Gross domestic product

After a sharp contraction of 3.4 per cent in 2020, the world’s real GDPgross domestic product expanded by 5.7 per cent in 2021, the fastest annual growth since 1973. In 2022, GDP growth is nowcast to slow down to 3.3 per cent.

Large differences in GDP per capita persist throughout the world. In 2021, most developed economies produced an output per person greater than US$30 000, with economies in Eastern and Northern Europe as the main exceptions. By contrast, almost half of the developing economies in Africa – all of them least developed countries (LDCsleast developed countries) – recorded a per capita output of less than US$1 300. Most developing economies in the Americas, Asia and Oceania reached an output higher than US$3 000 per person.

Growth was unevenly distributed across regions in 2021. Developed regions bounced back from the COVID-19 pandemic with a growth rate of 5.0 per cent. After a strong contraction of 2.7 per cent in 2020, developing Africa’s GDP expanded by 5.0 per cent in 2021. Developing Asia’s GDP growth rebounded from -0.4 per cent to 7.0 per cent in 2021. Developing America’s GDP increased by 6.2 per cent in 2021, following a 7.4 per cent drop in 2020.

LDCs’ GDP grew by 2.0 per cent in 2021 remaining below the 7 per cent target set by the 2030 Agenda for Sustainable Development. At the same time, their GDP per capita declined by 0.4 per cent.

Over the last 10 years, the global distribution of nominal GDP across economies has trended towards more equal. For example, in 2011, the poorest economies, accounting for 85 per cent of the world’s population, contributed 36 per cent to world GDP. By 2021, their share in GDP was 40 per cent. The last five years, however, did not show any clear reduction in inequality.

The highest GDP per capita, in nominal terms, was recorded for Luxembourg (US$132 918), Bermuda (US$126 972), Cayman Islands (US$99 007), Ireland (US$97 753) and Switzerland, Liechtenstein (US$93 217).