Europe & Central Asia | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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
Europe & Central Asia
Records
63
Source
Europe & Central Asia | Total natural resources rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.2398164
1971 0.23411008
1972 0.22475631
1973 0.26415926
1974 0.43716265
1975 0.57734454
1976 0.65175503
1977 0.61341053
1978 0.5343657
1979 0.81142412
1980 0.93099007
1981 0.99492539
1982 0.82897353
1983 0.88370016
1984 0.90734483
1985 0.93056644
1986 0.39065034
1987 0.43020609
1988 0.80618535
1989 1.11920409
1990 1.33962146
1991 0.70295064
1992 0.69896922
1993 0.72480177
1994 0.61834062
1995 0.70427998
1996 0.80915437
1997 0.73601729
1998 0.2570059
1999 0.49827505
2000 1.21123557
2001 1.22333141
2002 1.07901881
2003 1.05081481
2004 1.19810469
2005 1.47894691
2006 1.80741137
2007 1.78170608
2008 2.53634683
2009 1.58180536
2010 1.93572282
2011 2.66099211
2012 2.49568159
2013 2.20541487
2014 1.88757491
2015 1.13894436
2016 0.9395949
2017 1.29287032
2018 1.79473434
2019 1.47983316
2020 0.88614586
2021 2.21638586
2022

Europe & Central Asia | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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
Europe & Central Asia
Records
63
Source