Congo, Rep. | Mineral rents (% of GDP)

Mineral rents are the difference between the value of production for a stock of minerals at world prices and their total costs of production. Minerals included in the calculation are tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Republic of the Congo
Records
63
Source
Congo, Rep. | Mineral rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.05485696
1971 0.12228495
1972 0.30453947
1973 0.74258588
1974 0.52334514
1975 0.41908408
1976 0.26295084
1977 0.17700826
1978 0.25282972
1979 0.47744223
1980 0.29443196
1981 0.12405467
1982 0.04233351
1983 0.02008548
1984 0.00732932
1985 0.01858524
1986 0.023689
1987 0.04953024
1988 0.78173749
1989 0.21007406
1990 0.35426167
1991 0.89460886
1992 0.25569353
1993 0.20659804
1994 0.2190972
1995 0.03993202
1996 0.09949548
1997 0.49216867
1998 0.00089335
1999 0.0005286
2000 0.00063447
2001 0.00072265
2002 0.00085553
2003 0.00037577
2004 0.00433357
2005 0.00352048
2006 0.00675493
2007 0.00708565
2008 0.0070048
2009 0.00988883
2010 0.01415425
2011 0.01971939
2012 0.01632544
2013 0.01083899
2014 0.00887587
2015 0.01008542
2016 0.01508479
2017 0.01126087
2018 0
2019 0
2020 0
2021 0
2022

Congo, Rep. | Mineral rents (% of GDP)

Mineral rents are the difference between the value of production for a stock of minerals at world prices and their total costs of production. Minerals included in the calculation are tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Republic of the Congo
Records
63
Source