World Bank Group Country Income Classifications for Fiscal Year 2027:
World Bank Group Country Income Classifications for Fiscal Year 2027 (released in July 2026) have maintained India’s status as a ‘Lower-Middle-Income’ economy, a status it has held since 2009.
- Sri Lanka (along with Vietnam and the Philippines) was upgraded to the Upper-Middle-Income category this year, successfully bouncing back from its severe 2022 economic crisis.
Key Highlights of the World Bank Country Income Classification for Fiscal Year 2027:
- Upgraded Economies: Six nations crossed into higher income categories this fiscal year. In 1987, nearly 30% of economies were classified as low-income, which declined sharply to 11% by 2026, reflecting a significant shift in the global income landscape.
- Lower-Middle to Upper-Middle Income: Sri Lanka, Vietnam, the Philippines, Jordan, and Micronesia.
- Low to Lower-Middle Income: Togo.
- Diverse Growth Trajectories:
- Vietnam & Philippines: Driven by export-led industrial growth and sustained expansions in Gross National Income (GNI).
- Sri Lanka: Demonstrated notable post-crisis resilience, rebounding via tourism and financial service revivals after its recent sovereign debt default.
- Jordan & Togo: Primarily aided by statistical adjustments, including updated national accounts methodologies and revised census data.
- India’s Position: India remains steady in the Lower-Middle-Income bracket, with a national income (GNI) per capita at USD 2760 in 2025.
