Mauritania Economic Indicators
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Mauritania Government budget balance, percent of GDP

(percent, source: The World Bank)


Mauritania Government budget balance as percent of GDP: For that indicator, The World Bank provides data for Mauritania from to . The average value for Mauritania during that period was percent with a minumum of 0 percent in 2020 and a maximum of -1000000000000000 percent in .


From:    To:

The budget balance in Mauritania and other countries is calculated as the difference between the taxes collected by the government and the government spending. The budget could be in surplus (or deficit) if the tax revenue is greater (smaller) than the spending. A budget surplus is recorded with a plus sign and a deficit is recorded with a minus sign. The budget balance is usually reported as percent of GDP. This tells us how large the deficit or surplus is relative to the economy.

Most governments try to keep their deficits below 3 percent of GDP. Here is the reason. When the government runs a deficit, they borrow money and, as result, their debt increases. However, it their debt goes up by 3 percent of GDP and, meanwhile, the GDP has grown by 3 percent, then the debt to GDP ratio remains the same. The debt has increased but so has income. Looking across many countries over time, GDP tends to increases by about 2-3 percent per year. Hence, governments try to keep their deficits below 3 percent of GDP.

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World Bank definition: Cash surplus or deficit is revenue (including grants) minus expense, minus net acquisition of nonfinancial assets. In the 1986 GFS manual nonfinancial assets were included under revenue and expenditure in gross terms. This cash surplus or deficit is closest to the earlier overall budget balance (still missing is lending minus repayments, which are now a financing item under net acquisition of financial assets).