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Economy of Mauritania vs Norway compared: GDP & Debt

Updated on by Georank

Mauritania has a GDP of $11.7B compared to $531B for Norway, ranking 153/197 and 32/197 by economy size, respectively.

Mauritania has $4.68B in government debt (40.1% of GDP), compared to $239B (45% of GDP) in Norway.

Mauritania vs Norway GDP by year

Mauritania
Norway
1x
Year GDP, current $
Mauritania Norway
2025 $11,679,910,946 $530,755,719,439
2024 $10,879,212,033 $500,886,328,034
2023 $10,687,541,640 $502,197,633,323
2022 $9,562,497,461 $617,321,834,099
2021 $9,221,044,667 $521,592,200,233
2020 $8,260,567,357 $382,252,517,922
2019 $7,894,764,886 $424,244,886,364
2018 $7,475,471,310 $454,588,871,811
2017 $6,812,472,965 $415,673,181,543
2016 $6,407,900,701 $383,284,047,619
2015 $6,182,303,677 $400,669,174,331
2014 $6,615,483,550 $515,829,568,897
2013 $7,230,646,063 $540,132,255,319
2012 $6,728,208,836 $525,082,939,407
2011 $6,764,627,746 $512,868,581,628
2010 $5,628,878,798 $440,132,138,425
2009 $4,714,595,548 $395,664,488,017
2008 $5,206,437,194 $472,060,283,688
2007 $4,346,212,355 $407,813,774,161
2006 $3,919,577,286 $349,773,283,645
2005 $2,936,019,526 $311,417,306,946
2004 $2,362,501,023 $265,662,977,688
2003 $2,051,147,607 $229,192,678,173
2002 $1,777,057,481 $195,359,978,957
2001 $1,746,063,558 $173,590,978,347
2000 $1,779,520,886 $170,620,327,660
1999 $1,985,922,776 $161,304,620,987
1998 $2,032,347,665 $152,955,958,172
1997 $2,071,996,564 $160,013,571,974
1996 $2,132,087,009 $162,427,517,132
1995 $2,091,726,101 $151,083,627,983
1994 $1,944,876,755 $126,324,387,894
1993 $1,847,353,211 $119,841,699,440
1992 $2,164,298,425 $129,998,873,602
1991 $2,133,692,697 $121,149,331,318
1990 $1,506,914,408 $119,344,377,526
1989 $1,450,647,019 $102,226,808,603
1988 $1,414,951,290 $101,497,621,605
1987 $1,344,664,725 $93,913,320,965
1986 $1,186,628,778 $78,438,205,742
1985 $1,009,723,326 $65,211,464,198
1984 $1,074,373,230 $61,866,078,539
1983 $1,165,171,263 $61,417,685,434
1982 $1,108,776,653 $62,453,362,256
1981 $1,105,494,682 $63,392,804,251
1980 $1,047,925,106 $64,176,789,764
1979 $951,900,945 $52,935,763,512
1978 $804,629,877 $46,355,988,784
1977 $799,030,017 $41,362,637,363
1976 $775,045,517 $35,815,449,464
1975 $703,377,837 $32,742,543,381
1974 $613,010,553 $27,033,413,362
1973 $493,237,876 $22,433,660,550
1972 $391,669,449 $17,283,931,878
1971 $335,568,907 $14,523,306,736
1970 $309,405,316 $12,753,503,479
1969 $295,062,308 $11,083,505,596
1968 $311,395,937 $10,178,705,992
1967 $282,615,310 $9,532,076,026
1966 $266,533,605 $8,712,528,095
1965 $255,340,475 $8,073,570,566
1964 $224,495,744 $7,172,430,304
1963 $168,186,297 $6,522,268,053
1962 $164,271,558 $6,078,186,245
1961 $159,213,430 $5,642,867,672
1960 - $5,172,811,442

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

GDP per capita in Mauritania vs Norway by year

Mauritania
GDP per capita

GDP per capita, PPP
Norway
GDP per capita

GDP per capita, PPP
1x
Year Current $
Mauritania Norway
GDP per capita GDP per capita, PPP GDP per capita GDP per capita, PPP
2025 $2,198 - $94,594 -
2024 $2,105 $7,369 $89,889 $102,038
2023 $2,128 $6,966 $90,984 $103,638
2022 $1,961 $6,485 $113,122 $125,490
2021 $1,947 $5,837 $96,443 $88,984
2020 $1,796 $5,741 $71,058 $67,111
2019 $1,767 $5,610 $79,329 $70,940
2018 $1,723 $5,429 $85,579 $70,254
2017 $1,618 $5,353 $78,771 $64,590
2016 $1,568 $4,683 $73,222 $59,280
2015 $1,559 $3,978 $77,221 $60,738
2014 $1,719 $3,865 $100,410 $66,332
2013 $1,936 $3,831 $106,333 $67,378
2012 $1,859 $3,465 $104,628 $65,774
2011 $1,931 $3,271 $103,545 $62,460
2010 $1,660 $3,178 $90,020 $58,213
2009 $1,435 $3,159 $81,940 $55,648
2008 $1,636 $3,236 $99,002 $62,073
2007 $1,405 $3,278 $86,600 $56,179
2006 $1,301 $3,342 $75,048 $54,358
2005 $999 $2,809 $67,358 $47,967
2004 $824 $2,570 $57,855 $42,667
2003 $732 $2,447 $50,208 $38,680
2002 $649 $2,296 $43,048 $38,056
2001 $652 $2,280 $38,458 $37,829
2000 $681 $2,304 $37,992 $36,994
1999 $781 $2,411 $36,151 $30,574
1998 $821 $2,355 $34,516 $28,200
1997 $859 $2,325 $36,324 $28,610
1996 $904 $2,436 $37,073 $26,826
1995 $905 $2,306 $34,659 $24,360
1994 $865 $2,114 $29,130 $23,027
1993 $850 $2,209 $27,793 $21,584
1992 $1,036 $2,122 $30,328 $20,623
1991 $1,062 $2,116 $28,427 $19,580
1990 $772 $2,070 $28,137 $18,461
1989 $762 - $24,185 -
1988 $762 - $24,112 -
1987 $746 - $22,430 -
1986 $677 - $18,822 -
1985 $593 - $15,704 -
1984 $650 - $14,943 -
1983 $725 - $14,877 -
1982 $710 - $15,178 -
1981 $729 - $15,463 -
1980 $711 - $15,708 -
1979 $664 - $12,998 -
1978 $578 - $11,421 -
1977 $590 - $10,230 -
1976 $589 - $8,896 -
1975 $551 - $8,171 -
1974 $494 - $6,783 -
1973 $410 - $5,664 -
1972 $335 - $4,395 -
1971 $296 - $3,721 -
1970 $281.3 - $3,291 -
1969 $276.6 - $2,881 -
1968 $301 - $2,667 -
1967 $281.5 - $2,519 -
1966 $273.6 - $2,321 -
1965 $270 - $2,168 -
1964 $244.3 - $1,941 -
1963 $188.2 - $1,779 -
1962 $189 - $1,670 -
1961 $188.2 - $1,563 -
1960 - - $1,444 -

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

Mauritania's GDP per capita is $2,198, ranking 156/197, compared to $94,594 in Norway, ranking 9/197. Adjusted for purchasing power (GDP per capita PPP), Mauritania ranks 147th at $7,369, while Norway ranks 7th at $102,038.

Economic indicators

Mauritania Norway
Gross domestic product
$11.7B
2025
$531B
2025
GDP rank
153/197
2025
32/197
2025
GDP growth
4.03%
2024-2025
1.09%
2024-2025
GDP per capita
$2,198
2025
$94,594
2025
GDP per capita rank
156/197
2025
9/197
2025
GDP per capita, PPP
$7,369
2024
$102,038
2024
GDP per capita PPP rank
147/197
2024
7/197
2024
Government debt
$4.68B
2025
$239B
2025
Debt-to-GDP ratio
40.1%
2025
45%
2025
Government debt per person
$881
2025
$42,567
2025
Government debt per person rank
147/185
2025
15/185
2025
Average annual personal income after taxes
$2,242
2026
$50,036
2026
Market capitalization of domestic companies n/a
$296B
2019
Number of millionaires n/a
348,000
2025
Number of billionaires n/a
17
2026
Income share by richest 10%
24.6%
2019
21.6%
2023
Income share by poorest 10%
3.1%
2019
3.6%
2023
Government expenditure, % of GDP
23.4%
2025
49.6%
2025
Consumer prices inflation
1.55%
2024-2025
3.06%
2024-2025
Central bank interest rate n/a
4.25%
2026
Unemployment rate
10.4%
2019
4.5%
2025
Population
5539189
5660666

Spending and national debt comparison by year

Mauritania
Spending

Debt
Norway
Spending

Debt
1x
Year % of GDP
Mauritania Norway
Government spending Government debt Government spending Government debt
2025 23.4% 40.1% 49.6% 45%
2024 23.6% 45.1% 46.9% 52.8%
2023 24.8% 48.6% 44.2% 42.4%
2022 28.7% 50.3% 36.2% 34.8%
2021 20.8% 54.5% 44.7% 40.1%
2020 18.5% 56.5% 54.5% 44.3%
2019 17.8% 57.7% 48.4% 39%
2018 19% 59.2% 46.1% 38.1%
2017 20.3% 55.7% 47.6% 36.9%
2016 20.8% 57.6% 48.8% 36.7%
2015 25.7% 59.9% 46.7% 33.2%
2014 23.9% 49.5% 44% 28.8%
2013 20.1% 40.7% 42.3% 30.6%
2012 21.5% 39.3% 41.4% 30.2%
2011 17% 38.8% 42.3% 28.9%
2010 17.3% 43.9% 43.6% 42.1%
2009 19.6% 54.3% 44.7% 41.7%
2008 19.8% 57.2% 39.2% 46.8%
2007 19.7% 61.5% 40.5% 48.9%
2006 19% 38% 40.1% 52.2%
2005 21.3% 71.1% 41.6% 42.1%
2004 23.9% 22% 44.7% 43.8%
2003 - 22.9% 47.7% 43.1%
2002 - 59.5% 46.3% 34%
2001 - 63.5% 43.4% 27.3%
2000 - 55.5% 41.5% 28.8%
1999 - - 46.7% 25.1%
1998 - - 48.2% 23.8%
1997 - - 45.9% 26%
1996 - - 47.4% 28.6%
1995 - - 49.6% 32.9%
1994 - - 49.7% 51%
1993 - - 50.5% 54%
1992 - - 51.6% 45.3%
1991 - - 50.3% 39.5%
1990 - - 49.1% 29.1%
1989 - - 52.2% 30.4%
1988 - - 52.6% 30.5%
1987 - - 50.5% 31.3%
1986 - - 48.1% 37.8%
1985 - - 44% 30.2%
1984 - - 44.5% 27.8%
1983 - - 46.4% 27.4%
1982 - - 46.6% 29.7%
1981 - - 46.1% 32.9%
1980 - - 46.1% 36.8%
1979 - - 47.2% 39.6%
1978 - - 47.9% 49.9%
1977 - - 46.5% 43.8%
1976 - - 45.2% 38.5%
1975 - - 43.5% 36.7%
1974 - - 42.2% 35.4%
1973 - - 42.3% 37.7%
1972 - - 42.2% 38.9%
1971 - - 40.7% 38.5%
1970 - - 38.9% 38.6%
1969 - - 38% 22.3%
1968 - - 36.2% 22.5%
1967 - - 34.9% 22.6%
1966 - - 33.5% 22.4%
1965 - - 32.9% 23%
1964 - - 32% 24.2%
1963 - - 31.9% 25.3%
1962 - - 30.6% 26.7%
1961 - - 20.4% 27.7%
1960 - - 18% 29.8%

Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08); International Monetary Fund (IMF) | Public Finances in Modern History (1960–1989, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

In 2025, Mauritania's government spending was $2.73B, accounting for 23.4% of its GDP, while Norway spent $263B, or 49.6% of GDP.

Debt-to-GDP ratio is 40.1% in Mauritania and 45% in Norway, ranking 134/185 and 117/185, respectively.

Government deficit by year

Deficit/surplus
Mauritania

Norway
1x
Year Deficit/surplus, % of GDP
Mauritania Norway
2025 -0.3% 9.34%
2024 -1.35% 12.8%
2023 -2.45% 15.9%
2022 -3.09% 24.7%
2021 2.6% 9.93%
2020 2.78% -2.46%
2019 2.65% 6.28%
2018 3.23% 7.56%
2017 0.53% 4.79%
2016 0.13% 3.91%
2015 -2.44% 5.8%
2014 -2.64% 8.34%
2013 -0.66% 10.3%
2012 1.67% 13.4%
2011 0.07% 13%
2010 -0.45% 10.6%
2009 -3.59% 10%
2008 -3.32% 18.3%
2007 -1.38% 16.8%
2006 2.05% 17.7%
2005 -3.16% 14.7%
2004 -3.06% 10.8%
2003 - 7.21%
2002 - 9.05%
2001 - 13.2%
2000 - 15.1%
1999 - 5.75%
1998 - 3.09%
1997 - 7.41%
1996 - 6.05%
1995 - 2.98%
1994 - 0.04%
1993 - -1.65%
1992 - -2.08%
1991 - -0.12%
1990 - 1.96%
1989 - 1.81%
1988 - 2.65%
1987 - 4.56%
1986 - 5.87%
1985 - 9.84%
1984 - 6.97%
1983 - 6.03%
1982 - 3.96%
1981 - 4.82%
1980 - 5.38%
1979 - 2.16%
1978 - 0.94%
1977 - 1.01%
1976 - 2.2%
1975 - 2.88%
1974 - 4.06%
1973 - 4.99%
1972 - 3.93%
1971 - 3.71%
1970 - 2.83%
1969 - 3.57%
1968 - 3.38%
1967 - 4.19%
1966 - 3.59%
1965 - 2.78%
1964 - 3.08%
1963 - 2.6%
1962 - 4%
1961 - -0.7%
1960 - 1.42%
1959 - 1.89%
1958 - 1.7%
1957 - 1.55%
1956 - 1.22%
1955 - 0.82%
1954 - -0.54%
1953 - 1.3%
1952 - 2.15%
1951 - 1.59%
1950 - -0.89%
1949 - -0.72%
1948 - -0.35%
1947 - -4.66%
1946 - -3.82%
1945 - -
1944 - -
1943 - -
1942 - -
1941 - -
1940 - -
1939 - -0.54%
1938 - 0.03%
1937 - -0.16%
1936 - -0.7%
1935 - -1.1%
1934 - -0.59%
1933 - -1.29%
1932 - -1.14%
1931 - -1.15%
1930 - -0.46%
1929 - -0.83%
1928 - -0.81%
1927 - -0.76%
1926 - -1.59%
1925 - -1.92%
1924 - -2.96%
1923 - -3.58%
1922 - -4.28%
1921 - -5.47%
1920 - -1.15%
1919 - -2.11%
1918 - -1.17%
1917 - 0.2%
1916 - -0.36%
1915 - -2.04%
1914 - -1.09%
1913 - -0.9%
1912 - -0.89%
1911 - -0.05%
1910 - 0.3%
1909 - -0.52%
1908 - -0.06%
1907 - 0.16%
1906 - -0.59%
1905 - -0.52%
1904 - -0.75%
1903 - -1.12%
1902 - -1.52%
1901 - -1.41%
1900 - -1.99%
1899 - -1.35%
1898 - -1.39%
1897 - -0.63%
1896 - -1.57%
1895 - -1.66%
1894 - -1.13%
1893 - -1.25%
1892 - -0.94%
1891 - -0.44%
1890 - -0.2%
1889 - -0.07%
1888 - -0.23%
1887 - -0.17%
1886 - -0.2%
1885 - -0.005%
1884 - -0.08%
1883 - -0.17%
1882 - -0.62%
1881 - -1.13%

Data sources: International Monetary Fund (IMF) | Public Finances in Modern History (1881–1989, retrieved 2026-07-08); International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

In 2025, Mauritania's government deficit, the difference between spending and revenue, was $34.8M, equivalent to 0.3% of GDP. This compares to Norway's surplus of $49.6B, or 9.34% of GDP.

Over the past 22 years, Mauritania recorded a fiscal deficit in 13 of those years, while Norway ran a deficit in 1 years. On average, Mauritania posted an annual deficit equal to 0.55% of GDP, compared to surplus of 11% of GDP for Norway.

Inflation comparison by year

Inflation
Mauritania

Norway
1x
Year Consumer prices inflation
Mauritania Norway
2025 1.55% 3.06%
2024 2.49% 3.15%
2023 4.95% 5.52%
2022 9.53% 5.76%
2021 3.57% 3.48%
2020 2.39% 1.29%
2019 2.3% 2.17%
2018 3.07% 2.76%
2017 2.25% 1.88%
2016 1.47% 3.55%
2015 3.25% 2.17%
2014 3.53% 2.04%
2013 4.13% 2.12%
2012 4.9% 0.7%
2011 5.69% 1.28%
2010 6.28% 2.42%
2009 2.22% 2.2%
2008 7.35% 3.75%
2007 7.25% 0.71%
2006 6.24% 2.33%
2005 12.1% 1.53%
2004 10.4% 0.45%
2003 5.15% 2.49%
2002 3.9% 1.29%
2001 4.71% 3%
2000 3.25% 3.09%
1999 4.07% 2.37%
1998 8.03% 2.25%
1997 4.63% 2.57%

Data sources: World Bank | Economy & Growth (1997–2025, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

Over the past 29 years, Mauritania has recorded an average annual inflation rate of 4.85%, compared with 2.46% in Norway. In 2025, inflation was 1.55% in Mauritania and 3.06% in Norway.

Top exports between countries

Mauritania
Export category Export value
Processed food, beverages & tobacco $1.73M
Machinery & equipment $1.46M
Textiles & consumer goods $127K
Chemicals & pharma $75K
Metals $43K
Raw materials & minerals $1K
Norway
Export category Export value
Raw materials & minerals $13.2M
Miscellaneous $7.82M
Machinery & equipment $3.97M
Metals $226K
Textiles & consumer goods $142K
Chemicals & pharma $104K
Precious metals & jewellery $1K
Processed food, beverages & tobacco $1K
Wood & paper products $1K

Balance of trade

Mauritania Norway
Current account balance
-$1.04B
2024
$74.1B
2025
Current account balance ranking
118/190
2024
10/190
2025
Current account balance, % of GDP
-9.55%
2024
+14%
2025
Goods imports
$4.32B
2024
$105B
2025
Goods exports
$3.83B
2024
$177B
2025
Service imports
$1.05B
2024
$73.9B
2025
Service exports
$230M
2024
$63.5B
2025
Imports of goods and services, % of GDP
54.2%
2025
33.7%
2025
Exports of goods and services, % of GDP
39.9%
2025
45.4%
2025

Economic freedom indices

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

Mauritania Norway
Economic freedom 53.9 78.8
Economic freedom ranking 136/197 9/197
Property rights 32.6 99.6
Government integrity 24.5 94.3
Judicial effectiveness 26.4 96.4
Tax burden 75.5 63.3
Government spending 80.2 42
Fiscal health 87.9 96.4
Business freedom 38.7 91.2
Labor freedom 53.6 69.3
Monetary freedom 77.8 72.4
Trade freedom 59.6 85.6
Investment freedom 50 75
Financial freedom 40 60

Economic freedom comparison by year

Mauritania
Norway
1x
Year Economic freedom index
Mauritania Norway
2026 53.9 78.8
2025 54.9 78.3
2024 55.3 77.5
2023 55.3 76.9
2022 55.3 76.9
2021 56.1 73.4
2020 55.3 73.4
2019 55.7 73
2018 54 74.3
2017 54.4 74
2016 54.8 70.8
2015 53.3 71.8
2014 53.2 70.9
2013 52.3 70.5
2012 53 68.8
2011 52.1 70.3
2010 52 69.4
2009 53.9 70.2
2008 55.2 68.6
2007 53.6 67.9
2006 55.7 67.9
2005 59.4 64.5
2004 61.8 66.2
2003 59 67.2
2002 52.5 67.4
2001 48.5 67.1
2000 46 70.1
1999 42.8 68.6
1998 43.7 68
1997 47 65.1
1996 45.5 65.4

Data sources: The Heritage Foundation | Economic Freedom Index (1996–2026, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

The Economic Freedom Index for Mauritania is 53.9, ranking 136/197, compared to 78.8 for Norway, ranking 9/197. The chart above displays a comparison of annual changes in economic freedom indexes.

Other economic metrics

Mauritania Norway
Services, % of GDP
42.4%
2025
55%
2025
Industry, % of GDP
29.7%
2025
34.5%
2025
Agriculture, forestry, and fishing, % of GDP
20%
2025
1.64%
2025
GNI, Atlas method
$11.8B
2025
$546B
2025
GNI per capita, PPP
$7,640
2025
$107,770
2025
Total reserves including gold
$2.04B
2021
$85.5B
2025
Total reserves ranking
127/177
2021
34/177
2025
Net foreign direct investment
-$1.44B
2024
$8.93B
2025
Net inflows of foreign direct investment
$1.44B
2024
$12.1B
2024
Net outflows of foreign direct investment
$3.9M
2024
$5.62B
2024
Servicing debt to the IMF, % of GNI
3.83%
2024
n/a
Poverty at national poverty lines
31.8%
2019
12.2%
2021
Gross capital formation, % of GDP
44.3%
2025
23.2%
2025

GDP per capita map

1x

Data sources: World Bank | Economy & Growth (1985–2025, retrieved 2026-07-08); U.S. Census Bureau (1985–2025, retrieved 2026-07-08).

GeoRank.org/economy/mauritania/norway | CC BY

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Data sources:

  1. World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08)
  2. International Monetary Fund (IMF) | Public Finances in Modern History (1881–1989, retrieved 2026-07-08)
  3. International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08)
  4. The Heritage Foundation | Economic Freedom Index (1996–2026, retrieved 2026-07-08)
  5. U.S. Census Bureau (1985–2025, retrieved 2026-07-08)
  6. TradeMap (2020–2025, retrieved 2026-07-08)
  7. United Nations | World Population Prospects (2026, retrieved 2026-07-08)
  8. LivingCost (2026, retrieved 2026-07-08)

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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.