144 World Economic Situation and Prospects 2014
In parts of the analysis, a distinction is made between fuel exporters and fuel
importers from among the economies in transition and the developing countries. An
economy is classied as a fuel exporter if the share of fuel exports in its total merchandise
exports is greater than 20 per cent and the level of fuel exports is at least 20 per cent
higher than that of the country’s fuel imports. is criterion is drawn from the share
of fuel exports in the total value of world merchandise trade. Fuels include coal, oil and
natural gas (table D).
For other parts of the analysis, countries have been classied by their level of devel
-
opment as measured by per capita gross national income (GNI). Accordingly, countries
h
ave been grouped as high-income, upper middle income, lower middle income and
low-income (table E). To maintain compatibility with similar classications used else
-
where, the threshold levels of GNI per capita are those established by the World Bank.
C
ountries with less than $1,035 GNI per capita are classied as low-income countries,
those with between $1,036 and $4,085 as lower middle income countries, those with
between $4,086 and $12,615 as upper middle income countries, and those with incomes
of more than $12,615 as high-income countries. GNI per capita in dollar terms is esti
-
mated using the World Bank Atlas method,
2
and the classication in table E is based on
data for 2012.
e list of the least developed countries (LDCs) is decided upon by the United
Nations Economic and Social Council and, ultimately, by the General Assembly, on the
basis of recommendations made by the Committee for Development Policy. e basic
criteria for inclusion require that certain thresholds be met with regard to per capita GNI,
a human assets index and an economic vulnerability index.
3
As at 29 November 2013,
there were 49 LDCs (table F).
WESP also makes reference to the group of heavily indebted poor countries (HIPCs),
which are considered by the World Bank and IMF as part of their debt-relief initiative
(the Enhanced HIPC Initiative).
4
In September 2013, there were 39 HIPCs (see table G).
Aggregation methodology
Aggregate data are either sums or weighted averages of individual country data. Unless
otherwise indicated, multi-year averages of growth rates are expressed as compound an-
nual percentage rates of change. e convention followed is to omit the base year in a
m
ulti-year growth rate. For example, the 10-year average growth rate for the decade of
the 2000s would be identied as the average annual growth rate for the period from 2001
to 2010.
WESP utilizes exchange-rate conversions of national data in order to aggregate
output of individual countries into regional and global totals. e growth of output in
each group of countries is calculated from the sum of gross domestic product (GDP)
of individual countries measured at 2005 prices and exchange rates. Data for GDP in
2 See http://data.worldbank.org/about/country-classications.
3 Handbook on the Least Developed Country Category: Inclusion, Graduation and Special Support Measures
(United Nations publication, Sales No. E.07.II.A.9). Available from http://www.un.org/esa/analysis/
devplan/cdppublications/2008cdphandbook.pdf.
4 IMF, Debt Relief Under the Heavily Indebted Poor Countries (HIPC) Initiative Available from
http://www.imf.org/external/np/exr/facts/pdf/hipc.pdf