Malawi has a GDP of $11.3B compared to $918B for Poland, ranking 151/197 and 21/197 by economy size, respectively.
Malawi has $9.91B in government debt (87.6% of GDP), compared to $507B (55.3% of GDP) in Poland.
Malawi vs Poland GDP by year
| Year | GDP, current $ | |
|---|---|---|
Malawi
|
Poland
|
|
| 2024 | $11,316,411,329 | $917,767,106,147 |
| 2023 | $13,363,669,673 | $812,451,193,396 |
| 2022 | $12,429,059,928 | $695,607,470,875 |
| 2021 | $12,378,119,199 | $689,170,230,665 |
| 2020 | $11,769,313,598 | $605,914,237,904 |
| 2019 | $11,051,852,713 | $602,683,770,145 |
| 2018 | $9,879,220,354 | $594,616,687,350 |
| 2017 | $8,943,543,794 | $528,356,676,667 |
| 2016 | $7,909,868,618 | $473,259,583,970 |
| 2015 | $9,219,474,379 | $480,054,118,583 |
| 2014 | $8,801,326,169 | $542,134,167,179 |
| 2013 | $8,031,571,928 | $518,179,836,405 |
| 2012 | $8,773,203,178 | $498,148,649,703 |
| 2011 | $11,648,142,958 | $527,848,543,023 |
| 2010 | $10,128,323,011 | $478,111,630,684 |
| 2009 | $9,009,887,947 | $440,891,472,247 |
| 2008 | $7,743,617,352 | $535,612,030,672 |
| 2007 | $6,451,210,219 | $429,715,132,138 |
| 2006 | $5,818,279,739 | $345,897,630,736 |
| 2005 | $5,320,409,651 | $306,999,913,151 |
| 2004 | $5,058,726,350 | $256,268,656,145 |
| 2003 | $4,669,789,300 | $218,561,225,998 |
| 2002 | $5,087,328,438 | $199,694,463,256 |
| 2001 | $2,498,008,665 | $191,823,200,371 |
| 2000 | $2,537,307,580 | $172,953,527,033 |
| 1999 | $2,584,478,924 | $170,704,452,715 |
| 1998 | $2,547,609,590 | $175,282,269,667 |
| 1997 | $3,875,785,863 | $159,893,964,917 |
| 1996 | $3,319,573,750 | $160,813,026,223 |
| 1995 | $2,033,701,498 | $142,838,527,115 |
| 1994 | $1,719,864,761 | $110,803,635,288 |
| 1993 | $3,013,392,658 | $96,043,157,273 |
| 1992 | $2,618,837,835 | $94,337,050,693 |
| 1991 | $3,206,783,830 | $85,500,935,935 |
| 1990 | $2,737,087,862 | $65,977,748,211 |
| 1989 | $2,314,205,130 | - |
| 1988 | $2,008,189,508 | - |
| 1987 | $1,721,711,808 | - |
| 1986 | $1,722,586,299 | - |
| 1985 | $1,646,442,273 | - |
| 1984 | $1,758,028,656 | - |
| 1983 | $1,780,148,049 | - |
| 1982 | $1,717,379,495 | - |
| 1981 | $1,801,193,910 | - |
| 1980 | $1,801,156,775 | - |
Data sources: World Bank | Economy & Growth (1980–2024, retrieved 2026-04-06).
GeoRank.org/economy/malawi/poland | CC BY 
GDP per capita in Malawi vs Poland by year
| Year | Current $ | |||
|---|---|---|---|---|
|
Malawi
|
Poland
|
|||
| GDP per capita | GDP per capita, PPP | GDP per capita | GDP per capita, PPP | |
| 2024 | $523 | $1,858 | $25,104 | $51,263 |
| 2023 | $633 | $1,830 | $22,145 | $48,473 |
| 2022 | $604 | $1,778 | $18,891 | $46,778 |
| 2021 | $617 | $1,688 | $18,636 | $41,060 |
| 2020 | $603 | $1,513 | $16,151 | $37,089 |
| 2019 | $581 | $1,450 | $15,875 | $35,882 |
| 2018 | $533 | $1,364 | $15,658 | $32,345 |
| 2017 | $496 | $1,380 | $13,913 | $30,170 |
| 2016 | $451 | $1,410 | $12,464 | $28,360 |
| 2015 | $540 | $1,403 | $12,638 | $26,988 |
| 2014 | $530 | $1,506 | $14,262 | $25,460 |
| 2013 | $497 | $1,558 | $13,622 | $24,434 |
| 2012 | $558 | $1,464 | $13,087 | $23,728 |
| 2011 | $763 | $1,516 | $13,868 | $22,809 |
| 2010 | $683 | $1,458 | $12,568 | $20,991 |
| 2009 | $626 | $1,388 | $11,556 | $19,300 |
| 2008 | $554 | $1,311 | $14,049 | $18,372 |
| 2007 | $475 | $1,231 | $11,273 | $16,833 |
| 2006 | $441 | $1,124 | $9,069 | $15,205 |
| 2005 | $414 | $1,071 | $8,044 | $13,936 |
| 2004 | $405 | $1,033 | $6,712 | $13,413 |
| 2003 | $383 | $979 | $5,721 | $12,329 |
| 2002 | $428 | $931 | $5,223 | $11,841 |
| 2001 | $215.5 | $924 | $5,015 | $11,175 |
| 2000 | $224.2 | $974 | $4,521 | $10,721 |
| 1999 | $233.9 | $961 | $4,416 | $10,081 |
| 1998 | $236 | $941 | $4,534 | $9,521 |
| 1997 | $367 | $915 | $4,137 | $8,967 |
| 1996 | $321 | $884 | $4,164 | $8,310 |
| 1995 | $200.4 | $825 | $3,701 | $7,715 |
| 1994 | $169.2 | $692 | $2,875 | $7,040 |
| 1993 | $293 | $746 | $2,497 | $6,560 |
| 1992 | $258.4 | $674 | $2,459 | $6,193 |
| 1991 | $326 | $732 | $2,236 | $5,925 |
| 1990 | $286.7 | $672 | $1,731 | $6,185 |
| 1989 | $252.2 | - | - | - |
| 1988 | $229.4 | - | - | - |
| 1987 | $207.6 | - | - | - |
| 1986 | $217.9 | - | - | - |
| 1985 | $216.1 | - | - | - |
| 1984 | $239.7 | - | - | - |
| 1983 | $252.4 | - | - | - |
| 1982 | $253.3 | - | - | - |
| 1981 | $276.4 | - | - | - |
| 1980 | $287.5 | - | - | - |
Data sources: World Bank | Economy & Growth (1980–2024, retrieved 2026-04-06).
GeoRank.org/economy/malawi/poland | CC BY
Malawi's GDP per capita is $523, ranking 194/197, compared to $25,104 in Poland, ranking 48/197. Adjusted for purchasing power (GDP per capita PPP), Malawi ranks 189th at $1,858, while Poland ranks 43rd at $51,263.
Economic indicators
|
Malawi
|
Poland
|
|
|---|---|---|
| Gross domestic product |
$11.3B
2024 |
$918B
2024 |
| GDP rank |
151/197
2024 |
21/197
2024 |
| GDP growth |
1.67%
2023-2024 |
3.03%
2023-2024 |
| GDP per capita |
$523
2024 |
$25,104
2024 |
| GDP per capita rank |
194/197
2024 |
48/197
2024 |
| GDP per capita, PPP |
$1,858
2024 |
$51,263
2024 |
| GDP per capita PPP rank |
189/197
2024 |
43/197
2024 |
| Government debt |
$9.91B
2024 |
$507B
2024 |
| Debt-to-GDP ratio |
87.6%
2024 |
55.3%
2024 |
| Government debt per person |
$458
2024 |
$13,874
2024 |
| Government debt per person rank |
168/185
2024 |
41/185
2024 |
| Average annual personal income after taxes |
$3,031
2026 |
$20,736
2026 |
| Market capitalization of domestic companies | n/a |
$197B
2024 |
| Number of billionaires | n/a |
10
2025 |
| Income share by richest 10% |
31%
2019 |
22.9%
2023 |
| Income share by poorest 10% |
2.9%
2019 |
3.3%
2023 |
| Government expenditure, % of GDP |
29.5%
2024 |
49.4%
2024 |
| Consumer prices inflation |
32.2%
2023-2024 |
3.78%
2023-2024 |
| Central bank interest rate |
26%
2024 |
4%
2025 |
| Unemployment rate |
15.4%
2024 |
2.81%
2024 |
| Population |
22949294
|
35806942
|
Spending and national debt comparison by year
| Year | % of GDP | |||
|---|---|---|---|---|
|
Malawi
|
Poland
|
|||
| Government spending | Government debt | Government spending | Government debt | |
| 2024 | 29.5% | 87.6% | 49.4% | 55.3% |
| 2023 | 25.5% | 86.7% | 46.9% | 49.5% |
| 2022 | 26.7% | 75.7% | 43.2% | 48.8% |
| 2021 | 23.7% | 66.5% | 43.6% | 53% |
| 2020 | 22.7% | 53.9% | 47.7% | 56.6% |
| 2019 | 19.3% | 41.2% | 41.4% | 45.2% |
| 2018 | 19.4% | 40.8% | 41% | 48.2% |
| 2017 | 21% | 40% | 41.1% | 50.4% |
| 2016 | 19.7% | 37.1% | 41.1% | 54.1% |
| 2015 | 19.5% | 35.5% | 41.5% | 51.1% |
| 2014 | 18.3% | 33.5% | 42.7% | 51.1% |
| 2013 | 20.7% | 35.3% | 43.2% | 56.9% |
| 2012 | 18.8% | 28.6% | 43.2% | 54.5% |
| 2011 | 17% | 20% | 44.1% | 54.8% |
| 2010 | 19.6% | 19.3% | 46% | 53.7% |
| 2009 | 20.2% | 23.5% | 44.9% | 49.7% |
| 2008 | 20.6% | 23.5% | 44% | 46.6% |
| 2007 | 20.7% | 18.9% | 42.8% | 44.4% |
| 2006 | 17.8% | 17.9% | 44.3% | 47.1% |
| 2005 | 17.4% | 70.9% | 44.1% | 46.5% |
| 2004 | 17.2% | 74.7% | 43.3% | 44.9% |
| 2003 | 15.4% | 84.7% | 45.5% | 46.4% |
| 2002 | 13.8% | 101.5% | 45.1% | 41.6% |
| 2001 | - | - | 44.7% | 37.2% |
| 2000 | - | - | 43.1% | 36.4% |
| 1999 | - | - | 42.5% | 39.4% |
| 1998 | - | - | 44% | 38.7% |
| 1997 | - | - | 46.1% | 42.7% |
| 1996 | - | - | 50.7% | 43.2% |
| 1995 | - | - | 47.5% | 48.7% |
| 1994 | - | - | - | 64.3% |
| 1993 | - | - | - | 83.9% |
| 1992 | - | - | - | 81.9% |
| 1991 | - | - | - | 76.9% |
| 1990 | - | - | - | 89.7% |
| 1989 | - | - | - | - |
| 1988 | - | - | - | - |
| 1987 | - | - | - | - |
| 1986 | - | - | - | - |
| 1985 | - | - | - | - |
| 1984 | - | - | - | - |
| 1983 | - | - | - | - |
| 1982 | - | - | - | - |
| 1981 | - | - | - | - |
| 1980 | - | - | - | - |
| 1979 | - | - | 35.6% | - |
| 1978 | - | - | 35.8% | - |
| 1977 | - | - | 35.6% | - |
| 1976 | - | - | 34.8% | - |
| 1975 | - | - | 34.1% | - |
| 1974 | - | - | 28.6% | - |
| 1973 | - | - | 24.5% | - |
| 1972 | - | - | 24.1% | - |
| 1971 | - | - | 24.1% | - |
| 1970 | - | - | 25.8% | - |
| 1969 | - | - | 26.3% | - |
| 1968 | - | - | 27.3% | - |
| 1967 | - | - | 29.6% | - |
| 1966 | - | - | 31.7% | - |
| 1965 | - | - | 31.8% | - |
| 1964 | - | - | 33.5% | - |
| 1963 | - | - | 33.3% | - |
| 1962 | - | - | 43% | - |
| 1961 | - | - | 42.8% | - |
| 1960 | - | - | 39.2% | - |
Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1995–2024, retrieved 2026-02-20); International Monetary Fund (IMF) | Public Finances in Modern History (1960–1994, retrieved 2026-02-20).
GeoRank.org/economy/malawi/poland | CC BY
In 2024, Malawi's government spending was $3.34B, accounting for 29.5% of its GDP, while Poland spent $453B, or 49.4% of GDP.
Debt-to-GDP ratio is 87.6% in Malawi and 55.3% in Poland, ranking 35/185 and 95/185, respectively.
Government deficit by year
| Year | Deficit/surplus, % of GDP | |
|---|---|---|
|
Malawi
|
Poland
|
|
| 2024 | -11% | -6.59% |
| 2023 | -7.84% | -5.27% |
| 2022 | -9.32% | -3.44% |
| 2021 | -8.34% | -1.75% |
| 2020 | -8.03% | -6.85% |
| 2019 | -4.55% | -0.73% |
| 2018 | -4.35% | -0.24% |
| 2017 | -5.15% | -1.49% |
| 2016 | -4.9% | -2.38% |
| 2015 | -4.17% | -2.59% |
| 2014 | -3.08% | -3.66% |
| 2013 | -3.73% | -4.25% |
| 2012 | -1.45% | -3.8% |
| 2011 | -2.85% | -4.97% |
| 2010 | 0.63% | -7.43% |
| 2009 | -2.97% | -7.24% |
| 2008 | -2.92% | -3.6% |
| 2007 | -2.56% | -1.88% |
| 2006 | -0.05% | -3.53% |
| 2005 | -1.63% | -3.93% |
| 2004 | -2.61% | -4.99% |
| 2003 | -2.6% | -6.02% |
| 2002 | -4.47% | -4.8% |
| 2001 | - | -4.73% |
| 2000 | - | -4% |
| 1999 | - | -2.3% |
| 1998 | - | -4.25% |
| 1997 | - | -4.61% |
| 1996 | - | -4.84% |
| 1995 | - | -4.39% |
Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1995–2024, retrieved 2026-02-20).
GeoRank.org/economy/malawi/poland | CC BY
In 2024, Malawi's government deficit, the difference between spending and revenue, was $1.24B, equivalent to 11% of GDP. This compares to Poland's deficit of $60.4B, or 6.59% of GDP.
Over the past 23 years, Malawi recorded a fiscal deficit in 22 of those years, while Poland ran a deficit in 23 years. On average, Malawi posted an annual deficit equal to 4.26% of GDP, compared to deficit of 3.97% of GDP for Poland.
Inflation comparison by year
| Year | Consumer prices inflation | |
|---|---|---|
|
Malawi
|
Poland
|
|
| 2024 | 32.2% | 3.78% |
| 2023 | 28.8% | 11.5% |
| 2022 | 20.8% | 14.4% |
| 2021 | 9.3% | 5.06% |
| 2020 | 8.6% | 3.37% |
| 2019 | 9.4% | 2.23% |
| 2018 | 9.2% | 1.81% |
| 2017 | 11.5% | 2.08% |
| 2016 | 21.7% | -0.66% |
| 2015 | 21.9% | -0.87% |
| 2014 | 23.8% | 0.05% |
| 2013 | 28.3% | 0.99% |
| 2012 | 21.3% | 3.56% |
| 2011 | 7.6% | 4.24% |
| 2010 | 7.4% | 2.58% |
| 2009 | 8.4% | 3.8% |
| 2008 | 8.7% | 4.16% |
| 2007 | 7.9% | 2.46% |
| 2006 | 13.9% | 1.28% |
| 2005 | 15.5% | 2.18% |
| 2004 | 11.4% | 3.38% |
| 2003 | 9.6% | 0.68% |
| 2002 | 14.7% | 1.91% |
| 2001 | 22.7% | 5.41% |
| 2000 | 29.6% | 9.9% |
| 1999 | 44.8% | 7.15% |
| 1998 | 29.8% | 11.6% |
| 1997 | 9.1% | 14.9% |
Data sources: International Monetary Fund (IMF) | World Economic Outlook (1997–2024, retrieved 2026-02-20); World Bank | Economy & Growth (1997–2024, retrieved 2026-04-06).
GeoRank.org/economy/malawi/poland | CC BY
Over the past 28 years, Malawi has recorded an average annual inflation rate of 17.4%, compared with 4.39% in Poland. In 2024, inflation was 32.2% in Malawi and 3.78% in Poland.
Top exports between countries
|
Malawi
|
|
|---|---|
| Export category | Export value |
| Processed food, beverages & tobacco | $29M |
| Machinery & equipment | $407K |
| Raw agricultural goods | $313K |
| Textiles & consumer goods | $27K |
| Precious metals & jewellery | $4K |
| Wood & paper products | $4K |
| Raw materials & minerals | $2K |
| Metals | $1K |
|
Poland
|
|
|---|---|
| Export category | Export value |
| Raw agricultural goods | $8.74M |
| Textiles & consumer goods | $967K |
| Machinery & equipment | $262K |
| Processed food, beverages & tobacco | $231K |
| Wood & paper products | $22K |
| Chemicals & pharma | $18K |
| Precious metals & jewellery | $12K |
| Metals | $10K |
| Raw materials & minerals | $4K |
Balance of trade
|
Malawi
|
Poland
|
|
|---|---|---|
|
Current account balance
|
-$2.13B
2024 |
$2.8B
2024 |
| Current account balance ranking |
145/190
2024 |
40/190
2024 |
| Current account balance, % of GDP |
-18.8%
2024 |
+0.3%
2024 |
| Goods imports |
$3.02B
2024 |
$367B
2024 |
| Goods exports |
$1.02B
2024 |
$361B
2024 |
| Service imports |
$895M
2024 |
$74.9B
2024 |
| Service exports |
$508M
2024 |
$118B
2024 |
| Imports of goods and services, % of GDP |
31.2%
2023 |
48.2%
2024 |
| Exports of goods and services, % of GDP |
11.2%
2023 |
52.2%
2024 |
Economic freedom indices
The indices of economic freedom below are issued by the Heritage Foundation. Higher scores indicate stronger economic health.
|
Malawi
|
Poland
|
|
|---|---|---|
| Economic freedom | 50.7 | 68.5 |
| Economic freedom ranking | 159/197 | 46/197 |
| Property rights | 49.5 | 71.8 |
| Government integrity | 35 | 60.7 |
| Judicial effectiveness | 51.8 | 62.5 |
| Tax burden | 77 | 72.7 |
| Government spending | 77.8 | 35.1 |
| Fiscal health | 4.7 | 74.8 |
| Business freedom | 34.1 | 77.5 |
| Labor freedom | 55.2 | 53.7 |
| Monetary freedom | 55.1 | 73.8 |
| Trade freedom | 68.6 | 79.4 |
| Investment freedom | 50 | 80 |
| Financial freedom | 50 | 80 |
Economic freedom comparison by year
| Year | Economic freedom index | |
|---|---|---|
|
Malawi
|
Poland
|
|
| 2026 | 50.7 | 68.5 |
| 2025 | 50.9 | 67.1 |
| 2024 | 52.1 | 66 |
| 2023 | 52.8 | 67.7 |
| 2022 | 53 | 68.7 |
| 2021 | 53 | 69.7 |
| 2020 | 52.8 | 69.1 |
| 2019 | 51.4 | 67.8 |
| 2018 | 52 | 68.5 |
| 2017 | 52.2 | 68.3 |
| 2016 | 51.8 | 69.3 |
| 2015 | 54.8 | 68.6 |
| 2014 | 55.4 | 67 |
| 2013 | 55.3 | 66 |
| 2012 | 56.4 | 64.2 |
| 2011 | 55.8 | 64.1 |
| 2010 | 54.1 | 63.2 |
| 2009 | 53.7 | 60.3 |
| 2008 | 52.7 | 60.3 |
| 2007 | 52.9 | 58.1 |
| 2006 | 55.4 | 59.3 |
| 2005 | 53.6 | 59.6 |
| 2004 | 53.6 | 58.7 |
| 2003 | 53.2 | 61.8 |
| 2002 | 56.9 | 65 |
| 2001 | 56.2 | 61.8 |
| 2000 | 57.4 | 60 |
| 1999 | 54 | 59.6 |
| 1998 | 54.1 | 59.2 |
| 1997 | 53.4 | 56.8 |
| 1996 | 56.2 | 57.8 |
| 1995 | 54.7 | 50.7 |
Data sources: The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-03-09).
GeoRank.org/economy/malawi/poland | CC BY
The Economic Freedom Index for Malawi is 50.7, ranking 159/197, compared to 68.5 for Poland, ranking 46/197. The chart above displays a comparison of annual changes in economic freedom indexes.
Other economic metrics
|
Malawi
|
Poland
|
|
|---|---|---|
| Services, % of GDP |
44.2%
2024 |
59.1%
2024 |
| Industry, % of GDP |
17.1%
2024 |
27.2%
2024 |
| Agriculture, forestry, and fishing, % of GDP |
31.8%
2024 |
2.54%
2024 |
|
GNI, Atlas method
|
$12.3B
2024 |
$789B
2024 |
| GNI per capita, PPP |
$1,830
2024 |
$49,540
2024 |
| Total reserves including gold |
$594M
2020 |
$223B
2024 |
| Total reserves ranking |
154/177
2020 |
17/177
2024 |
|
Net foreign direct investment
|
-$202M
2024 |
-$10.6B
2024 |
|
Net inflows of foreign direct investment
|
$681M
2024 |
$20.6B
2024 |
|
Net outflows of foreign direct investment
|
$56.4M
2024 |
$10B
2024 |
|
Servicing debt to the IMF, % of GNI
|
1.47%
2024 |
n/a |
| Poverty at national poverty lines |
50.7%
2019 |
13.3%
2024 |
|
Gross capital formation, % of GDP
|
14.5%
2023 |
17.8%
2024 |
GDP per capita map
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/malawi/poland | CC BY
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Data sources:
- World Bank | Economy & Growth (1980–2024, retrieved 2026-04-06)
- International Monetary Fund (IMF) | Fiscal Monitor (1995–2024, retrieved 2026-02-20)
- The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-03-09)
- U.S. Census Bureau (1985–2024, retrieved 2026-02-08)
- International Monetary Fund (IMF) | Public Finances in Modern History (1960–1994, retrieved 2026-02-20)
- TradeMap (2022–2024, retrieved 2026-02-08)
- United Nations | World Population Prospects (2026, retrieved 2026-03-10)
- LivingCost (2026, retrieved 2025-10-14)
Creative Commons Attribution (CC BY) — you’re free to copy, share, remix, adapt, and use even commercially as long as you give appropriate credit and clearly indicate if you made changes. Other sources may be subject to different license terms.
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.