What Are Least-Developed Countries (LDC)?
I'm here to explain what least-developed countries, or LDCs—sometimes called less-developed countries—are all about. These are underdeveloped nations dealing with serious structural hurdles to achieving sustainable development. Right now, the UN's list includes 46 of them.
Key Takeaways
You need to know that LDCs are low-income countries grappling with major structural issues that block sustainable development. The United Nations Committee for Development Policy has set up measures to ensure these countries can access and benefit from international support. As of October 2021, the UN lists 46 such countries.
Understanding Least-Developed Countries
Let me break this down for you: LDCs are extremely susceptible to economic and environmental disruptions, and they possess fewer human resources compared to other countries. Sometimes people call them 'emerging markets.' What sets them apart is their access to special international support for development aid and trade, which isn't available to more advanced nations.
The UN's Committee for Development Policy, through its Secretariat in the Department of Economic and Social Affairs, has established these measures to help LDCs tap into that support. This secretariat reviews the status of LDCs and tracks their progress once they graduate from the category.
The criteria for getting on the LDC list involve income, human assets, and economic vulnerability. Income is based on a three-year average of gross national income per capita, with a threshold of $1,018 and a graduation point 20% higher at $1,222. Human assets come from five indicators split into health and education subindices. The economic vulnerability index assesses structural risks from economic and environmental shocks, where high vulnerability signals big barriers to sustainable development.
List of Least-Developed Countries
As of September 2020, the United Nations had 47 countries on its LDC list. (Note: An image typically accompanies this list, showing countries like those in Africa, Asia, and the Pacific; for the full current list, check the UN's official resources.)
In March 2018, the CDP recommended that Bhutan, Kiribati, São Tomé and Príncipe, and the Solomon Islands graduate from LDC status by 2024—this was a first, as the committee had never suggested so many at once. Over the 47 years of the LDC category's existence, only five countries have graduated: Botswana, Cabo Verde, Equatorial Guinea, Maldives, and Samoa. Angola is also slated for graduation in 2024.
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