Gross World Product

The gross world product (GWP) is the combined gross national product of all the countries in the world, which equals the total global GDP.

According to the IMF, the world economy, comprising 194 economies, in 2024 is projected to be around $110.06 trillion in nominal terms. This figure is almost $4.38 trillion more than compared to $105.69 trillion in 2023. Global GDP in terms of PPP is forecast to be around Int. $194.57 trillion, Int. $10.31 trillion up compared to Int. $184.26 trillion in 2023. This number is 177% of the nominal, the all-time highest PPP to nominal ratio since 1990. PPP to nominal ratio was the all-time lowest of 1.21 in 1995. However, this ratio has increased due to the higher growth rate of developing economies, which have generally higher GDP in PPP terms.

The global economy is projected to grow by 3.23% in 2024, marginally lower than 3.33% in 2023. During three years, the world economy grew by over 6%, with the highest GDP growth rate of 6.56 percent in 1964. The lowest growth was in 2020 as GDP contracted by 2.93%. 2009 was another year when it showed negative growth.

In constant 2015 prices, which gives a better idea about expansion over the years, the world economy has expanded from $11.07 trillion in 1960 to $92.83 in 2023, or 8.39x based on the market exchange rate as estimated by the World Bank, comprising more than 200 economies. In constant purchasing power parity terms, world GDP has expanded by 2.78 times since 1990.

Nominal: The highest increment in global wealth was seen in 2010 when it grew by approximately $5,164 billion at constant 2015 prices. In 2020, it contracted by $2,492 billion, as the global economy declined in only two years, including 2009. At current prices, the maximum increment was in the year 2021 of $11.95 trillion, while the biggest decline was in 2015 ($4.5 trillion). The figure moved in the downward direction in seven years.

PPP: The biggest incline and decline were in 2021 and 2020, respectively, at constant 2021 prices. At current prices, global GDP (PPP) increased by a huge Int. $16.6 trillion in 2022. The figure moved in a downward direction only once in 2020 by Int. $445 billion.