Developing country

How it is used

A broad label used widely in the news and by international organisations, often contrasted with developed or advanced economies. Because the group is very diverse, the World Bank now mostly classifies countries by income level: low, lower-middle, upper-middle and high income.

Example sentences

1. Many developing countries depend heavily on exports of raw materials.

2. Access to affordable credit is a major challenge for small firms in developing countries.

Common collocations

• developing countries
• developing economies
• the developing world
• developed and developing countries

Related terms

• emerging marketA middle-income economy that is growing and industrialising quickly and opening up to foreign trade and investment, such as Brazil, India or Türkiye.
• per capitaFor each person in a population; a total divided by the number of people, as in GDP per capita or income per capita.
• poverty lineThe minimum level of income considered necessary to meet basic needs in a country; people living below it are counted as poor.
• sustainable developmentEconomic and social progress that improves living standards today while protecting the environment and natural resources, so that future generations can also meet their needs.
• foreign direct investmentInvestment by a company from one country that gives it a lasting interest and control in a business in another country, such as building a factory.

More terms: Development and Inequality

• inequality
• Gini coefficient
• human capital
• informal economy
• standard of living
• infrastructure
• advanced economy
• income distribution
• redistribution
• brain drain
• extreme poverty
• Human Development Index