Burkina Faso - Gross capital formation (% of GDP)

Gross capital formation (% of GDP) in Burkina Faso was 22.21 as of 2019. Its highest value over the past 59 years was 27.39 in 1997, while its lowest value was 7.97 in 1966.

Definition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.

Source: World Bank national accounts data, and OECD National Accounts data files.

See also:

Year Value
1960 8.52
1961 8.65
1962 8.71
1963 8.80
1964 9.64
1965 8.71
1966 7.97
1967 8.02
1968 8.27
1969 9.61
1970 10.27
1971 14.87
1972 17.28
1973 20.63
1974 25.52
1975 23.10
1976 22.84
1977 19.56
1978 18.32
1979 16.40
1980 15.11
1981 14.13
1982 17.93
1983 17.13
1984 14.17
1985 22.95
1986 20.14
1987 19.22
1988 18.79
1989 20.41
1990 18.91
1991 21.25
1992 19.30
1993 19.46
1994 27.17
1995 23.93
1996 24.94
1997 27.39
1998 24.17
1999 17.30
2000 14.57
2001 13.55
2002 13.45
2003 15.46
2004 15.52
2005 17.56
2006 16.13
2007 18.25
2008 20.73
2009 19.99
2010 21.99
2011 22.12
2012 24.65
2013 23.71
2014 19.26
2015 19.41
2016 20.80
2017 22.06
2018 21.74
2019 22.21

Limitations and Exceptions: Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Data on capital formation may be estimated from direct surveys of enterprises and administrative records or based on the commodity flow method using data from production, trade, and construction activities. The quality of data on government fixed capital formation depends on the quality of government accounting systems (which tend to be weak in developing countries). Measures of fixed capital formation by households and corporations - particularly capital outlays by small, unincorporated enterprises - are usually unreliable. Estimates of changes in inventories are rarely complete but usually include the most important activities or commodities. In some countries these estimates are derived as a composite residual along with household final consumption expenditure. According to national accounts conventions, adjustments should be made for appreciation of the value of inventory holdings due to price changes, but this is not always done. In highly inflationary economies this element can be substantial.

Statistical Concept and Methodology: Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts