GDP of European countries. The strongest economies in the world

Russia is very close to the top 10 economies in the world in terms of GDP, according to new data from the World Bank. In terms of GDP, taking into account purchasing power parity (the benchmark of the May decree), Russia remains outside the top five

Photo: Vitaly Ankov / RIA Novosti

Russia overtook South Korea and rose from 12th to 11th place in the ranking of economies by GDP for 2017, according to updated World Bank data. Over the year, Russian GDP in dollar terms at current prices increased by almost $300 billion, from $1.28 trillion to $1.58 trillion. South Korea's GDP grew from $1.41 trillion to $1.53 trillion.

Russia in this list is far ahead of its three BRICS partners - China (2nd place), India (6th) and Brazil (8th), with Brazil coming closest with a margin of $478 billion.

There were only two changes in the top ten largest economies: India overtook France, rising to sixth place, and Brazil overtook Italy, taking eighth place ( see infographic).

The World Bank relies on official data from Rosstat, which includes Crimea and Sevastopol. “Based on these data, the World Bank does not intend to make any judgments regarding the legal or other status of the affected areas,” the institute said. In 2016 (the latest available data), the total GRP of Crimea and Sevastopol amounted to approximately 380 billion rubles, or $6 billion at the current exchange rate.

Fight for a place in the top five

More suitable for international comparisons is GDP at purchasing power parity (PPP, which equalizes the purchasing powers of currencies of different countries). It is according to this indicator that Russia should enter the top five leading countries by 2024, Vladimir Putin. Before September 1, the Ministry of Economic Development and the Ministry of Finance have been instructed to develop a plan to accomplish this task.

At the end of 2017, Russia increased its GDP at PPP in current prices from $3.64 trillion to $3.75 trillion, according to World Bank data, but remained, as a year ago, in sixth place. Fifth is Germany, from which Russia lags behind by $445 billion.

The lag behind Germany is 4-5%, the task is that over the coming six-year period the growth of the Russian economy will be 4% higher than the growth of Germany, Minister of Economic Development Maxim Oreshkin said in May. “The German economy is not an economy that is growing at a super-fast pace. Therefore, we must, of course, show higher rates of economic development and surpass it in this ranking,” the minister said.

According to Rosstat, in 2017 Russia's GDP grew by 1.5%. This estimate could be improved by 0.3 percentage points. due to Rosstat’s recent revision of the dynamics of industrial production over the past year, the Ministry of Economic Development reported on July 12. In 2018, GDP growth will be 1.9%, in 2019 - 1.4%, according to the latest macro forecast of the Ministry of Economic Development. The department updated it, taking into account the April expansion of US anti-Russian sanctions, the tasks set by the May decree, as well as the increase in the VAT rate from 2019, which will lead to an additional increase in prices.

According to experts, our contribution to the global economy is gradually declining and urgent measures need to be taken to change this trend. Today we will consider Russia’s place in the world economy in 2018, estimate GDP per capita, find out what the country exports, in what volumes, and who are our key foreign trade partners.

But first I would like to summarize some results for 2017. An important victory is that the country has finally curbed inflation. At the end of 2017, it amounted to 2.5%. This is a record. The country has not seen such a minimum level of inflation in its entire recent history.

At the same time, the Central Bank’s plans included an inflation target of 4%, however, as we see, the target was exceeded. Previously, the record low inflation rate was recorded in 2011, when prices rose by only 6.1%.

A positive trend is that the Russian currency has reduced its dependence on oil prices. More recently, the ruble almost completely repeated the movement of black gold, becoming more expensive when oil prices rise and weakening when they fall. However, today the relationship between these two quantities has decreased by more than 2 times. There are periods when these assets move in different directions altogether.

Experts note the impact of the new budget rule on these processes. Its essence is that the Ministry of Finance uses the excess income received when the oil price is $40 and above.

But the following result of the past year cannot be called optimistic. Real disposable incomes have continued to decline for several years in a row. Over the past year they decreased by another 1.7%.

Economic growth
Let's hope that economic growth will ensure an increase in household incomes, although there is little reason for joy here. At the end of 2017, officials estimate GDP growth at 1.4-1.8%. For a developing economy, such growth rates cannot be called satisfactory. For comparison, preliminary estimates in the United States show that GDP growth at the end of last year was 2.5%.

To understand Russia’s place in the global economy, it is enough to evaluate the contribution that the country’s economy makes to global GDP. There are few reasons for optimism here. Our share is getting smaller every year.

TOP 15 countries by GDP (World Bank data)

In terms of GDP in current dollars, the country's economy is in 12th place. Although Russia's GDP has doubled since 1990, this was not enough to take a significant position in the global economy. The country's share of global GDP is around 1.7%. The United States accounts for almost a quarter of the world economy.

TOP 15 countries by GNI in PPP (World Bank data)

True, the volume of GDP in current dollars is not a completely objective indicator. An indicator such as gross national income at purchasing power parity gives a more realistic picture of the world than GDP at par. Here Russia is already in 6th place in the world. The country's contribution to the world economy is estimated at 2.75%. However, this is still not so much compared to the leaders. China's contribution to the global economy is at 17.5%, and the USA's at 15%.

If we look from the point of view of GDP per capita at PPP, then for Russia the figure is just over 23 thousand dollars in 2016. In Kazakhstan it exceeds 25 thousand dollars, in the USA it is 57.6 thousand dollars, in Luxembourg - 103.5 thousand dollars.

Export
Assessing Russia's place in the world economy, one cannot help but pay attention to the structure of domestic exports. For example, according to the Federal Customs Service for 2016, the country exported goods and raw materials worth $287.6 billion.

As one might guess, a significant share of our exports consists of raw materials. For example, supplies of fuel and energy goods (oil, gas, coal) to non-CIS countries accounted for 62% of total exports. Another 10% came from metals and products made from them.

7.3% is the supply of machinery and equipment, 6% is the share of chemical products in exports. Food accounts for 5% of exports, timber and paper products – 3.3%.

Import
In 2016, the country most often imported machinery and equipment from non-CIS countries. Their share in the commodity structure was 50.2%. In second place with a share of 19% are chemical industry products. The share of food was 12.5%.

Textiles and footwear are also actively imported into the country. The share was 5.8%. The share of imported metals and products made from them is at the level of 5.3%.

Key foreign trade partners
The three main partners of Russia in 2016 included China, Germany, and the Netherlands. Trade turnover with these countries amounted to 66.1 billion, 40.7 billion and 32.3 billion dollars, respectively. Also in the top 10 were the USA, Italy, Japan, Turkey, the Republic of Korea, France, and Poland.

The EU, which is the country's largest economic partner, accounts for almost 43% of Russian trade turnover. APEC countries (China, Japan, Korea) account for 30% of trade turnover.

While the Russian economy is trying to find its place in the world, the country's citizens are suffering from a drop in real incomes that has been going on for 6 years. The situation is saved only by loans that can be taken in 5 minutes and repaid from the very first payday.

The Russian economy in 2017 was full of contradictions. GDP has started to grow, but it cannot be called sustainable. Consumer spending rose while income fell. Inflation dropped below 4%, although not everyone believed in achieving this goal

In this material, RBC decided to collect everything unusual that happened to the Russian economy in the past year. These may be phenomena that deviate from the norm (inflation, which for the first time since the early 1990s has moved to a completely different quality, more characteristic of developed economies) or diverged from expectations (contrary to hopes for Donald Trump, there were more sanctions, not fewer, but the ruble and Russian government securities still strengthened). These are visible macroeconomic paradoxes, which can often be explained by imperfect statistics (multidirectional dynamics of real wages and incomes, growth of capital investment while construction is falling).

Prices couldn't be lower

Having broken through the Central Bank's target of 4% back in the summer, by November inflation slowed to a historical low of 2.5%. “No one expected such inflation,” admits Raiffeisenbank macroanalyst Stanislav Murashov. This may be due to a decrease in shadow wages and non-indexation of salaries in the public sector, which is why the contribution of the consumer factor to price growth is practically negative, Murashov believes.

The slowdown in price growth is not surprising, says Deutsche Bank economist Elina Rybakova. This is a natural result of structural changes - low demand, tight monetary policy, reduction in government spending. But inflation could still exceed 4% due to a shortage in the labor market and high inflation expectations among the population, the Central Bank warned in December. Expectations, however, are very different from real inflation: in November, Russians, according to a survey by the Central Bank and InFOM, expected prices to rise in the coming year at the level of 8.7% (another visible oddity).

In fact, such a difference between the expectations of the population and the actual situation is logical, Rybakova notes: people need to get used to such a slow rise in prices. In addition, there are paradoxes of perception, for example, when asked about the expected level of inflation, respondents can name 9%, but answer affirmatively to the question of whether they expect inflation to be at the same level as now.

Oil independence of the ruble

If two years ago the ruble habitually fluctuated in unison with oil (weakened when oil became cheaper and strengthened when it became more expensive), now this dependence has decreased. Two years ago, the correlation between the ruble and oil was approximately 80%, and in recent months has dropped to approximately 30%. In November, the 30-day correlation between the ruble and Brent oil even briefly became negative (asset values ​​move in different directions).

Analysts at Danske Bank expect that the correlation will soon recover somewhat, which is why the Russian currency, with more expensive oil, will even strengthen to 53.5 rubles. per dollar by the end of 2018 (forecast from December 18). However, such a positive forecast for the ruble is rather atypical for the market - the Bloomberg consensus forecast for next year is 58-59 rubles. for a dollar.

The budget rule (a mechanism for purchasing foreign currency with excess oil revenues above $40) helped reduce the dependence of the Russian currency on the main export product, Finance Minister Anton Siluanov has repeatedly said. Next year, foreign currency purchases may increase.

Banks are growing despite the bailouts

The banking sector was shaken by announcements of reorganizations, the peak of which occurred in the third quarter (Otkrytie, B&N Bank). This is impossible to believe if you look only at Rosstat statistics on GDP produced: in the third quarter, the financial and insurance industry added 5.1% year on year - the highest growth among all industries. In the second quarter, the financial sector grew by 2.7%, in the first - by only 0.1%.

It is worth making allowance for the relatively modest size of the financial and insurance sector, according to Rosstat. Because of this, the industry’s contribution to GDP growth in the third quarter (1.8%) was only 0.2 percentage points. Nevertheless, it is no coincidence that the financial sector has become a leader in growth, according to VTB Capital: the advantages of the industry are that it is “not limited by capacity (increasing added value does not require additional labor resources and investments in fixed capital).”

Income paradox

The growth of real wages of Russians this year has become stable, but has not led to the recovery of a more important indicator - real incomes. In January-November, inflation-adjusted wages of the population increased by 3.2%, and real disposable income (those remaining after paying all mandatory payments) decreased by 1.4%.

Revenues have been falling non-stop for two years, with the exception of one month - in January 2017 they jumped by 8.8%. The explanation is simple: then the government paid pensioners a one-time payment of 5 thousand rubles. (compensation for the fact that pensions were not indexed).

GDP growth during the crisis, the state of the economy, and an increase in average wages are factors that have allowed some countries to maintain leadership positions in the quality of life of the population. Based on the results of 2016, which states became more convenient for living, which ones left the TOP 10 and which ones still remain dream countries? About this in our article!

A good country is a healthy country. According to the World Health Organization (WHO), the UN and the World Bank, the TOP 10 countries with the healthiest populations look like this:

1. Iceland. Its primacy is due to the maximum number of health workers (more than 3.6 per 1 thousand people), the minimum number of people diagnosed with tuberculosis (only 2 per 1 thousand people) and the highest life expectancy in the world (more than 72 years for men and 74 for women).
2. Singapore. The minimum number of people suffering from obesity (1.8%) and high life expectancy (on average 82 years) allowed this city-state to take a high place in the ranking.
3. Sweden. The small number of tuberculosis patients (only 3 per 1 thousand people), coupled with minimal infant mortality, allowed it to take an honorable 2nd place.
4. Germany. More than 11% of the state’s GDP goes to healthcare (Germany spends more than 3,500 euros annually on the treatment of citizens).
5. Switzerland. The high ranking is due to the large number of doctors (3.6 per 1 thousand people)
6. Andorra. Healthcare spending in Andorra accounts for more than 8% of GDP, and the average life expectancy of the population exceeds 82 years.
7. Great Britain. This country is the only Western state that owns 95% of the medical institutions operating on its territory. More than 9.8% of GDP is spent on healthcare.
8. Finland. In this country, about 300 people fall ill with tuberculosis per year, while every year 30 thousand people are diagnosed with cancer (over 75% of patients are completely cured).
9. Netherlands. The country has a low incidence of tuberculosis (5.4 people per 1 thousand inhabitants) and a sufficient life expectancy - more than 81 years.
10. Canada. The Medicare healthcare system is the pride of this North American state, because it guarantees virtually free medical care to every resident. Expenditures on health care account for over 10% of GDP, and the life expectancy of citizens exceeds 80 years.

The worst countries in terms of the health of their citizens are African states: Swaziland, Somalia, South Sudan, Chad, Central African Republic, Mali, etc. The ranking is based on data from researchers at Seattle University and the Bloomberg news agency.

WHO uses a special indicator to determine the quality of healthcare - life expectancy at birth. According to the World Health Organization ranking, Russia ranks 110th in terms of medical care. And although the healthcare system leaves much to be desired, the Russian Federation is ahead of other CIS countries, such as Kazakhstan (111th place), Tajikistan (115th), Armenia (116th), Uzbekistan (117th), Ukraine (151st), losing only to the Republic of Belarus (98th place) .

TOP 10 countries ideal for business

A strong economy is unthinkable without a successful business. In 2016, Forbes compiled a list of countries that are most convenient for doing business. It is noteworthy that out of 10 participants in the rating, 6 are EU countries:

1. Sweden;
2. New Zealand;
3. Hong Kong;
4. Ireland;
5. Great Britain;
6. Denmark;
7. Netherlands;
8. Finland;
9. Norway;
10. Canada.

The American publication has been forming the rating for 11 years, taking into account the level of bureaucracy, the amount of taxes, corruption, economic growth, financial and personal freedom of citizens - a total of 11 factors were taken into account. For 7 of them, Sweden was in the top ten, because its economy at the end of the year grew by 4.2 percent with a GDP of 493 billion US dollars. Data for the assessment were obtained from reports of the World Bank, the World Economic Forum, the non-governmental international anti-corruption organization Transparency International, etc.

In terms of economic development, Russia took 40th place, and in terms of the complexity of starting a business, it was in 26th position. In terms of the availability of electricity, the Russian Federation became 30th, in terms of the availability of loans it became 44th, in terms of the level of taxation - 45th, in terms of the complexity of obtaining construction rights, our country became 115th. According to the World Bank, the ideal country for business (without taking into account additional criteria, such as economic growth) is New Zealand, because “paying taxes is as easy as writing a check.”

The most prosperous countries in the world

Well, where we do not? The British non-profit organization The Legatum Institute has published a world ranking study of the most prosperous countries in the world. The most “prosperous” countries are determined taking into account economic and social indicators, business opportunities, levels of education and healthcare, social capital and personal freedoms of citizens. Experts assessed 149 countries, giving them scores ranging from 0 to 10 based on 89 criteria.

Based on the results of the analysis carried out in 2016, the following rating was compiled:

1. New Zealand (prosperity index - 79.28);
2. Norway (78.66);
3. Finland (78.56);
4. Switzerland (78.10);
5. Canada (77.67);
6. Australia (77.48);
7. Netherlands (77.44);
8. Sweden (77.43);
9. Denmark (77.37);
10. UK (77.18).

The purpose of the study is to study the social well-being of the countries of the world on a global scale. The Prosperity Index is a composite indicator that measures the achievements of countries in terms of well-being. In this list, Russia occupies 95th position (prosperity index - 54.73). The closest “neighbors” in the rating are Nepal and Moldova (94th and 96th places, respectively). Among the CIS countries, Russia has the best indicators: 25th place in the quality of education, 56th in environmental safety, 69th in entrepreneurship.

Russia's achievements are obvious - every year it moves to the top of the ranking. At the same time, the results should be viewed through the prism of political sentiment: the report of the Legatum Institute repeatedly used liberal clichés “Putin’s Russia”, “Soviet legacy”, “communist past”, etc. When compiling the rating, the British organization uses survey data from the previous year, which does not allow a 100% objective reflection of reality.

Rating of countries in the world by standard of living

The United Nations (UN) has been publishing a report on the quality of life of people around the world since 1990. The rating is based on the Human Development Index, or Humanity Development Index (HDI). This index allows you to measure the achievements of states in the field of healthcare, income, education, social services, etc.

The report was last published in 2015, and the best countries to live in were distributed in the UN ranking as follows:

1. Norway (0.94);
2. Australia (0.935);
3. Switzerland (0.93);
4. Denmark (0.923);
5. Netherlands (0.922);
6. Germany (0.916);
7. Ireland (0.916);
8. United States of America (0.916);
9. Canada (0.913);
10. New Zealand (0.913).

Russia is one of the countries with a high human development index (0.798) along with Belarus. Our country is somewhat ahead of Oman, Romania, Uruguay, slightly inferior to Montenegro. The countries with the worst HDI scores are in Africa: Niger, Central African Republic, Eritrea, Chad, Burundi, Burkina Faso, Guinea, Sierra Leone, Mozambique and Mali.

1. Denmark (201.53);
2. Switzerland (196.44);
3. Australia (196.40);
4. New Zealand (196.09);
5. Germany (189.87);
6. Austria (187);
7. Netherlands (186.46);
8. Spain (184.96);
9. Finland (183.98);
10. United States of America (181.91).

The index was calculated without the use of government data or official reports, so it can be considered subjective and depoliticized. For calculations, a formula was used that takes into account factors such as the purchasing power of the population, the ratio of real estate costs to citizens’ incomes, safety and cost of living, quality of healthcare, climate, and even the situation on the roads (the fewer traffic jams, the better).

Russia ranks 55th on this list with a quality of life index of 86.53. It is slightly ahead of Ukraine and slightly inferior to Egypt and Singapore. Russia has shown good results in the real estate sector: the housing affordability index is 13.3 (this is only slightly higher than that of Austria, France, Estonia, and South Korea). The purchasing power index of Russians is two times lower than that of citizens of the leading countries on the list - only 52.6. But the cost of living index in Russia is one of the lowest (35.62). For comparison: in Switzerland it is 125.67, in Norway – 104.26.

The table of indices that determine the position of the listed countries looks like this:

Along with a high standard of living, relative affordability of housing, and high purchasing power of citizens, the leading countries in terms of living standards are also the most expensive to live in. The ranking of the most expensive countries to live in looks like this:

1. Switzerland – 126.03;
2. Norway – 118.59;
3. Venezuela – 111.51;
4. Iceland – 102.14;
5. Denmark – 100.06;
6. Australia - 99.32;
7. New Zealand - 93.71;
8. Singapore - 93.61;
9. Kuwait - 92.97;
10. UK – 92.19.

The TOP 10 was compiled based on data from the research company Movehub (UK). The index used (the Consumer Price Index, or CPI) takes into account the cost of food, utilities, transportation, gasoline and entertainment. Interesting fact: the index reflects the cost of living ratio in New York (if it is 80, then living in the country is 20% cheaper than in the Big Apple).

The most affordable countries for living include mainly the countries of Asia and Africa: India, Indonesia, Bangladesh, Pakistan, Nepal, Egypt, Algeria. The countries of Europe and North America still remain attractive, but quite expensive for living. The attractiveness is due to the excellent quality of medical and educational services. The best universities in the world are located on their territory: Harvard, Princeton and Yale, Oxford and Cambridge universities.

Many of the leaders in the listed ratings are countries with excellent ecology. According to Forbes, Switzerland, Sweden and Norway are the three cleanest and most favorable countries to live in in terms of climate and ecology. There are practically no harmful industries on their territory, and endless green meadows, mountains and clean natural reservoirs make living and relaxing there as beneficial as possible for health.

Let us note that many states are absolute leaders who have distinguished themselves in all respects. Thus, Norway, Iceland and Sweden can be safely called ideal for living, working, and tourism. Which countries, in your opinion, have provided their citizens with optimal living conditions and the highest standard of living? Share your personal experiences and opinions in the comments!

We really look forward to your feedback, reposts and comments, thank you.

Products produced during the year under review. The value is expressed in the national unit of the state. GDP statistics of countries around the world allow us to assess economic indicators in a particular state and make forecasts for future development.

Real and nominal GDP

The nominal indicator is the final price calculated according to the market, depending on changes in income and price index. Real indicator - to determine the cost of a product, the growth indicator is used, not the price change:

The term “GDP deflator” hides the ratio of the nominal to the real indicator:

The indicator implies the total volume of all state income for the year, divided by the number of residents. It is used to simplify the comparison of the productivity of countries, since GDP per capita serves as a characteristic of economic activity. This is also a kind of “indicator” of the level of a country with a high gross domestic product, we can say that it is favorable and comfortable for living:

Structure of the world's GDP

The development of society affects three stages: pre-industrial, industrial and post-industrial. Each of them is characterized by a certain type of economic structure. The table clearly shows the characteristics of each stage:

The predominance of agriculture is observed today in Afghanistan, Somalia, Cambodia, Laos, Tanzania and Nepal (over 50%).

The share of the service sector in the GDP of countries around the world is gaining momentum, which means that they are characterized by an interest in knowledge workers. Obviously, the share of expenses on an even greater percentage of predominance is in small states that live by providing financial services and. World GDP statistics for 2000 (share of industries, %):

Data for Russia

During 1990–2016, the direction of economic development in Russia changed significantly. There is a simultaneous increase in mining production and an increase in transactions with and finance. But the volumes of agriculture, forestry, manufacturing and transport enterprises are declining.

Share of military expenditures in countries' GDP

Wikipedia has information on the share of the world's GDP going to military spending in 2016:

Every year, studies are conducted on the basis of which a ranking of the GDP of developed and lagging countries is compiled. The place of countries in the world in terms of GDP is determined by the World Bank, which has undergone many structural changes since its founding. Over the past 20 years it has become a specialized agency of the UN. The GDP of the world's countries is calculated in dollars. Today the undoubted leaders are:

1. USA– the national unit of the state is considered one of the stable currencies of the world and is used as an international one. Thanks to this fact, the figure in question in the United States is so large: 18.12 trillion. dollars. If we consider it in percentage terms, the annual increase in the country's gross domestic product averages 2.2%, or 55 thousand dollars per capita. The main “earning” corporations in the country are Microsoft and Google.
2. China– the second country in the world in terms of economic growth. Today the country's gross product is 11.2 trillion. dollars, increases by 10% annually.
3. Japan– 4.2 trillion. dollars. Today the figure increases annually by 1.5%. Per capita it is 39 thousand dollars.
4. Germany– the gross product of the state is 3.4 trillion. dollars or 46 thousand per capita. The increase for 2016 is 0.4%.
5. Great Britain– 2.8 trillion. dollars.

GDP statistics of the world's leading countries :

GDP statistics in European countries in 2016

Among the EU countries there are also leaders and laggards. According to statistics, the most developed in the EU are:

1. Liechtenstein - GDP per capita is just over 85 thousand.
2. The Netherlands - for each resident there are 42.4 thousand euros.
3. Ireland – 40 thousand euros according to a similar indicator.
4. Austria – 39.7 thousand euros.
5. Sweden - the gross product is 38.9 thousand euros.

Additionally, the following states can be noted:

World GDP forecasts

The GDP of the leading EU countries is assessed by Forex specialists ambiguously: it is possible that it will increase by 1.7%, but there is a possibility of a decrease of 15%. In addition to the increase, there may also be a decrease in the level of GDP of countries around the world. This phenomenon may affect:

1. Venezuela– the estimated projected decrease in gross domestic product by 3.5% is due to the lack of oil, pharmaceuticals and other basic products in the country.
2. Brazil– the prices set for extracted iron ore contribute to a decrease in the gross product by 3%.
3. Greece– the estimated decrease will be 1.8%.
4. Russia– the indicator is expected to decrease by 0.5%, which is due to the imposed sanctions by the EU and the USA. In addition, a decrease in the value under consideration in Russia may be a consequence of a decrease in oil prices. Experts do not rule out an economic recession in the country. A crisis is possible with a probability of up to 65%.

Countries with fast growing GDP 2016

The GDP growth rates of countries around the world are different, however, experts identify 13 of them, which are distinguished by a particular rate of increase.