The World Bank has reclassified Jordan as an upper-middle-income country in its Fiscal Year 2027 income classification update, which took effect on July 1, 2026, following a comprehensive revision of the country's national accounts that found Jordan's economy to be approximately 10% larger than previously estimated.
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According to the World Bank's updated income classifications for analytical purposes, the upgrade follows a rebasing exercise conducted by Jordan's Department of Statistics. The revision expanded statistical coverage through updated surveys, new data sources, and improved national accounts methodology, including the incorporation of economic activities that had not previously been captured.
The World Bank said that the statistical revisions, combined with 2.8% economic growth in 2025, enabled Jordan to surpass the threshold required for classification as an upper-middle-income economy.
Under the new classification, Jordan exceeded the minimum threshold for upper-middle-income status by US$624, with its Gross National Income (GNI) per capita, calculated using the Atlas method, rising to US$5,260 for Fiscal Year 2027, up from US$4,430 in the previous classification.
The World Bank emphasized that this figure does not represent the average income earned by individuals. Rather, it is a statistical indicator used for classification and analytical purposes, based on GNI per capita calculated under the Atlas methodology. The minimum threshold for upper-middle-income economies is US$4,636.
The World Bank updates its country income classifications annually on July 1, using the previous year's GNI per capita calculated according to the Atlas method, which is designed to reduce the impact of short-term exchange rate fluctuations.
Income thresholds are adjusted each year to account for inflation, while changes in classification may also result from economic and population growth, revisions to national accounts, and updates to underlying data.
The Bank noted that its income classifications serve as an analytical tool, grouping economies into four categories: low income, lower-middle income, upper-middle income, and high income.
The classifications are widely used by governments, researchers, and international organizations to assess economic performance and may also influence countries' eligibility for concessional financing and development assistance.
This year's update covers 218 economies and will remain the global reference through the end of June 2027.
According to the report, the Federated States of Micronesia, the Philippines, Sri Lanka, and Vietnam also moved into the upper-middle-income category alongside Jordan.
Togo advanced to the lower-middle-income group, while no country was downgraded to a lower income category.
The World Bank also classified Ethiopia, which had not been classified in Fiscal Year 2026, as a low-income economy, while Venezuela, also previously unclassified, was categorized as a lower-middle-income economy.
For 2025, the World Bank updated its GNI per capita thresholds under the Atlas method as follows:
Low income: US$1,175 or less
Lower-middle income: US$1,176–US$4,635
Upper-middle income: US$4,636–US$14,375
High income: Above US$14,375
The report concluded that countries moving into higher income categories, as well as the inclusion of previously unclassified economies, reflects improvements in economic performance, statistical revisions, and exchange rate dynamics.
It also noted that no country moved to a lower income category in this year's update.
