The Poorest Countries: Poorest countries in the world by GDP per capita PPP.
These are the poorest countries in the world in 2023 by GDP per capita PPP as estimated by International Monetary Fund (IMF) as of January 04, 2024.
Introduction:
Despite the significant amount of money in the world, certain countries nevertheless struggle with extreme poverty. Based on GDP per capita, this article, which focuses on 2023, identifies the world’s poorest nations. It’s important to understand GDP per capita and how it’s used as a criterion for evaluating countries before looking through the list.
Gross Domestic Product, or GDP, measures the amount of goods and services produced annually in a nation. But one needs to take into account a nation’s population in order to have a more complete picture of its economic situation. Here’s where per capita GDP becomes relevant. A more detailed picture of the nation’s wealth distribution can be obtained by dividing the GDP by the entire population.
The complexity increases when we take into account the possibility that GDP per capita may not fully capture the story. Variations in inflation rates and living expenses among nations can have a substantial effect on this measure. To enable a more equitable comparison, Purchasing Power Parity (PPP) is used in this situation. PPP provides a more accurate picture of the level of living in various nations by accounting for local expenses and inflation rates.
It is imperative to recognize that certain countries may present fictitiously high GDPs, frequently as a result of their designation as tax havens. As a result, GDP per capita PPP is a crucial factor in determining which countries are the poorest in the world when it comes to the GDP per capita ranking for 2023.
List Poorest countries in the world by GDP per capita PPP.
| Rank | Country | GDP-PPP ($) |
|---|---|---|
| 01 | South Sudan | 515.75 |
| 02 | Burundi | 891 |
| 03 | Central African Republic | 1,130 |
| 04 | Somalia | 1,370 |
| 05 | Democratic Republic of the Congo | 1,474 |
| 06 | Mozambique | 1,556 |
| 07 | Niger | 1,600 |
| 08 | Malawi | 1,682 |
| 09 | Chad | 1,797 |
| 10 | Liberia | 1,798 |
01. South Sudan:
GDP: $3.9 billion
Population: 11,104,916
South Sudan, which became the world’s newest nation in 2011, faces significant economic challenges. Inadequate infrastructure, recurrent conflicts, and political instability all limit the nation’s developmental trajectory. Even after attaining independence, South Sudan faces significant obstacles in promoting long-term economic development.
The bulk of people are still involved in traditional farming methods, and agriculture continues to be the backbone of the economy. But the country’s dependence on agriculture leaves it open to threats. Extreme weather occurrences combined with violence often cause farming operations to be disrupted, which exacerbates the poverty cycle in this landlocked nation of some 11 million people.
One factor contributing to South Sudan’s economic problems is the absence of a stable political climate. In addition to undermining governance, political instability makes it more difficult to put into practice the sensible policies required for economic growth. The nation’s resources are further strained by ongoing wars, which take money and attention away from vital development projects.
In addition, South Sudan faces difficulties related to its inadequate infrastructure, which hinders its capacity to promote trade and business. Economic advancement is impeded by insufficient transportation and communication networks, which make it difficult for goods and services to move efficiently.
In conclusion, political unrest, hostilities, and inadequate infrastructure impede South Sudan’s progress toward economic stability, despite the nation being the youngest in the world in terms of independence. Improving the lives of its 11 million residents and promoting sustainable development depend on addressing these complex issues.
02. Burundi:
GDP: $3.4 billion
Population: 13,269,272
Burundi, a compact landlocked nation in East Africa, grapples with notable socio-economic obstacles, marked by political instability, conflicts, and insufficient infrastructure development. The economic challenges and adversities experienced by its populace are heightened by the swift expansion of the population. With around 80 percent of the people depending on subsistence agriculture, the prevalence of food insecurity in Burundi surpasses that of numerous other sub-Saharan African countries.
03. Central African Republic (CAR):
GDP: $2.2 billion
Population: 5,757,091
Political instability, military wars, and inadequate infrastructure have resulted in substantial economic challenges for the Central African Republic (CAR), which is situated in the continent of Africa. The country is rich in resources—gold, oil, uranium, and diamonds—but its people live in extreme poverty. Recent events, such as the aftermath of the conflict in Ukraine, which resulted in price increases for necessities, and the negative effects of severe cycles of flooding and drought, have made the economic issues even more severe. Together, these elements make the CAR’s already difficult economic circumstances worse.
04. Somalia:
GDP: $7.5 billion
Population: 18,192,151
Nestled in the Horn of Africa, Somalia has grappled with prolonged periods of political turbulence, armed confrontations, and humanitarian emergencies. The nation’s advancement has been impeded by the persistent absence of an effective central government, inadequate infrastructure, and pervasive poverty. The challenging combination of these factors has significantly hampered Somalia’s ability to make substantial progress.
05. Democratic Republic of the Congo (DRC):
GDP: $42.6 billion
Population: 102,553,019
The Democratic Republic of Congo (DRC), the largest country in Sub-Saharan Africa, grapples with significant economic hurdles despite its abundant natural resources, including cobalt and copper. The majority of its population experiences poverty, with approximately 62 percent of Congolese living on less than $2.15 a day. The challenges extend beyond economic factors, encompassing issues such as malnutrition, restricted access to education and healthcare, and elevated fertility rates. These factors collectively contribute to the persistent poverty and hindered development within the country.
06. Mozambique:
GDP: $3.3 billion
Population: 33,980,890
Mozambique, once a Portuguese colony abundant in resources but sparsely populated, grapples with poverty stemming from a combination of factors such as natural disasters, diseases, rapid population growth, diminished agricultural productivity, and pronounced wealth inequality. Despite its wealth of resources and considerable GDP growth, the nation finds itself persistently ranked among the world’s most impoverished, further compounded by the challenges posed by Islamic insurgent groups in the northern region, known for its rich gas deposits.
07. Niger:
GDP: $9.2 billion
Population: 27,291,636
Niger, a landlocked country in West Africa with no coastline, struggles economically and has high rates of poverty due to limited natural resources, frequent droughts, and an economy centered mostly on agriculture. Eighty percent of the area is covered by the Sahara Desert, and the growing population that depends on small-scale agriculture faces a significant challenge from the impending threat of desertification.
08. Malawi:
GDP: $6.9 billion
Population: 21,039,999
Malawi, a country in southeast Africa, has beautiful scenery, but also has significant economic challenges. Due to its significant reliance on rain-fed agriculture, the nation is vulnerable to the negative effects of climate change and erratic fluctuations in commodity prices. Still, the government continues to be committed to promoting economic diversification, improving healthcare and education, and reducing poverty.
09. Chad:
GDP: $10.9 billion
Population: 18,327,841
Chad, situated in Africa, confronts considerable economic obstacles and elevated poverty levels despite possessing substantial oil reserves. The country heavily depends on rain-fed agriculture, making it susceptible to weather-related shocks and widespread food insecurity. Reports indicate instances of human rights abuses and crackdowns on political opposition and dissent, causing apprehension regarding the adherence to democratic principles.
10. Liberia:
GDP: $10.9 billion
Population: 5,428,692
The history of violent conflicts in Liberia, including civil wars and health crises like the Ebola outbreak, is the foundation of the country’s ongoing economic problems. Precarious infrastructure and limited access to necessary services are the results of these catastrophes. The nation’s problems with food insecurity have been made worse by the forced migration brought on by these events. Global organizations such as the World Food Programme have made a commitment to address poverty in Liberia due to their recognition of the pressing need for assistance. Their priorities are investing in healthcare and education, as well as putting sustainable development policies into action. There is a concerted effort to clear the path for the nation to have a more secure and prosperous future by resolving these fundamental issues.
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