Myanmar has a GDP of $81.7B compared to $1.35B for Vanuatu, ranking 85/197 and 185/197 by economy size, respectively.
Myanmar has $42.4B in government debt (51.9% of GDP), compared to $554M (40.9% of GDP) in Vanuatu.
Myanmar vs Vanuatu GDP by year
| Year | GDP, current $ | |
|---|---|---|
Myanmar
|
Vanuatu
|
|
| 2025 | $81,665,773,810 | $1,353,658,841 |
| 2024 | $74,068,349,524 | $1,297,956,615 |
| 2023 | $66,757,619,000 | $1,188,137,265 |
| 2022 | $62,253,049,892 | $1,151,863,790 |
| 2021 | $66,345,291,160 | $1,093,826,089 |
| 2020 | $79,006,113,643 | $1,017,403,363 |
| 2019 | $75,065,106,228 | $1,061,547,513 |
| 2018 | $67,860,515,990 | $1,034,402,941 |
| 2017 | $66,053,040,483 | $998,536,155 |
| 2016 | $63,298,361,996 | $908,725,513 |
| 2015 | $59,607,290,408 | $855,360,240 |
| 2014 | $65,531,374,200 | $879,185,478 |
| 2013 | $60,269,732,855 | $863,347,172 |
| 2012 | $59,937,796,648 | $747,839,698 |
| 2011 | $59,977,326,086 | $770,153,588 |
| 2010 | $49,540,813,342 | $670,712,980 |
| 2009 | $36,906,181,381 | $592,622,319 |
| 2008 | $31,862,554,102 | $590,748,429 |
| 2007 | $20,182,477,481 | $516,392,923 |
| 2006 | $14,502,553,710 | $439,358,587 |
| 2005 | $11,986,972,419 | $394,962,433 |
| 2004 | $10,567,354,056 | $364,996,869 |
| 2003 | $10,467,109,978 | $314,471,413 |
| 2002 | $6,777,632,512 | $262,596,536 |
| 2001 | $6,477,790,688 | $257,926,882 |
| 2000 | $8,905,066,164 | $272,014,628 |
| 1999 | $8,486,832,801 | $268,006,973 |
| 1998 | $6,459,461,639 | $262,293,411 |
| 1997 | $4,722,288,496 | $272,771,209 |
| 1996 | $6,123,556,717 | $261,370,044 |
| 1995 | $5,289,174,943 | $249,333,250 |
| 1994 | $4,432,257,174 | $233,701,301 |
| 1993 | $3,163,020,035 | $200,491,853 |
| 1992 | $2,411,552,289 | $209,088,825 |
| 1991 | $2,069,832,687 | $201,334,169 |
| 1990 | $2,115,193,513 | $168,879,207 |
| 1989 | $2,013,448,229 | $154,013,202 |
| 1988 | $1,541,088,312 | $158,351,368 |
| 1987 | $1,562,448,077 | $139,464,174 |
| 1986 | $1,582,873,750 | $126,498,935 |
| 1985 | $1,478,908,173 | $131,856,421 |
| 1984 | $1,304,063,253 | $144,482,515 |
| 1983 | $1,381,573,615 | $117,389,554 |
| 1982 | $1,481,165,468 | $114,501,913 |
| 1981 | $1,111,000,765 | $113,781,796 |
| 1980 | $1,038,225,167 | $121,185,498 |
| 1979 | $952,265,043 | $119,258,835 |
| 1978 | $935,408,775 | - |
| 1977 | $873,579,932 | - |
| 1976 | $1,204,699,849 | - |
| 1975 | $1,061,107,354 | - |
| 1974 | $1,225,589,878 | - |
| 1973 | $719,754,655 | - |
| 1972 | $662,213,083 | - |
| 1971 | $587,448,405 | - |
| 1970 | $563,555,631 | - |
| 1969 | $571,854,215 | - |
| 1968 | $559,956,130 | - |
| 1967 | $420,359,036 | - |
| 1966 | $293,103,479 | - |
| 1965 | $367,053,117 | - |
| 1964 | $411,419,906 | - |
| 1963 | $598,998,419 | - |
| 1962 | $634,528,872 | - |
| 1961 | $605,581,577 | - |
| 1960 | $545,098,448 | - |
Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY 
GDP per capita in Myanmar vs Vanuatu by year
| Year | Current $ | |||
|---|---|---|---|---|
|
Myanmar
|
Vanuatu
|
|||
| GDP per capita | GDP per capita, PPP | GDP per capita | GDP per capita, PPP | |
| 2025 | $1,489 | - | $4,039 | - |
| 2024 | $1,359 | $5,997 | $3,960 | $3,606 |
| 2023 | $1,233 | $5,953 | $3,708 | $3,568 |
| 2022 | $1,158 | $5,732 | $3,680 | $3,453 |
| 2021 | $1,243 | $5,178 | $3,576 | $3,136 |
| 2020 | $1,490 | $5,741 | $3,404 | $3,118 |
| 2019 | $1,426 | $6,101 | $3,636 | $3,315 |
| 2018 | $1,298 | $5,581 | $3,626 | $3,233 |
| 2017 | $1,273 | $4,706 | $3,585 | $3,146 |
| 2016 | $1,229 | $4,460 | $3,340 | $3,030 |
| 2015 | $1,167 | $4,459 | $3,214 | $2,966 |
| 2014 | $1,293 | $4,376 | $3,378 | $2,890 |
| 2013 | $1,199 | $4,144 | $3,393 | $2,832 |
| 2012 | $1,203 | $3,845 | $3,005 | $2,834 |
| 2011 | $1,214 | $3,579 | $3,163 | $2,816 |
| 2010 | $1,011 | $3,348 | $2,815 | $2,733 |
| 2009 | $758 | $3,040 | $2,546 | $2,730 |
| 2008 | $658 | $2,748 | $2,604 | $2,701 |
| 2007 | $419 | $2,459 | $2,334 | $2,573 |
| 2006 | $303 | $2,153 | $2,035 | $2,496 |
| 2005 | $252.7 | $1,860 | $1,874 | $2,287 |
| 2004 | $224.5 | $1,601 | $1,774 | $2,157 |
| 2003 | $224.3 | $1,385 | $1,567 | $2,070 |
| 2002 | $146.6 | $1,204 | $1,341 | $1,995 |
| 2001 | $141.5 | $1,069 | $1,350 | $2,125 |
| 2000 | $196.6 | $949 | $1,460 | $2,206 |
| 1999 | $189.5 | $825 | $1,472 | $2,084 |
| 1998 | $146 | $742 | $1,471 | $2,091 |
| 1997 | $108 | $702 | $1,562 | $2,087 |
| 1996 | $141.9 | $661 | $1,529 | $1,998 |
| 1995 | $124.1 | $618 | $1,492 | $1,961 |
| 1994 | $105.4 | $573 | $1,431 | $1,946 |
| 1993 | $76.2 | $529 | $1,257 | $1,789 |
| 1992 | $58.9 | $494 | $1,344 | $1,777 |
| 1991 | $51.2 | $447 | $1,326 | $1,737 |
| 1990 | $53.1 | $441 | $1,141 | $1,670 |
| 1989 | $51.3 | - | $1,067 | - |
| 1988 | $39.9 | - | $1,125 | - |
| 1987 | $41.1 | - | $1,017 | - |
| 1986 | $42.4 | - | $946 | - |
| 1985 | $40.4 | - | $1,012 | - |
| 1984 | $36.3 | - | $1,137 | - |
| 1983 | $39.3 | - | $947 | - |
| 1982 | $43 | - | $946 | - |
| 1981 | $32.8 | - | $962 | - |
| 1980 | $31.2 | - | $1,048 | - |
| 1979 | $29.2 | - | $1,055 | - |
| 1978 | $29.3 | - | - | - |
| 1977 | $27.9 | - | - | - |
| 1976 | $39.2 | - | - | - |
| 1975 | $35.2 | - | - | - |
| 1974 | $41.4 | - | - | - |
| 1973 | $24.8 | - | - | - |
| 1972 | $23.3 | - | - | - |
| 1971 | $21.1 | - | - | - |
| 1970 | $20.7 | - | - | - |
| 1969 | $21.5 | - | - | - |
| 1968 | $21.5 | - | - | - |
| 1967 | $16.5 | - | - | - |
| 1966 | $11.8 | - | - | - |
| 1965 | $15.1 | - | - | - |
| 1964 | $17.3 | - | - | - |
| 1963 | $25.8 | - | - | - |
| 1962 | $27.9 | - | - | - |
| 1961 | $27.3 | - | - | - |
| 1960 | $25.1 | - | - | - |
Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY
Myanmar's GDP per capita is $1,489, ranking 166/197, compared to $4,039 in Vanuatu, ranking 133/197. Adjusted for purchasing power (GDP per capita PPP), Myanmar ranks 153rd at $5,997, while Vanuatu ranks 170th at $3,606.
Economic indicators
|
Myanmar
|
Vanuatu
|
|
|---|---|---|
| Gross domestic product |
$81.7B
2025 |
$1.35B
2025 |
| GDP rank |
85/197
2025 |
185/197
2025 |
| GDP growth |
-2.01%
2024-2025 |
3.05%
2024-2025 |
| GDP per capita |
$1,489
2025 |
$4,039
2025 |
| GDP per capita rank |
166/197
2025 |
133/197
2025 |
| GDP per capita, PPP |
$5,997
2024 |
$3,606
2024 |
| GDP per capita PPP rank |
153/197
2024 |
170/197
2024 |
| Government debt |
$42.4B
2025 |
$554M
2025 |
| Debt-to-GDP ratio |
51.9%
2025 |
40.9%
2025 |
| Government debt per person |
$773
2025 |
$1,654
2025 |
| Government debt per person rank |
152/185
2025 |
125/185
2025 |
| Average annual personal income after taxes |
$2,165
2026 |
$2,801
2026 |
| Income share by richest 10% |
25.5%
2017 |
24.7%
2019 |
| Income share by poorest 10% |
3.8%
2017 |
3%
2019 |
| Government expenditure, % of GDP |
25.2%
2025 |
35.5%
2025 |
| Consumer prices inflation |
8.83%
2018-2019 |
0.66%
2024-2025 |
| Unemployment rate |
1.48%
2020 |
1.41%
2025 |
| Population |
55361818
|
346488
|
Spending and national debt comparison by year
| Year | % of GDP | |||
|---|---|---|---|---|
|
Myanmar
|
Vanuatu
|
|||
| Government spending | Government debt | Government spending | Government debt | |
| 2025 | 25.2% | 51.9% | 35.5% | 40.9% |
| 2024 | 25.8% | 50.6% | 33.1% | 39.1% |
| 2023 | 21.4% | 53.2% | 38.9% | 39.2% |
| 2022 | 21.3% | 56% | 38.5% | 39.2% |
| 2021 | 20.9% | 63.4% | 38.6% | 42.2% |
| 2020 | 21.3% | 49.1% | 38.8% | 42.9% |
| 2019 | 20.5% | 37.6% | 35.1% | 39.8% |
| 2018 | 18.7% | 39.9% | 29.4% | 40% |
| 2017 | 19.7% | 41.9% | 32.7% | 46.4% |
| 2016 | 21.3% | 35.7% | 31.2% | 37.6% |
| 2015 | 23.7% | 36.6% | 38.1% | 32.2% |
| 2014 | 24.7% | 34.5% | 20.5% | 17.8% |
| 2013 | 23.9% | 44.8% | 20.1% | 16.4% |
| 2012 | 20% | 48% | 22.1% | 17.4% |
| 2011 | 15.6% | 49.9% | 22.7% | 19.3% |
| 2010 | 15.8% | 54.4% | 25.6% | 18.3% |
| 2009 | 14.4% | 56.4% | 24.9% | 19.1% |
| 2008 | 14.4% | 59.8% | 25.1% | 19.2% |
| 2007 | 15.7% | 77.4% | 20.3% | 17.6% |
| 2006 | 15.6% | 103.1% | 18.2% | 20% |
| 2005 | 14.6% | 119% | 16.5% | 23.8% |
| 2004 | 14.6% | 126.6% | 16.7% | 27.5% |
| 2003 | 14.3% | 146% | 17% | 34.6% |
| 2002 | 15.3% | 190.6% | 20.2% | 35.1% |
| 2001 | 19.1% | 262% | 20.2% | 33.5% |
| 2000 | 21.4% | 164.5% | 23% | 32.6% |
| 1999 | 22.8% | 150.7% | 21.6% | 27.7% |
| 1998 | 25.2% | 208.6% | 25.2% | 25.4% |
| 1997 | - | - | 20.1% | 20.7% |
| 1996 | - | - | 22.1% | 20.8% |
| 1995 | - | - | 25.3% | 21.8% |
| 1994 | - | - | 22% | 19.5% |
| 1993 | - | - | 23.7% | 18.3% |
| 1992 | - | - | 28.8% | 19% |
| 1991 | - | - | 30% | 14.4% |
Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1991–2025, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY
In 2025, Myanmar's government spending was $20.6B, accounting for 25.2% of its GDP, while Vanuatu spent $480M, or 35.5% of GDP.
Debt-to-GDP ratio is 51.9% in Myanmar and 40.9% in Vanuatu, ranking 101/185 and 131/185, respectively.
Government deficit by year
| Year | Deficit/surplus, % of GDP | |
|---|---|---|
|
Myanmar
|
Vanuatu
|
|
| 2025 | -4.94% | -3.88% |
| 2024 | -4.11% | -2.46% |
| 2023 | -2.76% | -0.78% |
| 2022 | -2.75% | -5.96% |
| 2021 | -2.22% | 2.07% |
| 2020 | -6.5% | -1.74% |
| 2019 | -4.7% | 2.48% |
| 2018 | -2.77% | 5.53% |
| 2017 | -3.42% | -1.06% |
| 2016 | -2.53% | -0.64% |
| 2015 | -4.33% | -8.13% |
| 2014 | -1.06% | 1.26% |
| 2013 | -1.53% | -0.22% |
| 2012 | -2.7% | -1.54% |
| 2011 | -4.82% | -1.98% |
| 2010 | -5.4% | -2.38% |
| 2009 | -3.55% | -0.76% |
| 2008 | -2.73% | -0.04% |
| 2007 | -3.52% | 0.25% |
| 2006 | -3.42% | 0.44% |
| 2005 | -3.49% | 1.68% |
| 2004 | -4.62% | 0.72% |
| 2003 | -4.24% | -1.22% |
| 2002 | -4.01% | -3.29% |
| 2001 | -6.34% | -3.01% |
| 2000 | -6.03% | -5.67% |
| 1999 | -4.46% | -0.5% |
| 1998 | -4.89% | -6.01% |
| 1997 | - | -0.46% |
| 1996 | - | -1.61% |
| 1995 | - | -2.34% |
| 1994 | - | -1.35% |
| 1993 | - | -3.32% |
| 1992 | - | -2.1% |
| 1991 | - | -2.54% |
Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1991–2025, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY
In 2025, Myanmar's government deficit, the difference between spending and revenue, was $4.04B, equivalent to 4.94% of GDP. This compares to Vanuatu's deficit of $52.6M, or 3.88% of GDP.
Over the past 28 years, Myanmar recorded a fiscal deficit in 28 of those years, while Vanuatu ran a deficit in 20 years. On average, Myanmar posted an annual deficit equal to 3.85% of GDP, compared to deficit of 1.31% of GDP for Vanuatu.
Inflation comparison by year
| Year | Consumer prices inflation | |
|---|---|---|
|
Myanmar
|
Vanuatu
|
|
| 2025 | - | 0.66% |
| 2024 | - | 1.14% |
| 2023 | - | 11.2% |
| 2022 | - | 6.68% |
| 2021 | - | 2.34% |
| 2020 | - | 5.33% |
| 2019 | 8.83% | 2.76% |
| 2018 | 6.87% | 2.33% |
| 2017 | 4.57% | 3.08% |
| 2016 | 6.93% | 0.84% |
| 2015 | 9.45% | 2.48% |
| 2014 | 4.95% | 0.8% |
| 2013 | 5.64% | 1.46% |
| 2012 | 1.47% | 1.35% |
| 2011 | 5.02% | 0.87% |
| 2010 | 7.72% | 2.76% |
| 2009 | 1.47% | 4.3% |
| 2008 | 26.8% | 4.84% |
| 2007 | 35% | 3.94% |
| 2006 | 20% | 2.04% |
| 2005 | 9.37% | 1.2% |
| 2004 | 4.53% | 1.42% |
| 2003 | 36.6% | 3.02% |
| 2002 | 57.1% | 1.96% |
| 2001 | 21.1% | 3.58% |
| 2000 | -0.11% | 2.54% |
| 1999 | 18.4% | 2% |
| 1998 | 51.5% | 3.28% |
| 1997 | 29.7% | 2.83% |
Data sources: World Bank | Economy & Growth (1997–2025, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY
Over the past 23 years, Myanmar has recorded an average annual inflation rate of 16.2%, compared with 2.42% in Vanuatu. In 2019, inflation was 8.83% in Myanmar and 0.66% in Vanuatu.
Top exports between countries
Balance of trade
|
Myanmar
|
Vanuatu
|
|
|---|---|---|
|
Current account balance
|
$67.7M
2019 |
-$127M
2022 |
| Current account balance ranking |
66/190
2019 |
83/190
2022 |
| Current account balance, % of GDP |
+0.09%
2019 |
-11.1%
2022 |
| Goods imports |
$13.7B
2019 |
$350M
2022 |
| Goods exports |
$10.8B
2019 |
$73.6M
2022 |
| Service imports |
$3.66B
2019 |
$230M
2022 |
| Service exports |
$6.68B
2019 |
$78.5M
2022 |
| Imports of goods and services, % of GDP | n/a |
48%
2024 |
| Exports of goods and services, % of GDP |
24.3%
2026 |
25.3%
2024 |
Economic freedom indices
The indices of economic freedom below are issued by the Heritage Foundation. Higher scores indicate stronger economic health.
|
Myanmar
|
Vanuatu
|
|
|---|---|---|
| Economic freedom | 44.5 | 61.1 |
| Economic freedom ranking | 180/197 | 92/197 |
| Property rights | 5.7 | 62.1 |
| Government integrity | 18.1 | 48.3 |
| Judicial effectiveness | 3.9 | 67.9 |
| Tax burden | 88.6 | 96.9 |
| Government spending | 86.6 | 48.1 |
| Fiscal health | 62.7 | 78.8 |
| Business freedom | 37.9 | 50.3 |
| Labor freedom | 53.2 | 41 |
| Monetary freedom | 57.5 | 72.1 |
| Trade freedom | 69.4 | 62 |
| Investment freedom | 30 | 65 |
| Financial freedom | 20 | 40 |
Economic freedom comparison by year
| Year | Economic freedom index | |
|---|---|---|
|
Myanmar
|
Vanuatu
|
|
| 2026 | 44.5 | 61.1 |
| 2025 | 43.7 | 61.8 |
| 2024 | 42.2 | 62.2 |
| 2023 | 46.5 | 62.1 |
| 2022 | 49.6 | 62.9 |
| 2021 | 55.2 | 60.5 |
| 2020 | 54 | 60.7 |
| 2019 | 53.6 | 56.4 |
| 2018 | 53.9 | 69.5 |
| 2017 | 52.5 | 67.4 |
| 2016 | 48.7 | 60.8 |
| 2015 | 46.9 | 61.1 |
| 2014 | 46.5 | 59.5 |
| 2013 | 39.2 | 56.6 |
| 2012 | 38.7 | 56.6 |
| 2011 | 37.8 | 56.7 |
| 2010 | 36.7 | 56.4 |
| 2009 | 37.7 | 58.4 |
| 2008 | 39.5 | - |
| 2007 | 41 | - |
| 2006 | 40 | - |
| 2005 | 40.5 | - |
| 2004 | 43.6 | - |
| 2003 | 44.9 | - |
| 2002 | 45.5 | - |
| 2001 | 46.1 | - |
| 2000 | 47.9 | - |
| 1999 | 46.4 | - |
| 1998 | 45.7 | - |
| 1997 | 45.4 | - |
| 1996 | 45.1 | - |
Data sources: The Heritage Foundation | Economic Freedom Index (1996–2026, retrieved 2026-07-08).
GeoRank.org/economy/myanmar/vanuatu | CC BY
The Economic Freedom Index for Myanmar is 44.5, ranking 180/197, compared to 61.1 for Vanuatu, ranking 92/197. The chart above displays a comparison of annual changes in economic freedom indexes.
Other economic metrics
|
Myanmar
|
Vanuatu
|
|
|---|---|---|
| Services, % of GDP |
38.5%
2025 |
56.8%
2024 |
| Industry, % of GDP |
36.2%
2025 |
10.1%
2024 |
| Agriculture, forestry, and fishing, % of GDP |
25.3%
2025 |
26.6%
2024 |
|
GNI, Atlas method
|
$72.3B
2025 |
$1.48B
2025 |
| GNI per capita, PPP |
$5,890
2025 |
$4,970
2025 |
| Total reserves including gold |
$9.34B
2023 |
$615M
2024 |
| Total reserves ranking |
85/177
2023 |
152/177
2024 |
|
Net foreign direct investment
|
-$1.74B
2019 |
-$9.21M
2022 |
|
Net inflows of foreign direct investment
|
$1.1B
2024 |
$28.9M
2024 |
|
Net outflows of foreign direct investment
|
$0
2024 |
$2.79M
2024 |
|
Servicing debt to the IMF, % of GNI
|
1.31%
2024 |
1.88%
2024 |
| Poverty at national poverty lines |
24.8%
2017 |
15.9%
2020 |
|
Gross capital formation, % of GDP
|
n/a |
26.1%
2024 |
GDP per capita map
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/myanmar/vanuatu | CC BY
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Data sources:
- World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08)
- International Monetary Fund (IMF) | Fiscal Monitor (1991–2025, retrieved 2026-07-08)
- The Heritage Foundation | Economic Freedom Index (1996–2026, retrieved 2026-07-08)
- U.S. Census Bureau (1985–2025, retrieved 2026-07-08)
- United Nations | World Population Prospects (2026, retrieved 2026-07-08)
- LivingCost (2026, retrieved 2026-07-08)
- TradeMap (2024, retrieved 2026-07-08)
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.