Merchandise
trade
  
  
  
  
  

% of GDP

 

 

1990

2004

Trade
in services
  
   
  
  
  

% of GDP

 

 

1990

2004

Growth in real trade less growth in real GDP
    

percentage points

1990–2004

Gross private
capital flows
  
  
  
  
  

% of GDP

 

 

1990

2004

Foreign direct
investment
   
  
  
  

% of GDP

Net inflows

 

 

1990

2004

Net outflows

 

 

1990

2004
 
Afghanistan .. 47.2 .. .. .. .. .. .. .. .. ..
Albania 29.0 37.7 2.9 26.6 12.8 18.0 6.2 0.0 5.6 0.0 0.0
Algeria 36.6 59.7 2.9 .. 0.1 2.6 .. 0.1 1.0 0.0 ..
Angola 53.5 104.4 18.7 26.3 .. 10.1 25.7 –3.3 7.4 0.0 0.2
Argentina 11.6 37.1 3.9 7.8 4.1 8.2 15.6 1.3 2.7 0.0 0.2
Armenia .. 65.7 .. 18.3 –7.6 .. 13.9 0.2 7.1 .. 0.1
Australia 26.3 30.7 7.7 8.1 3.0 9.3 32.0 2.6 6.7 0.3 2.8
Austria 54.8 80.5 22.7 32.6 3.3 9.6 41.9 0.4 1.4 1.0 2.5
Azerbaijan .. 83.7 .. 37.8 14.4 .. 100.4 0.0 41.7 .. 14.1
Bangladesh 17.6 35.7 3.6 5.3 4.3 0.9 1.9 0.0 0.8 0.0 0.0
Belarus .. 131.5 .. 12.2 –1.9 .. 7.5 0.0 0.7 .. 0.0
Belgium 120.4 168.0 26.4a 40.9a 2.2 81.5a 222.2a 3.9a 30.9a 3.0a 26.4a
Benin 30.0 37.7 13.9 12.0 –2.3 10.7 5.7 3.4 1.5 0.0 0.1
Bolivia 33.1 45.3 9.4 11.3 1.5 3.1 5.0 0.6 1.3 0.0 0.0
Bosnia and Herzegovina .. 90.2 .. 15.0 –3.8 .. 21.8 .. 7.2 .. 0.0
Botswana 98.4 75.9 15.4 17.0 –2.3 9.0 20.6 2.5 0.5 0.2 2.7
Brazil 11.7 26.9 2.4 4.9 4.6 1.9 8.8 0.2 3.0 0.1 1.6
Bulgaria 48.9 100.9 6.9 30.6 5.8 39.2 29.6 0.0 8.3 0.0 –0.9
Burkina Faso 22.0 33.2 9.1 .. –1.5 1.0 .. 0.0 0.7 0.0 ..
Burundi 27.0 34.0 12.9 8.5 6.8 3.7 6.2 0.1 0.5 0.0 0.0
Cambodia 22.4 122.2 5.7 25.3 9.8 3.2 8.1 0.0 2.7 .. 0.2
Cameroon 30.5 33.4 12.8 .. 2.0 15.5 .. –1.0 0.0 0.1 ..
Canada 43.7 61.0 8.3 10.7 3.3 8.1 14.0 1.3 0.6 0.9 4.8
Central African Republic 18.4 20.7 16.0 .. .. 2.2 .. 0.1 –1.0 0.3 ..
Chad 27.2 70.4 15.5 .. 4.5 5.6 .. 0.5 11.3 0.0 ..
Chile 53.1 60.5 12.9 13.3 1.6 15.0 21.5 2.2 8.1 0.0 1.0
China 32.5 59.8 2.9 7.0 5.7 2.5 10.0 1.0 2.8 0.2 0.1
Hong Kong, China 221.5 330.4 .. 51.6 3.6 .. 145.5 .. 20.9 .. 24.4
Colombia 30.7 33.7 8.3 6.4 2.7 3.1 10.9 1.2 3.1 0.0 0.1
Congo, Dem. Rep. 43.5 49.6 .. .. 5.9 .. .. –0.2 0.0 .. ..
Congo, Rep. 57.2 129.4 31.0 17.7 3.4 6.6 11.7 0.8 0.0 0.0 0.0
Costa Rica 60.2 78.7 20.3 19.2 3.1 7.0 12.3 2.9 3.4 0.0 0.3
Côte d’Ivoire 47.9 66.3 20.5 17.8 0.7 3.5 5.2 0.4 1.1 0.0 0.0
Croatia 88.8 71.7 .. 38.6 4.0 .. 20.8 0.0 3.6 .. 1.0
Cuba .. .. .. .. .. .. .. .. .. .. ..
Czech Republic 83.6 129.1 .. 17.7 8.7 .. 19.6 0.2 4.2 .. 0.5
Denmark 52.6 60.1 17.3 28.9 3.4 15.1 38.0 0.8 –3.6 1.1 –4.1
Dominican Republic 73.2 72.8 21.7 25.4 3.4 5.0 13.5 1.9 3.5 0.0 0.0
Ecuador 44.2 51.2 13.0 9.0 1.9 11.0 13.1 1.2 3.8 0.0 0.0
Egypt, Arab Rep. 36.8 26.0 22.6 28.2 –1.7 6.8 13.3 1.7 1.6 0.0 0.2
El Salvador 38.4 60.4 13.4 13.0 6.2 2.0 12.5 0.0 2.9 0.0 0.0
Eritrea 77.0 74.1 .. .. –1.9 53.0 .. 0.0 3.2 .. ..
Estonia .. 130.6 9.1 40.6 7.5 3.9 51.9 0.0 9.3 0.0 2.4
Ethiopia 16.0 46.5 7.7 24.6 3.6 1.6 4.0 0.1 6.8 0.0 ..
Finland 39.1 60.3 9.0 11.9 4.4 17.4 42.1 0.6 1.7 2.0 –0.8
France 36.4 44.7 11.1 10.2 4.2 20.2 26.1 1.1 1.2 2.8 2.3
Gabon 52.5 66.0 21.0 16.7 –1.4 18.0 18.7 1.2 4.5 0.5 0.3
Gambia, The 69.1 53.5 34.5 .. –3.3 0.9 .. 4.5 14.5 0.0 ..
Georgia .. 48.0 .. 19.6 10.2 .. 12.4 0.0 9.6 .. 0.2
Germany 45.5 59.4 8.7 12.2 4.3 9.6 27.4 0.2 –1.3 1.4 –0.3
Ghana 35.7 77.8 6.6 19.9 3.1 2.9 6.8 0.3 1.6 0.0 0.0
Greece 33.2 33.0 11.4 23.0 3.7 3.9 32.3 1.2 0.7 0.0 0.3
Guatemala 36.8 39.1 9.7 9.0 2.9 2.9 11.6 0.6 0.6 0.0 0.0
Guinea 49.5 35.9 18.6 9.3 –1.2 3.9 1.6 0.6 2.6 .. 0.0
Guinea-Bissau 43.0 59.6 11.0 17.7 4.0 23.0 14.4 0.8 1.8 0.0 0.2
Haiti 17.2 48.1 4.3 13.4 –1.2 1.1 3.9 0.3 0.2 –0.3 0.0
Honduras 57.9 74.0 11.7 19.1 –0.4 7.2 8.0 1.4 4.0 0.0 0.0
Hungary 61.5 113.4 16.0 20.5 8.5 4.6 24.7 1.9 4.6 0.0 1.1
India 13.1 25.0 3.4 8.2 6.8 0.8 5.9 0.1 0.8 0.0 0.2
Indonesia 41.5 49.4 7.5 17.9 0.5 4.1 4.6 1.0 0.4 0.0 0.0
Iran, Islamic Rep. 32.9 48.4 3.7 .. –7.3 2.6 .. –0.3 0.3 0.0 ..
Iraq 55.4 155.9 .. .. .. .. .. .. .. .. ..
Ireland 93.9 90.8 18.2 64.4 5.7 22.2 314.1 1.3 6.1 0.8 8.7
Israel 55.0 69.6 18.1 23.5 1.1 6.5 18.7 0.3 1.4 0.4 2.7
Italy 32.0 41.7 8.8 9.9 2.7 10.6 10.4 0.6 1.0 0.7 1.1
Jamaica 67.2 58.2 37.5 45.4 .. 8.4 45.5 3.0 6.8 0.0 0.7
Japan 17.2 22.1 4.1 5.0 2.7 5.4 14.4 0.1 0.2 1.7 0.7
Jordan 91.1 104.9 67.5 36.9 –1.6 6.3 18.1 0.9 5.4 –0.8 0.0
Kazakhstan .. 80.7 .. 17.1 –2.6 .. 41.8 0.0 10.1 .. –3.1
Kenya 37.9 45.0 21.4 14.1 2.7 3.5 7.2 0.7 0.3 0.0 0.0
Korea, Dem. Rep. .. .. .. .. .. .. .. .. .. .. ..
Korea, Rep. 51.1 70.4 7.5 13.5 6.3 5.3 8.5 0.3 1.2 0.4 0.7
Kuwait 59.8 73.1 25.2 19.6 –3.2 19.3 35.8 0.0 0.0 1.3 3.4
Kyrgyz Republic .. 75.3 .. 19.9 –1.5 .. 17.2 0.0 3.5 .. 2.0
Lao PDR 30.5 35.4 5.8 .. .. 3.7 .. 0.7 0.7 0.0 ..
Latvia .. 80.7 9.2 21.8 5.1 2.3 43.1 0.0 5.1 0.0 0.8
Lebanon 106.5 51.2 .. .. –0.7 .. .. 0.2 1.3 .. ..
Lesotho 119.3 162.0 19.8 12.2 –0.5 9.6 14.2 2.8 9.4 0.0 0.0
Liberia 374.1 230.6 .. .. .. .. .. 58.6 4.1 .. ..
Libya 64.2 91.0 5.2 7.6 .. 7.3 24.5 .. .. 0.4 –0.7
Lithuania .. 96.8 .. 18.3 8.2 .. 19.4 0.0 3.5 .. 1.2
Macedonia, FYR 103.8 84.7 .. 16.2 4.6 .. 11.6 0.0 2.9 .. 0.0
Madagascar 31.5 50.9 12.8 14.9 2.1 1.8 1.1 0.7 1.0 0.0 0.0
Malawi 52.7 65.6 16.2 14.0 –2.1 3.2 3.1 1.2 0.9 0.0 ..
Malaysia 133.4 195.9 21.2 29.9 2.9 10.3 22.6 5.3 3.9 0.0 1.3
Mali 39.7 50.2 19.0 16.3 2.0 2.0 8.4 0.2 3.7 0.0 0.0
Mauritania 84.1 52.8 16.0 .. –5.7 48.8 .. 0.7 19.6 0.0 ..
Mauritius 118.0 79.2 38.0 41.1 0.1 8.0 6.5 1.7 0.2 0.0 0.5
Mexico 32.1 58.5 7.0 5.0 8.1 9.2 6.9 1.0 2.6 0.0 0.5
Moldova .. 106.4 .. 27.4 11.4 .. 16.9 0.0 3.1 .. 0.1
Mongolia .. 116.0 .. 52.2 15.5 .. 26.1 .. 5.8 .. 0.0
Morocco 43.4 54.7 13.4 20.3 1.9 5.5 7.6 0.6 1.5 0.0 0.0
Mozambique 40.8 57.1 12.5 12.9 2.4 0.4 7.9 0.4 4.0 0.0 0.0
Myanmar .. .. .. .. .. .. .. .. .. .. ..
Namibia 95.6 74.7 20.7 15.2 0.2 16.5 23.5 .. .. 0.1 –0.4
Nepal 24.1 39.2 10.2 12.4 .. 3.5 6.8 0.2 0.0 0.0 ..
Netherlands 87.5 117.0 20.0 24.7 3.4 29.8 66.6 3.6 0.1 4.7 3.0
New Zealand 43.3 44.0 13.3 14.9 2.1 17.8 15.4 4.0 2.3 3.7 –0.8
Nicaragua 95.9 65.2 17.0 15.1 5.5 9.0 6.1 0.1 5.5 0.0 0.0
Niger 27.0 30.2 10.9 9.4 .. 2.8 2.3 1.7 0.0 0.0 0.0
Nigeria 67.5 48.2 10.3 11.5 1.5 5.9 11.0 2.1 2.6 0.0 ..
Norway 52.8 51.9 21.6 20.1 1.3 11.9 31.8 0.9 0.2 1.3 0.8
Oman 70.1 91.4 6.7 14.7 2.5 3.5 8.6 1.2 –0.1 0.0 0.0
Pakistan 32.6 32.6 8.8 8.4 –0.8 4.2 3.5 0.6 1.2 0.0 0.1
Panama 35.4 32.6 33.5 30.4 –3.7 106.6 39.0 2.6 7.4 0.0 0.0
Papua New Guinea 73.6 107.8 18.9 .. .. 5.7 .. 4.8 0.7 0.0 ..
Paraguay 43.9 58.3 16.2 12.6 –3.3 5.4 3.4 1.5 1.3 0.0 0.1
Peru 22.3 33.0 7.5 6.8 3.2 3.2 6.8 0.2 2.6 0.0 0.0
Philippines 47.8 97.0 11.3 11.2 2.6 4.4 13.7 1.2 0.6 0.0 0.5
Poland 43.9 67.7 10.3 10.7 7.5 11.0 18.1 0.2 5.2 0.0 0.3
Portugal 58.3 54.1 12.7 14.6 3.2 11.4 37.6 3.7 0.5 0.2 3.6
Puerto Rico .. .. .. .. –0.5 .. .. .. .. .. ..
Romania 32.8 76.7 3.6 10.2 8.5 2.9 14.2 0.0 7.4 0.0 0.1
Russian Federation .. 48.1 .. 9.3 3.3 .. 16.0 0.0 2.1 .. 1.8
Rwanda 15.4 20.8 6.6 18.3 –0.6 2.8 1.0 0.3 0.4 0.0 0.0
Saudi Arabia 58.6 68.2 21.8 12.6 .. 8.8 20.0 .. .. 0.0 0.0
Senegal 34.7 54.5 20.9 15.5 2.1 4.8 4.9 1.0 0.9 –0.2 0.0
Serbia and Montenegro .. 65.6 .. .. .. .. .. .. 4.0 .. ..
Sierra Leone 44.2 39.5 20.9 14.0 .. 11.0 6.8 4.9 2.4 0.0 0.0
Singapore 307.6 321.5 58.1 76.6 .. 54.2 116.9 15.1 15.0 5.5 9.9
Slovak Republic 110.8 138.8 .. 19.4 6.8 .. 15.5 0.0 2.7 .. 0.1
Slovenia 102.4 102.6 18.0 18.8 1.9 3.4 22.4 0.9 2.6 0.0 1.7
Somalia .. .. 11.2 .. .. 21.3 .. 0.6 .. 0.0 ..
South Africa 37.4 48.5 6.4 8.3 2.6 2.2 8.6 –0.1 0.3 0.0 0.7
Spain 27.2 41.1 8.4 13.7 5.7 11.0 30.8 2.7 1.6 0.7 4.8
Sri Lanka 57.3 68.5 13.4 17.1 2.5 13.1 5.2 0.5 1.2 0.0 0.0
Sudan 7.5 37.2 3.0 5.3 4.8 0.3 10.4 –0.2 7.2 0.0 0.0
Swaziland 138.2 162.8 32.4 43.1 1.1 10.7 7.0 3.4 2.9 0.9 0.1
Sweden 46.6 64.0 12.8 20.7 4.2 33.9 44.8 0.8 –0.2 6.1 4.4
Switzerland 56.6 64.4 12.8 18.8 2.9 28.1 54.8 2.4 –0.2 2.3 7.3
Syrian Arab Republic 53.7 46.7 14.3 19.1 2.8 18.0 1.6 0.6 1.1 0.0 0.0
Tajikistan .. 110.5 .. 16.2 4.5 .. 16.1 0.0 13.1 .. 0.0
Tanzania 31.9 35.3 9.8 17.6 –1.0 0.2 3.5 0.0 2.3 0.0 0.0
Thailand 65.7 119.2 14.9 26.1 2.9 13.5 7.9 2.9 0.9 0.2 0.1
Togo 52.1 88.4 24.1 17.0 –1.3 9.6 14.8 1.1 2.9 0.0 –0.4
Trinidad and Tobago 60.6 89.6 15.9 10.1 3.7 11.4 25.2 2.2 8.0 0.0 –2.1
Tunisia 73.5 79.6 20.6 19.9 –0.1 9.5 6.6 0.6 2.1 0.0 0.0
Turkey 23.4 53.1 7.4 11.7 7.0 4.3 12.8 0.5 0.9 0.0 0.3
Turkmenistan .. 116.6 .. .. 8.5 .. .. .. .. .. ..
Uganda 10.2 31.2 4.5 16.8 2.8 1.1 4.8 –0.1 3.3 0.0 0.0
Ukraine .. 95.1 .. 17.6 3.6 .. 34.2 0.0 2.6 .. 0.0
United Arab Emirates 103.2 125.1 .. .. 1.9 .. .. .. .. .. ..
United Kingdom 41.2 38.1 10.6 15.4 3.4 35.3 91.7 3.4 3.4 2.0 3.8
United States 15.8 20.0 4.6 5.4 4.0 5.6 20.0 0.8 0.9 0.6 2.2
Uruguay 32.7 45.9 9.2 12.6 2.1 12.7 22.0 0.4 2.4 0.0 0.1
Uzbekistan .. 64.1 .. .. –1.2 .. .. 0.0 1.2 .. ..
Venezuela, RB 52.8 44.7 7.9 5.3 0.6 51.6 16.2 1.0 1.4 0.8 –0.3
Vietnam 79.7 125.4 .. 19.0 14.6 .. 5.8 2.8 3.6 .. 0.0
West Bank and Gaza .. .. .. .. –3.1 .. .. .. .. .. ..
Yemen, Rep. 46.9 65.0 16.3 11.1 1.7 16.2 1.6 –2.7 1.1 .. 0.0
Zambia 76.9 68.8 15.0 .. 1.4 64.7 .. 6.2 6.2 0.0 ..
Zimbabwe 40.7 86.7 8.6 .. 5.7 1.7 .. –0.1 1.3 0.0 ..
World 32.4 w 44.9 w 7.8 w 10.5 w   10.3 w 28.4 w 1.0 w 1.6 w 1.2 w 2.1 w
Low income 24.1 37.8 6.5 9.4   2.7 6.9 0.4 1.4 0.0 0.2
Middle income 34.4 61.5 7.1 10.2   6.6 12.2 0.8 2.8 0.1 0.5
Lower middle income 31.5 57.5 6.2 10.3   4.3 10.7 0.7 2.7 0.1 0.3
Upper middle income 38.3 67.0 8.1 10.2   8.0 14.2 1.0 2.8 0.3 0.7
Low & middle income 32.5 58.1 7.0 10.3   5.9 11.9 0.7 2.6 0.1 0.5
East Asia & Pacific 47.0 71.1 7.3 9.6   5.0 9.4 1.6 2.5 0.2 0.1
Europe & Central Asia 49.7 70.9 7.1 13.4   5.3 18.8 0.3 3.5 0.0 0.9
Latin America & Carib. 23.3 44.6 5.8 6.9   8.0 10.4 0.8 3.0 0.1 0.7
Middle East & N. Africa 42.9 55.1 9.1 ..   4.9 .. 0.3 1.1 0.0 ..
South Asia 16.5 27.9 4.2 8.2   1.4 5.4 0.1 0.8 0.0 0.2
Sub-Saharan Africa 42.4 54.7 11.0 12.1   5.1 9.5 0.4 2.2 0.0 0.3
High income 32.3 41.5 8.0 10.5   11.0 32.0 1.0 1.3 1.4 2.4
Europe EMU 44.4 59.4 11.1 14.8   13.4 41.3 1.1 1.3 1.7 2.6
          
Footnotes
 
a. Includes Luxembourg.
 

 
 About the data
 
The growing integration of societies and economies has helped reduce poverty in many countries. One indication of increasing global economic integration is the growing importance of trade in the world economy. Another is the increasing size and importance of private capital flows to developing countries that have liberalized their financial markets. 
 
The table presents standardized measures of the size of trade and capital flows relative to gross domestic product (GDP). The numerators on trade and private capital flows are based on gross flows that capture the two-way flow of goods, services, and capital. In conventional balance of payments accounting exports are recorded as a credit and imports as a debit. And in the financial account inward investment is a credit and outward investment a debit. Thus net flows, the sum of credits and debits, represent a balance in which many transactions are canceled out. Gross flows are a better measure of integration because they show the total value of financial transactions during a given period. 
 
Merchandise trade and trade in services (exports and imports) are shown relative to total GDP. Merchandise trade is an important part of global trade. Trade in services (such as transport, travel, finance, insurance, royalties, construction, communications, and cultural services) is an increasingly important element of global integration. The difference between the growth of real trade in goods and services and the growth of GDP helps to identify economies that have integrated with the global economy by liberalizing trade, lowering barriers to foreign investment, and harnessing their abundant labor to gain a competitive advantage in labor-intensive manufactures and services. 
 
This year the table includes net inflows and outflows of foreign direct investment based on balance of payments data reported by the International Monetary Fund (IMF), supplemented by staff estimates using data reported by the United Nations Conference on Trade and Development and official national sources. 
   
The internationally accepted definition of foreign direct investment is provided in the fifth edition of the IMF’s Balance of Payments Manual (1993). For a more detailed explanation of foreign direct investment, see About the data for table 6.8.
   
Foreign direct investment may be understated in many developing countries. Some countries fail to report reinvested earnings, and the definition of long-term loans differs among countries. Underreporting of FDI outflows is more pervasive, particularly when investors are attempting to avoid controls on capital and foreign exchange or high taxes on investment income. Some countries do not identify FDI outflows in their balance of payments statistics. However, the quality and coverage of the data are improving as a result of continuous efforts by international and national statistics agencies.
   
Trade and capital flows are converted to U.S. dollars at the IMF’s average official exchange rate for the year shown. An alternative conversion factor is applied if the official exchange rate diverges by an exceptionally large margin from the rate effectively applied to transactions in foreign currencies and traded products.
     
6.1a
Trade in services is becoming increasingly important
 
Source: International Monetary Fund Balance of Payments database.
 

 
 Definitions
 
• Merchandise trade is the sum of merchandise exports and imports divided by the value of GDP, all in current U.S. dollars. • Trade in services is the sum of services exports and imports divided by the value of GDP, all in current U.S. dollars. • Growth in real trade less growth in real GDP is the difference between annual growth in trade of goods and services and annual growth in GDP. Growth rates are calculated using constant price series taken from national accounts and are expressed as a percentage. • Gross private capital flows are the sum of the absolute values of direct, portfolio, and other investment inflows and outflows recorded in the balance of payments financial account, excluding changes in the assets and liabilities of monetary authorities and general government. The indicator is calculated as a ratio to GDP in U.S. dollars. • Foreign direct investment net inflows are the net inflows of investment to acquire a lasting management interest in an enterprise operating in an economy other than that of the investor. It is the sum of equity capital, reinvestment of earnings, and other short- and long-term capital, as shown in the balance of payments. This series shows net inflows in the reporting economy and is divided by the value of GDP. • Foreign direct investment net outflows are the net outflows of investment from the reporting economy to the rest of the world.
   

 
 Data sources
Data on merchandise trade are from the World Trade Organization. Data on GDP are from the World Bank’s national accounts files, converted from national currencies to U.S. dollars using the official exchange rate, supplemented by an alternative conversion factor if the official exchange rate is judged to diverge by an exceptionally large margin from the rate effectively applied to transactions in foreign currencies and traded products. Data on trade in services are from the IMF’s Balance of Payments database. Data on real trade and GDP growth are from the World Bank’s national accounts files. Gross private capital flows and foreign direct investment are reported in the World Bank Debtor Reporting System and are calculated using mainly the IMF’s Balance of Payments database.