Middle East & North Africa | Oil rents (% of GDP)
Oil rents are the difference between the value of crude oil production at regional prices and total costs of production. 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
Middle East & North Africa
Records
63
Source
Middle East & North Africa | Oil rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
12.53268249 1970
13.85489678 1971
16.40649983 1972
20.46809821 1973
48.05632998 1974
38.59235677 1975
37.78756223 1976
35.27140942 1977
33.46224521 1978
53.04383875 1979
48.33089717 1980
37.11303676 1981
24.59141471 1982
22.39234325 1983
21.89439172 1984
18.80306338 1985
10.49076719 1986
15.43628283 1987
15.21030654 1988
21.92197131 1989
23.46695846 1990
19.23632287 1991
19.40615872 1992
20.21384447 1993
18.9112128 1994
15.46158488 1995
17.40088774 1996
15.43609058 1997
10.28611337 1998
13.98899278 1999
22.24526956 2000
17.5936561 2001
17.16603698 2002
19.43085098 2003
23.2482952 2004
28.48677753 2005
29.23496671 2006
26.70785261 2007
30.30606207 2008
18.6366733 2009
21.7846652 2010
28.47471692 2011
27.80514268 2012
26.43475312 2013
23.87230873 2014
13.84653178 2015
11.68528491 2016
14.79795591 2017
19.62119233 2018
16.62987497 2019
10.14412903 2020
15.05726298 2021
2022
Middle East & North Africa | Oil rents (% of GDP)
Oil rents are the difference between the value of crude oil production at regional prices and total costs of production. 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
Middle East & North Africa
Records
63
Source