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Economy of Netherlands vs Poland compared: GDP & Debt

Updated on by Georank team

The Netherlands has a GDP of $1.23T compared to $915B for Poland, ranking 19/197 and 21/197 by economy size, respectively.

The Netherlands has $531B in government debt (43.3% of GDP), compared to $506B (60.7% of GDP) in Poland.

The chart below compares the two countries' GDP growth in both current (nominal) and constant dollars, accounting for inflation over time.

Netherlands
GDP, current $

GDP, constant 2015 $
Poland
GDP, current $

GDP, constant 2015 $
Year GDP
Netherlands Poland
Current $ Constant $ Current $ Constant $
1960 $13,282,979,015 $165,062,637,640 - -
1961 $14,599,836,396 $165,550,474,774 - -
1962 $15,847,582,341 $176,879,933,635 - -
1963 $17,193,744,109 $183,291,161,793 - -
1964 $20,232,048,553 $198,458,329,344 - -
1965 $22,721,869,808 $215,611,271,157 - -
1966 $24,741,480,717 $221,521,401,057 - -
1967 $27,143,828,099 $233,217,763,700 - -
1968 $30,097,635,751 $248,181,328,024 - -
1969 $34,086,038,090 $264,138,020,130 - -
1970 $38,220,884,519 $280,356,573,733 - -
1971 $44,644,730,576 $292,459,511,974 - -
1972 $54,787,070,173 $302,794,664,266 - -
1973 $71,946,639,603 $319,279,481,312 - -
1974 $87,371,810,804 $330,258,601,498 - -
1975 $100,397,061,694 $330,265,301,638 - -
1976 $109,329,386,564 $344,982,946,319 - -
1977 $127,203,923,857 $353,678,035,788 - -
1978 $156,089,077,205 $363,214,067,825 - -
1979 $179,933,827,310 $370,529,803,464 - -
1980 $195,439,301,707 $375,501,994,722 - -
1981 $164,375,775,854 $372,559,517,530 - -
1982 $158,712,765,536 $367,936,960,746 - -
1983 $153,671,294,109 $375,553,101,273 - -
1984 $144,124,462,912 $387,051,331,969 - -
1985 $144,057,523,222 $397,037,952,227 - -
1986 $201,157,708,221 $408,103,304,156 - -
1987 $245,406,949,521 $415,984,792,778 - -
1988 $262,295,966,105 $430,299,740,005 - -
1989 $258,716,904,292 $449,319,496,513 - -
1990 $318,799,003,994 $468,115,532,100 $65,977,748,211 $194,797,367,585
1991 $327,982,316,124 $479,533,499,921 $85,500,935,935 $181,131,204,775
1992 $363,497,050,125 $487,714,681,271 $94,337,050,693 $185,686,615,838
1993 $354,070,495,966 $493,847,948,233 $96,043,157,273 $192,628,157,713
1994 $379,688,232,232 $508,471,242,745 $110,803,635,288 $202,823,584,826
1995 $452,967,334,614 $524,315,389,158 $142,838,527,115 $218,906,804,616
1996 $451,372,549,020 $542,250,002,540 $160,813,026,223 $232,246,717,071
1997 $417,506,211,882 $565,287,382,970 $159,893,964,917 $247,015,068,311
1998 $438,612,530,549 $591,560,723,040 $175,282,269,667 $258,431,144,714
1999 $447,778,514,140 $621,395,031,368 $170,704,452,715 $270,575,301,764
2000 $417,649,282,154 $647,616,371,669 $172,953,527,033 $283,174,187,558
2001 $432,536,219,669 $662,664,228,364 $191,823,200,371 $286,667,833,930
2002 $475,529,972,123 $664,292,962,005 $199,694,463,256 $292,117,946,677
2003 $582,435,617,082 $664,942,855,515 $218,561,225,998 $302,410,346,200
2004 $661,224,886,143 $678,350,164,554 $256,268,656,145 $317,805,438,387
2005 $688,133,699,636 $692,147,558,367 $306,999,913,151 $328,168,510,413
2006 $737,593,995,289 $716,631,413,730 $345,897,630,736 $348,521,872,927
2007 $853,499,460,873 $744,474,740,256 $429,715,132,138 $372,083,512,402
2008 $957,901,566,041 $760,233,900,200 $535,612,030,672 $388,394,800,371
2009 $878,954,223,140 $732,369,119,343 $440,891,472,247 $398,551,823,849
2010 $852,464,982,433 $742,031,413,974 $478,111,630,684 $411,181,642,128
2011 $913,140,741,333 $755,190,192,160 $527,848,543,023 $432,791,139,408
2012 $845,689,017,066 $747,805,361,888 $498,148,649,703 $439,333,996,551
2013 $883,951,539,007 $747,579,281,183 $518,179,836,405 $442,340,098,156
2014 $901,556,501,756 $759,634,819,526 $542,134,167,179 $459,682,079,851
2015 $775,743,675,303 $775,743,675,303 $480,054,118,583 $480,054,118,583
2016 $797,163,949,290 $794,549,918,521 $473,259,623,976 $494,605,411,858
2017 $848,233,537,846 $816,650,691,532 $528,356,723,263 $520,089,746,651
2018 $929,733,599,797 $835,096,710,413 $594,616,632,477 $552,573,816,156
2019 $928,903,005,576 $854,304,699,527 $602,683,770,145 $577,884,228,678
2020 $932,560,861,701 $821,260,592,383 $605,914,186,118 $566,120,997,480
2021 $1,054,472,123,450 $872,809,729,133 $689,170,171,187 $605,337,233,055
2022 $1,046,540,797,549 $916,513,359,460 $695,607,522,885 $637,150,470,885
2023 $1,154,361,305,398 $917,196,719,472 $812,451,128,979 $638,740,867,489
2024 $1,227,543,925,316 $926,182,265,714 $914,696,430,325 $657,413,741,876

Economic indicators

Netherlands Poland
Gross domestic product
$1.23T
2024
$915B
2024
GDP rank
19/197
2024
21/197
2024
GDP growth
6.34%
2023-2024
12.6%
2023-2024
GDP per capita
$68,219
2024
$25,023
2024
GDP per capita rank
13/197
2024
48/197
2024
GDP per capita, PPP
$84,218
2024
$50,378
2024
Government debt
$531B
2024
$506B
2024
Debt-to-GDP ratio
43.3%
2025
60.7%
2025
Government debt per person
$29,494
2024
$13,833
2024
Government debt per person rank
25/185
2024
41/185
2024
Average annual personal income after taxes
$45,699
2025
$19,229
2025
Market capitalization of domestic companies
$1.1T
2017
$197B
2024
Number of millionaires
1,231,625
2024
n/a
Number of billionaires
13
2025
10
2025
Income share by richest 10%
21.4%
2021
22.9%
2023
Income share by poorest 10%
3.6%
2021
3.3%
2023
Government expenditure, % of GDP
44.7%
2025
50.1%
2025
Consumer prices inflation
3.35%
2023-2024
3.78%
2023-2024
Central bank interest rate n/a
4.75%
2025
Unemployment rate
3.64%
2024
2.81%
2024
Population
18191638
36176920

GDP per capita in Netherlands vs Poland

The Netherlands' GDP per capita is $68,219, ranking 13/197, compared to $25,023 in Poland, ranking 48/197. Adjusted for purchasing power (GDP per capita PPP), the Netherlands ranks 12th at $84,218, while Poland ranks 44th at $50,378.

Netherlands
GDP per capita

GDP per capita, PPP
Poland
GDP per capita

GDP per capita, PPP
Year Current $
Netherlands Poland
GDP per capita GDP per capita, PPP GDP per capita GDP per capita, PPP
1960 $1,156 - - -
1961 $1,254 - - -
1962 $1,342 - - -
1963 $1,437 - - -
1964 $1,668 - - -
1965 $1,848 - - -
1966 $1,986 - - -
1967 $2,155 - - -
1968 $2,364 - - -
1969 $2,647 - - -
1970 $2,931 - - -
1971 $3,384 - - -
1972 $4,110 - - -
1973 $5,353 - - -
1974 $6,450 - - -
1975 $7,346 - - -
1976 $7,937 - - -
1977 $9,180 - - -
1978 $11,196 - - -
1979 $12,817 - - -
1980 $13,812 - - -
1981 $11,537 - - -
1982 $11,089 - - -
1983 $10,696 - - -
1984 $9,992 - - -
1985 $9,941 - - -
1986 $13,804 - - -
1987 $16,734 - - -
1988 $17,771 - - -
1989 $17,423 - - -
1990 $21,322 $19,190 $1,731 $6,181
1991 $21,764 $20,164 $2,236 $5,921
1992 $23,939 $20,817 $2,459 $6,189
1993 $23,156 $21,428 $2,497 $6,556
1994 $24,683 $22,399 $2,875 $7,035
1995 $29,301 $23,465 $3,701 $7,709
1996 $29,064 $24,555 $4,164 $8,307
1997 $26,745 $26,056 $4,137 $8,965
1998 $27,924 $27,747 $4,534 $9,520
1999 $28,319 $29,316 $4,416 $10,081
2000 $26,225 $31,888 $4,521 $10,719
2001 $26,956 $33,263 $5,015 $11,176
2002 $29,447 $34,568 $5,223 $11,841
2003 $35,897 $34,291 $5,721 $12,330
2004 $40,611 $35,966 $6,712 $13,415
2005 $42,165 $37,778 $8,044 $13,936
2006 $45,124 $41,217 $9,069 $15,208
2007 $52,101 $44,205 $11,273 $16,834
2008 $58,247 $46,714 $14,049 $18,372
2009 $53,172 $44,936 $11,556 $19,290
2010 $51,306 $45,306 $12,568 $20,993
2011 $54,702 $47,004 $13,868 $22,809
2012 $50,474 $47,653 $13,087 $23,728
2013 $52,602 $49,622 $13,622 $24,434
2014 $53,457 $49,751 $14,262 $25,460
2015 $45,794 $50,970 $12,638 $26,995
2016 $46,809 $53,162 $12,464 $28,360
2017 $49,514 $56,038 $13,913 $30,170
2018 $53,955 $58,819 $15,658 $32,345
2019 $53,555 $62,345 $15,875 $35,882
2020 $53,468 $62,597 $16,151 $37,089
2021 $60,142 $68,574 $18,636 $41,060
2022 $59,123 $77,152 $18,891 $46,077
2023 $64,572 $78,305 $22,145 $46,758
2024 $68,219 $84,218 $25,023 $50,378

Spending and national debt comparison

In 2024, the Netherlands' government spending was $541B, accounting for 44.7% of its GDP, while Poland's spent $454B, or 50.1% of GDP.

Debt-to-GDP ratio is 43.3% in the Netherlands and 60.7% in Poland, ranking 124/185 and 75/185, respectively.

Netherlands
Government spending

Government debt
Poland
Government spending

Government debt
Year % of GDP
Netherlands Poland
Government spending Government debt Government spending Government debt
1960 20.4% 66.7% 39.2% -
1961 22.2% 65.9% 42.8% -
1962 22.1% 63.8% 43% -
1963 21.9% 61.7% 33.3% -
1964 22.3% 57.1% 33.5% -
1965 23.4% 55.8% 31.8% -
1966 24.4% 55.6% 31.7% -
1967 24.1% 55% 29.6% -
1968 25.4% 54.4% 27.3% -
1969 42.1% 48.2% 26.3% -
1970 43.2% 46.1% 25.8% -
1971 44.6% 43.7% 24.1% -
1972 44.9% 41.3% 24.1% -
1973 44.6% 38.1% 24.5% -
1974 46.4% 36.3% 28.6% -
1975 50.8% 36.1% 34.1% -
1976 50.8% 35.2% 34.8% -
1977 50.6% 34.9% 35.6% -
1978 52.3% 38.1% 35.8% -
1979 53.7% 39.5% 35.6% -
1980 55.2% 43.6% - -
1981 56.8% 46.9% - -
1982 59.1% 52.4% - -
1983 59.1% 58.4% - -
1984 58.1% 61.9% - -
1985 57.3% 67.1% - -
1986 57% 68.9% - -
1987 58.5% 71.3% - -
1988 56.4% 73.7% - -
1989 54.5% 73.7% - -
1990 48.8% 75% - 90%
1991 49.6% 74.8% - 77.2%
1992 50.2% 75.6% - 82.2%
1993 50.9% 76.7% - 84.2%
1994 49.4% 73.5% - 64.5%
1995 53.9% 73% 47.5% 48.7%
1996 47.3% 71.2% 50.7% 43.2%
1997 45.7% 65.7% 46.1% 42.7%
1998 44.6% 62.7% 44% 38.7%
1999 44.3% 58.6% 42.5% 39.4%
2000 43.2% 52.2% 43.1% 36.4%
2001 44.1% 49.4% 44.7% 37.2%
2002 44.8% 48.7% 45.1% 41.6%
2003 45.8% 49.8% 45.5% 46.4%
2004 44.7% 50.1% 43.3% 44.9%
2005 43.4% 49.6% 44.1% 46.5%
2006 44% 45% 44.3% 47.1%
2007 43.3% 42.7% 42.8% 44.4%
2008 44.3% 54.4% 44% 46.6%
2009 48.4% 56.3% 44.9% 49.7%
2010 48.9% 58.9% 46% 53.7%
2011 47.8% 61.2% 44.1% 54.8%
2012 47.6% 65.7% 43.2% 54.5%
2013 47.5% 67.2% 43.2% 56.9%
2014 46.7% 67.2% 42.7% 51.1%
2015 45.3% 63.8% 41.5% 51.1%
2016 43.9% 60.9% 41.1% 54.1%
2017 42.8% 56% 41.1% 50.4%
2018 42.4% 51.5% 41% 48.2%
2019 42.1% 47.6% 41.4% 45.2%
2020 47.8% 53.3% 47.7% 56.6%
2021 45.9% 50.4% 43.6% 53%
2022 43.2% 48.3% 43.3% 48.8%
2023 43.2% 45.1% 47% 49.7%
2024 44.1% 43.2% 49.7% 55.3%
2025 44.7% 43.3% 50.1% 60.7%

Government deficit by year

In 2024, the Netherlands' government deficit, the difference between spending and revenue, was -$12.9B, equivalent to -1.05% of GDP. This compares to Poland's deficit of -$60.2B, or -6.58% of GDP.

Over the past 30 years, the Netherlands recorded a fiscal deficit in 22 of those years, while Poland ran a deficit in 30 years. On average, the Netherlands posted an annual deficit equal to -1.62% of GDP, compared to deficit of -4.02% of GDP for Poland.

Deficit/surplus
Netherlands

Poland
Year Deficit/surplus, % of GDP
Netherlands Poland
1880 0.21% -
1881 -1.06% -
1882 -1.11% -
1883 -2.1% -
1884 0% -
1885 -0.55% -
1886 -0.08% -
1887 -0.37% -
1888 -0.31% -
1889 0.04% -
1890 -0.06% -
1891 -0.06% -
1892 -1.72% -
1893 -0.76% -
1894 0.12% -
1895 -0.06% -
1896 0.08% -
1897 -0.45% -
1898 -0.48% -
1899 -0.13% -
1900 0.06% -
1901 0.03% -
1902 -0.14% -
1903 0.09% -
1904 -0.72% -
1905 0.1% -
1906 0.16% -
1907 0.03% -
1908 -0.57% -
1909 -0.34% -
1910 -0.93% -
1911 -0.13% -
1912 -0.47% -
1913 -0.45% -
1914 -0.45% -
1915 -0.45% -
1916 -0.45% -
1917 -0.45% -
1918 -0.45% -
1919 -0.45% -
1920 -0.45% -
1921 -0.45% -
1922 -0.45% -
1923 -2.62% -
1924 -3.37% -
1925 -2.04% -
1926 -0.78% -
1927 -0.33% -
1928 -0.62% -
1929 -1.16% -
1930 -0.55% -
1931 -1.66% -
1932 -1.97% -
1933 -2.55% -
1934 -0.92% -
1935 -0.69% -
1936 -0.41% -
1937 0.02% -
1938 -0.37% -
1939 -3.19% -
1940 -3.19% -
1941 -3.19% -
1942 -3.19% -
1943 -3.19% -
1944 -3.19% -
1945 -3.19% -
1946 -3.19% -
1947 -3.19% -
1948 -3.19% -
1949 2.3% -
1950 0.81% -
1951 2.13% -
1952 2.19% -
1953 -2.95% -
1954 0.76% -
1955 -0.25% -
1956 -0.83% -
1957 0.3% -
1958 -0.89% -
1959 -0.74% -
1960 0.9% -
1961 -0.38% -
1962 -1.38% -
1963 -0.54% -
1964 -1.2% -
1965 -1.15% -
1966 -2.37% -
1967 -1.97% -
1968 -3.06% -
1969 -1.14% -
1970 -1.52% -
1971 -1.58% -
1972 -0.7% -
1973 0.54% -
1974 -0.26% -
1975 -2.82% -
1976 -2.02% -
1977 -0.75% -
1978 -2.09% -
1979 -2.46% -
1980 -3.95% -
1981 -4.92% -
1982 -6.17% -
1983 -5.47% -
1984 -5.25% -
1985 -3.6% -
1986 -4.62% -
1987 -5.39% -
1988 -4.23% -
1989 -5% -
1990 -4.08% -
1991 -2.05% -
1992 -3.12% -
1993 -3.13% -
1994 -3.53% -
1995 -8.72% -4.39%
1996 -1.91% -4.84%
1997 -1.6% -4.61%
1998 -1.34% -4.25%
1999 0.28% -2.3%
2000 1.14% -4%
2001 -0.47% -4.73%
2002 -2.23% -4.8%
2003 -3.19% -6.02%
2004 -1.82% -4.99%
2005 -0.51% -3.93%
2006 0.03% -3.53%
2007 -0.26% -1.88%
2008 -0.004% -3.6%
2009 -5.1% -7.24%
2010 -5.28% -7.43%
2011 -4.42% -4.97%
2012 -3.84% -3.8%
2013 -2.86% -4.25%
2014 -2.24% -3.66%
2015 -1.78% -2.59%
2016 0.23% -2.38%
2017 1.32% -1.49%
2018 1.47% -0.24%
2019 1.78% -0.73%
2020 -3.61% -6.85%
2021 -2.2% -1.75%
2022 0.01% -3.43%
2023 -0.36% -5.29%
2024 -1.05% -6.58%
2025 -1.9% -6.16%

Inflation comparison by year

Over the past 29 years, the Netherlands has recorded an average annual inflation rate of 2.3%, compared with 4.92% in Poland. In 2024, inflation was 3.35% in the Netherlands and 3.78% in Poland.

Inflation
Netherlands

Poland
Year Inflation
Netherlands Poland Netherlands Poland
1996 1.95% 19.8%
1997 2.11% 14.9%
1998 1.96% 11.6%
1999 2.16% 7.15%
2000 2.36% 9.9%
2001 4.16% 5.41%
2002 3.29% 1.91%
2003 2.09% 0.68%
2004 1.26% 3.38%
2005 1.69% 2.18%
2006 1.1% 1.28%
2007 1.61% 2.46%
2008 2.49% 4.16%
2009 1.19% 3.8%
2010 1.28% 2.58%
2011 2.34% 4.24%
2012 2.46% 3.56%
2013 2.51% 0.99%
2014 0.98% 0.05%
2015 0.6% -0.87%
2016 0.32% -0.66%
2017 1.38% 2.08%
2018 1.7% 1.81%
2019 2.63% 2.23%
2020 1.27% 3.37%
2021 2.68% 5.06%
2022 10% 14.4%
2023 3.84% 11.5%
2024 3.35% 3.78%

Top exports between countries

Netherlands
Export category Export value
Machinery & equipment $7.54B
Chemicals & pharma $4.15B
Textiles & consumer goods $2.57B
Transport & tourism services $2.36B
Raw agricultural goods $1.92B
Processed food, beverages & tobacco $1.87B
Raw materials & minerals $1.25B
Metals $1.16B
Business & finance services $785M
Animal & marine products $751M
Poland
Export category Export value
Machinery & equipment $7.18B
Textiles & consumer goods $2.56B
Chemicals & pharma $1.65B
Processed food, beverages & tobacco $1.61B
Raw materials & minerals $1.15B
Metals $1.07B
Animal & marine products $1.01B
Raw agricultural goods $626M
Wood & paper products $583M
Transport & tourism services $127M

Balance of trade

Netherlands Poland
Current account balance
$111B
2024
-$341M
2024
Current account balance ranking
5/189
2024
98/189
2024
Current account balance, % of GDP
+9.04%
2024
-0.04%
2024
Goods imports
$606B
2024
$367B
2024
Goods exports
$693B
2024
$360B
2024
Service imports
$262B
2024
$75.2B
2024
Service exports
$308B
2024
$119B
2024
Imports of goods and services, % of GDP
72%
2024
48.3%
2024
Exports of goods and services, % of GDP
84.1%
2024
52.3%
2024

Economic freedom indices

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

Netherlands Poland
Economic freedom 78.2 67.1
Economic freedom ranking 11/197 51/197
Property rights 95.9 72.3
Government integrity 86.8 58.4
Judicial effectiveness 95.7 52.3
Tax burden 54 73.8
Government spending 41.6 39.7
Fiscal health 94.7 75.9
Business freedom 84.8 77.8
Labor freedom 60.1 56.8
Monetary freedom 74.7 68.5
Trade freedom 79.6 79.6
Investment freedom 90 80
Financial freedom 80 70

Economic freedom by year comparison

The Economic Freedom Index for the Netherlands is 78.2, ranking 11/197, compared to 67.1 for Poland, ranking 51/197. The chart below displays a comparison of annual changes in economic freedom indexes.

Netherlands
Poland
Year Economic freedom index
Netherlands Poland
1995 - 50.7
1996 69.7 57.8
1997 70.4 56.8
1998 69.2 59.2
1999 70.2 59.6
2000 70.4 60
2001 73 61.8
2002 75.1 65
2003 74.6 61.8
2004 74.5 58.7
2005 72.9 59.6
2006 75.4 59.3
2007 75.5 58.1
2008 77.4 60.3
2009 77 60.3
2010 75 63.2
2011 74.7 64.1
2012 73.3 64.2
2013 73.5 66
2014 74.2 67
2015 73.7 68.6
2016 74.6 69.3
2017 75.8 68.3
2018 76.2 68.5
2019 76.8 67.8
2020 77 69.1
2021 76.8 69.7
2022 79.5 68.7
2023 78 67.7
2024 77.3 66
2025 78.2 67.1

More economic indicators

Netherlands Poland
Services, % of GDP
70.3%
2024
59.9%
2024
Industry, % of GDP
17.9%
2024
26.4%
2024
Agriculture, forestry, and fishing, % of GDP
1.68%
2024
2.6%
2024
GNI, Atlas method
$1.13T
2024
$788B
2024
GNI per capita, PPP
$83,040
2024
$48,680
2024
Total reserves including gold
$79.1B
2024
$223B
2024
Total reserves ranking
34/177
2024
17/177
2024
Net foreign direct investment
$11.1B
2024
-$13B
2024
Net inflows of foreign direct investment
-$17.1B
2024
$21.4B
2024
Net outflows of foreign direct investment
-$5.93B
2024
$8.36B
2024
Poverty at national poverty lines
14.5%
2021
13.3%
2024
Gross capital formation, % of GDP
19.3%
2024
17.7%
2024

GDP per capita map

GDP per capita

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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.

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.