What are the four World Bank income groups?

Low income, lower-middle income, upper-middle income, and high income. Countries are sorted into them each July based on gross national income (GNI) per capita from the previous calendar year.

What are the current GNI thresholds?

For FY2026 (based on 2024 GNI): low income up to 1,135; lower-middle 1,136 to 4,495; upper-middle 4,496 to 13,935; high income above 13,935 US dollars per capita, all measured by the Atlas method.

What is the Atlas method?

It converts national income to US dollars using a three-year smoothed exchange rate that adjusts for inflation differences between the country and major economies. This dampens year-to-year currency swings in the classification.

How often do the thresholds change?

The World Bank updates both the thresholds and country assignments every July at the start of its fiscal year. Thresholds are adjusted upward over time for international inflation.

Do income groups affect lending terms?

Yes. Eligibility for concessional IDA lending, IBRD graduation, and many aid programmes is tied to these thresholds, so a country crossing a boundary can change the financing it can access.

What is the World Bank Income Group Reference?

Reference for the World Bank's four income group classifications — low, lower-middle, upper-middle, and high income — with the GNI per capita thresholds (Atlas method) and a sample-country lookup for the current fiscal year. It runs free in your browser on Gera Tools, with nothing uploaded.

World Bank Income Group Reference

Name: World Bank Income Group Reference
Creator: Gera Tools
License: https://creativecommons.org/licenses/by/4.0/

The World Bank sorts every economy into one of four income groups each fiscal year, using gross national income (GNI) per capita measured by the Atlas method. This reference shows the current thresholds, lets you classify any GNI figure, and includes a sample of countries by group.

How it works

A country’s income group is decided by comparing its Atlas-method GNI per capita (in current US dollars) against fixed thresholds:

Low income          GNI <= 1,135
Lower-middle income 1,136 <= GNI <= 4,495
Upper-middle income 4,496 <= GNI <= 13,935
High income         GNI  > 13,935

The Atlas method converts local-currency GNI to dollars using a conversion factor that averages the current exchange rate with the two preceding years, each adjusted for the gap between the country’s inflation and that of the major economies. This smoothing keeps a single bad currency year from reclassifying a country.

What each income group actually means

The four categories are administrative boundaries rather than natural dividing lines, but they carry significant real-world consequences.

Low income economies face the most severe constraints on government revenue, health systems, and infrastructure. Access to concessional lending from the World Bank’s International Development Association (IDA) is available to this group. As of recent classifications, this tier includes a number of sub-Saharan African countries and a handful of others in Asia.

Lower-middle income economies are numerous and diverse, spanning countries at very different development stages that happen to share a GNI per capita range. India, Nigeria, and many others fall here. Countries in this tier may access a mix of IDA and standard IBRD lending depending on their specific circumstances.

Upper-middle income economies include several large emerging markets that have grown substantially in recent decades. China and Brazil have both been in this tier. These countries typically access IBRD loans on market-rate terms rather than concessional IDA financing.

High income economies include both OECD members and some smaller high-income non-OECD countries. Once a country graduates to this tier, it is no longer eligible for concessional World Bank financing, though some still borrow from IBRD for specific projects.

The Atlas method: why it matters

GNI per capita measured at market exchange rates can fluctuate dramatically when a country’s currency appreciates or depreciates significantly in a single year — a devaluation could make a country appear poorer overnight without any real change in living standards. The Atlas method dampens this by averaging three years of exchange rates and adjusting each for the differential between that country’s inflation rate and the inflation rate of major economies. The result is a smoother, more stable number that reflects underlying economic conditions rather than currency volatility.

This is why the Atlas method GNI differs from purchasing power parity (PPP) GNI, which adjusts for local price levels. The income group classification uses the Atlas method, not PPP.

Practical uses of the classification

Development economics research. The income group is a standard control variable in cross-country analyses because it captures multiple correlated factors — institutional quality, infrastructure, health and education levels — in a single variable.

Business market sizing. Companies analyzing market potential often segment by World Bank income group as a rough proxy for consumer spending capacity and market maturity.

Aid eligibility and procurement. Many bilateral aid programs and procurement rules define eligibility with reference to World Bank income groups, so understanding the classification is essential for international development practitioners.

Academic citation. The thresholds and groupings change every July; when citing income group data, always note the fiscal year to which the classification applies.

Notes and tips

Thresholds shown are for fiscal year 2026, based on 2024 GNI data, and are revised every July.
“Developing country” is no longer an official World Bank category — the four income groups replaced it.
High-income status can trigger IBRD graduation discussions, while low and lower-middle income status governs access to concessional IDA finance.
The sample country list in the tool is illustrative; the authoritative list is published in the World Bank’s annual classification table at data.worldbank.org.