poorest countries in the world by GDP per capita: Despite abundant global wealth, some countries continue to suffer in extreme poverty. Going by GDP per capita country-wise, this article lists the poorest countries in the world in 2025. Before getting into the list of the poorest countries in the world, let’s first understand the concept of GDP per capita and how a country is ranked on this basis.
Methodology for ranking poorest countries in the world
GDP stands for Gross Domestic Product, which measures a country’s goods and services produced yearly. Its population must also be considered to get a clearer picture of how rich or poor a country is. Therefore, divide the GDP by the total number of people in the country to get GDP per capita.
Now, here’s where it gets interesting. Sometimes, the GDP per capita only tells us part of the story. That’s because the cost of living and inflation rates can vary a lot from one country to another. That is where PPP penetrates to make a fair comparison. PPP stands for Purchasing Power Parity and considers the local costs and inflation rates to give a more accurate picture of the standard of living in different countries.
Some countries might have artificially inflated GDPs due to being tax havens. GDP per capita PPP is a helpful tool to pinpoint the poorest countries in the world.
Poorest countries in the world by GDP per capita PPP
These are the poorest countries in the world in 2025 by GDP per capita PPP as estimated by International Monetary Fund (IMF) as of January 16, 2025
| Rank | Country | GDP Per Capita | Continent | Currency and Value (USD) |
|---|---|---|---|---|
| #1 | South Sudan | $960.24 | Africa | 1 USD -South Sudanese Pound (SSP) = 130.26 SSP |
| #2 | Burundi | $1,010 | Africa | 1 USD – Burundian Franc (BIF)Â = 2,961 BIF |
| #3 | Central African Republic | $1,310 | Africa | 1 USD – Central African CFA Franc (XAF) –Â = 637.49 XAF |
| #4 | Malawi | $1,760 | Africa | 1 USD – Malawian kwacha (MWK) = 1,735 MWK |
| #5 | Mozambique | $1,790 | Africa | 1 USD – Mozambican Metical (MZN = 63.91 MZN |
| #6 | Somalia | $1,900 | Africa | 1 USD – Somali Shilling (SOS) = 572.13 SOS |
| #7 | Congo | $1,910 | Africa | 1 USD – Congolese Franc (FC) = 2,852 FC |
| #8 | Liberia | $2,000 | Africa | 1 USD – Liberian Dollar (LRD) = 189.21 LRD |
| #9 | Yemen | $2,020 | Asia | 1 USD – Yemeni Rial (YER) = 249.10 YER |
| #10 | Madagascar | $2,060 | Africa | 1 USD – Malagasy Ariary (MGA) = 4,706.69 MGA |
Smaller and less powerful countries in challenging regions are among the bottom ten economies. Liberia and Chad encounter obstacles like limited resources, weak financial sectors, and unfavourable tax regimes, hindering foreign investments and growth. Even larger nations like the Democratic Republic of the Congo and Mozambique struggle with poverty due to internal conflicts, political instability, and inadequate infrastructure, hampering their economic progress.
Let’s take a closer look at these poorest countries in the world and examine the underlying causes contributing to their economic challenges.
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Poorest countries in the world: A closer look
As we now know the per capita income of these companies, let’s explore the reasons that have led to these bottom ten economies being categorised as the world’s poorest.
1. South Sudan
- GDP: $29.99 billion
- Population:Â 11,205,383
South Sudan, the world’s youngest country, gained independence in 2011 but faces significant economic challenges. Political instability, ongoing conflicts, and limited infrastructure hinder its progress. With a majority relying on traditional agriculture, violence and extreme climate events often disrupt farming, perpetuating poverty in this landlocked nation of about 11 million people.
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2. Burundi
- GDP: $2.15 billion
- Population:Â 13,459,236
Burundi, a small landlocked country in East Africa, confronts significant socio-economic challenges, including political instability, conflicts, and inadequate infrastructure development. The nation’s economic struggles and the hardships faced by its citizens are further exacerbated by rapid population growth. With approximately 80 percent of the population reliant on subsistence agriculture, food insecurity is remarkably high compared to other sub-Saharan African countries.
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3. Central African Republic (CAR)
- GDP: $3.03 billion
- Population:Â 5,849,358
The Central African Republic (CAR), situated in Central Africa, grapples with profound economic challenges due to political instability, armed conflicts, and inadequate infrastructure. The country’s wealth in gold, oil, uranium, and diamonds contrasts starkly with the widespread poverty experienced by its citizens. The combination of price increases for essential goods following the war in Ukraine and severe flooding and drought cycles has further exacerbated the CAR’s economic struggles.
4. Malawi
- GDP: $10.78 billion
- Population:Â 21,390,465
Despite its beautiful landscapes, Malawi, located in southeastern Africa, grapples with significant economic challenges. The nation relies heavily on rain-fed agriculture, making it vulnerable to climate change and fluctuating commodity prices. Nonetheless, the government remains committed to promoting economic diversification, improving education and healthcare, and reducing poverty.
5. Mozambique
- GDP: $24.55 billion
- Population:Â 34,497,736
Mozambique, a sparsely populated country and a resource-rich former Portuguese colony, faces poverty due to natural disasters, disease, rapid population growth, low agricultural productivity, and wealth inequality. Despite its resource richness and strong GDP growth, the country remains among the world’s poorest, exacerbated by attacks from Islamic insurgent groups in the gas-rich north.
6. Somalia
- GDP: $13.89 billion
- Population: 19,009,151
The Somali Civil War broke the backbone of the country’s economy. It led to a complete state collapse, with a tremendous loss of human and physical capital. The easternmost country in continental Africa mostly relied on an informal economy based on livestock, remittances from Somalis living abroad, and telecommunications. Based on gross domestic product, in 2021, Somalia was the third-poorest country in the world (after Burundi and South Sudan). In international assessments of its business climate, Somalia regularly lands in one of the last places.
7. Democratic Republic of the Congo (DRC)
- GDP: $79.24 billion
- Population:Â 104,354,615
The Democratic Republic of Congo, or the DRC, the biggest country in Sub-Saharan Africa, faces profound economic challenges despite its wealth in natural resources like cobalt and copper. Most of the population lives in poverty, with around 62 percent of Congolese living on less than $2.15 a day. Malnutrition, limited access to education and healthcare, and high fertility rates further exacerbate the country’s poverty and development constraints.
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8. Liberia
- GDP: $5.05 billion
- Population:Â 5,492,486
Liberia’s enduring poverty stems from violent conflicts, including civil wars and outbreaks like Ebola, leading to unstable infrastructure and limited services. Forced migration disrupts agriculture, contributing to food insecurity. International organisations like the World Food Programme strive to alleviate poverty and improve the country’s future through sustainable development efforts and investment in education and healthcare.
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9. Yemen
- GDP: $16.22 billion
- Population: 35.08 million
Years of civil war, political instability, and economic collapse have ravaged Yemen. The conflict has displaced millions within Yemen’s borders, crippled infrastructure, and disrupted agricultural production. Necessities like food, water, and medicine are in scarcity and millions rely on humanitarian aid like the UN for survival. The Yemeni people face a multitude of challenges, including widespread hunger, malnutrition, and a resurgence of diseases like cholera. There are glimmers of hope with international efforts to bring peace, but the road to recovery will be long and arduous.
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10. Madagascar
- GDP: $18.1 billion
- Population: 25.6 million
Madagascar is an island country on the southeastern coast of Africa. Since its independence from France in 1960, it has gone through many political crises and military coups. Relatively good political stability and the current constitution were formed in 2014. Although the country is rich in political resources, internal instability, external interferences, and limited harnessing of these resources exist. Mining and tourism are the two big factors that contribute to the GDP of the country.
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FAQs
1. Which is the poorest country in Asia?
The poorest country in Asia is Yemen, with a GDP per capita of $2,000. However, years of ongoing conflicts make it hard to determine precise economic figures for assessment.
2. Which is the wealthiest nation in the world judged by GDP per capita country-wise?
Luxembourg is the richest country in the world by GDP per capita ranking in 2025, with the highest GDP per capita PPP of $154,910.
3. What is Purchasing Power Parity (PPP)?
Purchasing Power Parity (PPP) is an economic theory that compares currency values based on a basket of goods, equalising their buying power and exchange rates between different countries.
4. What is the GDP per capita (PPP) of India?
As of January 2025, India’s GDP per capita (PPP) stood at $11.94 thousand
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