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India Remains as Lower-Middle-Income Economy: World Bank Country Classifications by Income Level 2020-2021

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India remains a lower-middle-income nationAccording to the New World Bank country classifications by income level 2020-2021, India remains in the classification, Lower-Middle-Income Economy. In total 218 countries have been included in this classification.The World Bank classifies countries into four income groups namely: low income , lower-middle income, upper-middle income, and high-income economies.

  • The classifications are updated each year on July 1 and are based on Gross National Income(GNI) per capita in current USD(using the Atlas method exchange rates) of the previous year.

For FY 2021 the classification was made on the basis of the following GNI per capita

Low-income economies:  GNI per capita, below USD 1,035 

Lower Middle-income economies: GNI per capita between USD 1,036 and USD 4,045

Upper middle-income economies:GNI per capita between USD 4,046 and USD 12,535

High-income economies:GNI per capita of above USD 12,536 

Note: The GNI per capita used for FY 2021 classification do not reflect the impact of COVID-19.

Neighbouring Countries:

 Country                   Classification GNI per Capita(2019) as of July 1, 2020 
New group Old group
Indonesia Upper-middle income Lower-middle income USD 4,050
Mauritius High income Upper-middle income USD 12,740
Nepal Lower-middle income Low income USD 1,090
Sri Lanka Lower-middle income Upper-middle income USD 4,020

Highlights

i.Economies that moved to a higher category- In addition to Mauritius and Nepal, Benin,  Nauru, Romania and Tanzania have moved to a high category compared to the previous year classification 

ii.Economies that moved to a lower category- In addition to Sri Lanka Algeria,  Sudan have moved to a lower category compared to their previous year classification.

iii.In total 29 countries are classified under Low income which include Afghanistan, Ethiopia, Mozambique among others. In total 50 countries  are classified  under Lower-middle income which  include, Bangladesh, Kenya, Bolivia among others.

iv.In total 56 countries  are classified  under Upper-middle income economies which  include Albania, Brazil, China among others.In total 83  countries are classified  under High income economies which  include, Australia, Austria, Canada among others.

About World Bank
Headquarters– Washington, D.C., United States
President– David R. Malpass

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