The World Bank has updated its annual classification of countries by income level, and six states have moved up. Jordan, the Federated States of Micronesia, the Philippines, Sri Lanka and Vietnam joined the group of upper-middle-income countries, while Togo moved up for the first time from the low-income category into the next group.
Over the past decades, the global economy has changed noticeably: if in 1987 around 30% of economies were classified as low-income, today the share is only 11%. Countries reach this point in different ways: some recover after crises, others expand exports, and in some cases the upgrade is linked to a revision of the economy’s assessment. This year, no country fell into a lower category.
The World Bank’s classification serves as a reference point for governments, investors and international organizations, and shows that more countries are gradually strengthening their economic position despite different starting points and rates of development.
