Low & middle income | 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
Low & middle income
Records
63
Source
Low & middle income | Total natural resources rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 2.41442475
1971 2.43774973
1972 2.83378204
1973 4.22465937
1974 10.45853556
1975 9.71155784
1976 10.46500778
1977 10.94913618
1978 10.34759868
1979 14.72769462
1980 15.55737571
1981 11.10262172
1982 9.65612002
1983 9.28503347
1984 8.6671835
1985 8.51829898
1986 5.01312617
1987 6.33713353
1988 6.07873387
1989 7.44488156
1990 8.45769152
1991 5.11089019
1992 5.20321715
1993 5.11118432
1994 4.68042198
1995 5.02303292
1996 5.24413788
1997 4.55346012
1998 3.07503352
1999 3.81922765
2000 6.08130747
2001 5.41358216
2002 5.22276654
2003 5.50318612
2004 6.9556542
2005 8.23970364
2006 8.82440243
2007 8.72113659
2008 11.19084436
2009 6.20869969
2010 7.59856943
2011 9.26316341
2012 7.33008178
2013 6.20472611
2014 5.27691766
2015 3.04244891
2016 2.72498524
2017 3.36686519
2018 4.17000597
2019 3.50196604
2020 2.40451632
2021 4.75725491
2022

Low & middle income | 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
Low & middle income
Records
63
Source