The World Bank has recently upgraded Russia’s classification from an “upper-middle-income” country to a “high-income” nation. This significant change was due to various factors, including increased economic activity resulting from military-related activities, growth in trade, the financial sector, and construction. According to the U.S.-based financial institution, Russia’s real and nominal GDP saw growth, with a significant 11.2% increase in its Atlas GNI per capita. The World Bank categorizes world economies into four groups based on per-capita GNI, with the threshold for “high-income” countries set at $14,005 or more. Along with Russia, Bulgaria and Palau also joined the ranks of “high-income economies” with per-capita GNI of $14,460 and $14,250 respectively.
In terms of rankings, Russia is placed 72nd in per-capita GNI and 53rd in purchasing power parity. Despite ongoing conflicts with neighboring Russia, Ukraine also saw an improvement in its economic status and was reclassified as an “upper-middle-income” country after economic growth resumed in 2023. The upgrade of Russia’s classification reflects its continued progress towards becoming a developed economy and its growing global influence on the international stage.