Least developed countries

This subgroup includes young states of Africa, Asia, Latin America and Oceania, freed in the second half of the twentieth century from the colonial yoke. The list of countries included in this subgroup almost coincides with the list of “least developed countries” determined by the UN General Assembly. The criteria for inclusion on this list are: first, very low per capita income; secondly, the high illiteracy rate in the total population; thirdly, the low share of manufacturing in GDP. In addition, a number of other indicators are used: the physical quality of life index; rating of rights and democratic freedoms (in points); the share of food expenditures in the budget, etc.

All countries belonging to this subgroup are characterized by: low rates and level of economic development, high population growth rates, dependence of the economy on agriculture, where two thirds of the economically active population is employed. In these countries, all global problems are most acutely manifested.

States that have received the status of “least developed” enjoy special attention of the world community. They are able to receive credits and loans on concessional terms and can count on humanitarian assistance from the more developed countries.