -3.24% 1.91%
2018 -2.41% 1.49%
2017 -4.72% 1.35%
2016 -5.88% 0.23%
2015 -4.25% -1.84%
2014 -4.09% -2.17%
2013 -3.55% -2.87%
2012 -1.4% -3.83%
2011 -2.26% -4.42%
2010 -0.93% -5.3%
2009 -0.04% -5.06%
2008 2% -0.06%
2007 3.87% -0.16%
2006 28.2% 0.04%
2005 3.03% -0.51%
2004 -0.46% -1.82%
2003 0.56% -3.19%
2002 1.51% -2.23%
2001 0.86% -0.47%
2000 1.54% 1.14%
1999 - 0.28%
1998 - -1.34%
1997 - -1.6%
1996 - -1.91%
1995 - -8.72%
1994 - -3.53%
1993 - -3.13%
1992 - -3.12%
1991 - -2.05%
1990 - -4.08%
1989 - -5%
1988 - -4.23%
1987 - -5.39%
1986 - -4.62%
1985 - -3.6%
1984 - -5.25%
1983 - -5.47%
1982 - -6.17%
1981 - -4.92%
1980 - -3.95%
1979 - -2.46%
1978 - -2.09%
1977 - -0.75%
1976 - -2.02%
1975 - -2.82%
1974 - -0.26%
1973 - 0.54%
1972 - -0.7%
1971 - -1.58%
1970 - -1.52%
1969 - -1.14%
1968 - -3.06%
1967 - -1.97%
1966 - -2.37%
1965 - -1.15%
1964 - -1.2%
1963 - -0.54%
1962 - -1.38%
1961 - -0.38%
1960 - 0.9%
1959 - -0.74%
1958 - -0.89%
1957 - 0.3%
1956 - -0.83%
1955 - -0.25%
1954 - 0.76%
1953 - -2.95%
1952 - 2.19%
1951 - 2.13%
1950 - 0.81%
1949 - 2.3%
1948 - -
1947 - -
1946 - -
1945 - -
1944 - -
1943 - -
1942 - -
1941 - -
1940 - -
1939 - -3.19%
1938 - -0.37%
1937 - 0.02%
1936 - -0.41%
1935 - -0.69%
1934 - -0.92%
1933 - -2.55%
1932 - -1.97%
1931 - -1.66%
1930 - -0.55%
1929 - -1.16%
1928 - -0.62%
1927 - -0.33%
1926 - -0.78%
1925 - -2.04%
1924 - -3.37%
1923 - -2.62%
1922 - -
1921 - -
1920 - -
1919 - -
1918 - -
1917 - -
1916 - -
1915 - -
1914 - -
1913 - -0.45%
1912 - -0.47%
1911 - -0.13%
1910 - -0.93%
1909 - -0.34%
1908 - -0.57%
1907 - 0.03%
1906 - 0.16%
1905 - 0.1%
1904 - -0.72%
1903 - 0.09%
1902 - -0.14%
1901 - 0.03%
1900 - 0.06%
1899 - -0.13%
1898 - -0.48%
1897 - -0.45%
1896 - 0.08%
1895 - -0.06%
1894 - 0.12%
1893 - -0.76%
1892 - -1.72%
1891 - -0.06%
1890 - -0.06%
1889 - 0.04%
1888 - -0.31%
1887 - -0.37%
1886 - -0.08%
1885 - -0.55%
1884 - 0%
1883 - -2.1%
1882 - -1.11%
1881 - -1.06%
1880 - 0.21%

Data sources: International Monetary Fund (IMF) | Public Finances in Modern History (1880–1989, retrieved 2026-02-20); International Monetary Fund (IMF) | Fiscal Monitor (1990–2024, retrieved 2026-02-20).

GeoRank.org/economy/cameroon/netherlands | CC BY

In 2024, Cameroon's government deficit, the difference between spending and revenue, was $789M, equivalent to 1.48% of GDP. This compares to the Netherlands' deficit of $11.5B, or 0.94% of GDP.

Over the past 25 years, Cameroon recorded a fiscal deficit in 17 of those years, while the Netherlands ran a deficit in 18 years. On average, Cameroon posted an annual deficit equal to 0.04% of GDP, compared to deficit of 1.4% of GDP for the Netherlands.

Inflation comparison by year

Inflation
Cameroon

Netherlands
1x
Year Consumer prices inflation
Cameroon Netherlands
2024 4.53% 3.35%
2023 7.38% 3.84%
2022 6.25% 10%
2021 2.27% 2.68%
2020 2.44% 1.27%
2019 2.45% 2.63%
2018 1.07% 1.7%
2017 0.64% 1.38%
2016 0.87% 0.32%
2015 2.68% 0.6%
2014 1.85% 0.98%
2013 2.05% 2.51%
2012 2.74% 2.46%
2011 2.94% 2.34%
2010 1.28% 1.28%
2009 3.04% 1.19%
2008 5.34% 2.49%
2007 0.92% 1.61%
2006 5.12% 1.1%
2005 2.01% 1.69%
2004 0.23% 1.26%
2003 0.62% 2.09%
2002 2.83% 3.29%
2001 4.42% 4.16%
2000 1.23% 2.36%
1999 1.87% 2.16%
1998 3.17% 1.96%
1997 4.79% 2.11%

Data sources: World Bank | Economy & Growth (1997–2024, retrieved 2026-04-06).

GeoRank.org/economy/cameroon/netherlands | CC BY

Over the past 28 years, Cameroon has recorded an average annual inflation rate of 2.75%, compared with 2.31% in the Netherlands. In 2024, inflation was 4.53% in Cameroon and 3.35% in the Netherlands.

Top exports between countries

Cameroon
Export category Export value
Raw materials & minerals $670M
Processed food, beverages & tobacco $427M
Metals $33.7M
Wood & paper products $13M
Machinery & equipment $489K
Raw agricultural goods $94K
Textiles & consumer goods $11K
Precious metals & jewellery $2K
Netherlands
Export category Export value
Machinery & equipment $32.9M
Processed food, beverages & tobacco $29.4M
Chemicals & pharma $26M
Textiles & consumer goods $18M
Animal & marine products $16.5M
Raw agricultural goods $6.13M
Raw materials & minerals $5.93M
Wood & paper products $4.51M
Miscellaneous $3.47M
Metals $1.54M

Balance of trade

Cameroon Netherlands
Current account balance
-$2.02B
2023
$111B
2024
Current account balance ranking
144/190
2023
5/190
2024
Current account balance, % of GDP
-4.14%
2023
+9.13%
2024
Goods imports
$7.74B
2023
$606B
2024
Goods exports
$6.34B
2023
$693B
2024
Service imports
$2.55B
2023
$262B
2024
Service exports
$2.01B
2023
$308B
2024
Imports of goods and services, % of GDP
18.7%
2024
71.4%
2024
Exports of goods and services, % of GDP
15.7%
2024
82.4%
2024

Economic freedom indices

The indices of economic freedom below are issued by the Heritage Foundation. Higher scores indicate stronger economic health.

Cameroon Netherlands
Economic freedom 52 78.5
Economic freedom ranking 151/197 11/197
Property rights 28.1 96
Government integrity 21 86.8
Judicial effectiveness 10.1 96.1
Tax burden 72.2 54
Government spending 91.4 42.2
Fiscal health 94.5 95.9
Business freedom 48.6 85
Labor freedom 45.6 59.3
Monetary freedom 75.3 77
Trade freedom 57.2 79.4
Investment freedom 30 90
Financial freedom 50 80

Economic freedom comparison by year

Cameroon
Netherlands
1x
Year Economic freedom index
Cameroon Netherlands
2026 52 78.5
2025 52.1 78.2
2024 53.6 77.3
2023 51.9 78
2022 52.9 79.5
2021 53.4 76.8
2020 53.6 77
2019 52.4 76.8
2018 51.9 76.2
2017 51.8 75.8
2016 54.2 74.6
2015 51.9 73.7
2014 52.6 74.2
2013 52.3 73.5
2012 51.8 73.3
2011 51.8 74.7
2010 52.3 75
2009 53 77
2008 54.3 77.4
2007 55.6 75.5
2006 54.6 75.4
2005 53 72.9
2004 52.3 74.5
2003 52.7 74.6
2002 52.8 75.1
2001 53.3 73
2000 49.9 70.4
1999 50.3 70.2
1998 48 69.2
1997 44.6 70.4
1996 45.7 69.7
1995 51.3 -

Data sources: The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-03-09).

GeoRank.org/economy/cameroon/netherlands | CC BY

The Economic Freedom Index for Cameroon is 52, ranking 151/197, compared to 78.5 for the Netherlands, ranking 11/197. The chart above displays a comparison of annual changes in economic freedom indexes.

Other economic metrics

Cameroon Netherlands
Services, % of GDP
50.7%
2024
70.5%
2024
Industry, % of GDP
23.2%
2024
17.5%
2024
Agriculture, forestry, and fishing, % of GDP
18.5%
2024
1.73%
2024
GNI, Atlas method
$49.5B
2024
$1.12T
2024
GNI per capita, PPP
$5,490
2024
$84,970
2024
Total reserves including gold
$4.88B
2023
$79.1B
2024
Total reserves ranking
103/177
2023
34/177
2024
Net foreign direct investment
-$901M
2023
$11.1B
2024
Net inflows of foreign direct investment
$888M
2024
-$17.1B
2024
Net outflows of foreign direct investment
$63.4M
2024
-$5.93B
2024
Servicing debt to the IMF, % of GNI
3.2%
2024
n/a
Poverty at national poverty lines
37.7%
2021
14.5%
2021
Gross capital formation, % of GDP
18.9%
2024
19.7%
2024

GDP per capita map

1x

Data sources: World Bank | Economy & Growth (1985–2024, retrieved 2026-04-06); U.S. Census Bureau (1985–2024, retrieved 2026-02-08).

GeoRank.org/economy/cameroon/netherlands | CC BY

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Data sources:

  1. World Bank | Economy & Growth (1960–2024, retrieved 2026-04-06)
  2. International Monetary Fund (IMF) | Fiscal Monitor (1990–2024, retrieved 2026-02-20)
  3. International Monetary Fund (IMF) | Public Finances in Modern History (1880–1989, retrieved 2026-02-20)
  4. The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-03-09)
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The current account balance is the sum of net trade in goods and services, net earnings from cross-border investments, and net transfer payments. It reflects a country's economic transactions with the rest of the world and is a fundamental component of the balance of payments. A surplus indicates that a country exports more than it imports, while a deficit shows the opposite.

Gross National Income (GNI) measures a country's total income. It encompasses income earned by residents, businesses, and foreign sources, defined as employee compensation and investment profits. GNI adds product taxes not included elsewhere and subtracts subsidies. It accounts for income from residents working abroad but excludes earnings from foreigners within the country.

A negative value for Net Foreign Direct Investment indicates a country is a net receiver of investments, as foreign inflows exceed outflows after Balance of Payments adjustments. A positive value indicates a net provider, with outflows exceeding inflows. Inflows are credits (increasing foreign claims on domestic assets), while outflows are debits (increasing domestic assets abroad).

Foreign direct investment (FDI, net inflows) shows how much capital foreign investors bring into a country after accounting for any funds that flow back in the opposite direction. It represents the net value of overseas companies establishing, expanding, or financing businesses in the reporting country. A positive number means more capital entered the country than was withdrawn, while a negative number means foreign investors pulled out more than they invested.

Foreign direct investment (FDI, net outflows) shows how much capital residents of a country invest abroad after accounting for any funds that flow back in the opposite direction. It represents the net value of domestic companies establishing, expanding, or financing businesses in other countries. A positive number means more capital was invested abroad than withdrawn, while a negative number means residents pulled back more than they invested.

Principal and interest payments to the IMF in currency, goods, or services on long-term debt expressed as a share of GNI.

Formerly gross domestic investment, gross capital formation measures the share of a country’s economic output invested in fixed assets, including buildings, machinery, and infrastructure. It indicates how much of the economy is devoted to building productive capacity.