In 2023, Luxembourg and Ireland recorded the highest levels of GDP per capita in the EU, at 140% and 112% above the EU average respectively. Bulgaria was the Member State with the lowest GDP per capita, 36 % below the EU average. Poland was ranked 20th in the EU with GDP per capita, 20 % below the EU average, according to preliminary estimates of purchasing power parity and GDP in 2023 published by Eurostat. 

The dispersion of GDP per capita across EU Member States is quite significant. Luxembourg has by far the highest GDP per capita of all 27 countries included, at 140% above the EU average. This is to some extent due to the fact that a large number of foreigners are employed in the country and thus contribute to its GDP, while they are not part of Luxembourg’s resident population. Their consumption expenditure is recorded in the national accounts of their country of residence.

Ireland ranks second among EU Member States with 112% above the EU average, followed by the Netherlands, Denmark, and Austria, with GDP per capita more than 20% above the average. The high level of GDP per capita in Ireland can be partly explained by the presence of large multinational companies with intellectual property. The associated contractual production with these assets contributes to GDP, and much of the income generated from this production is returned to the ultimate owners of the companies abroad.

Belgium, Sweden, Germany, Finland, Malta, and France are the other EU Member States with GDP per capita above the EU average. Italy, Cyprus, Slovenia, and the Czech Republic were less than 10 % below this average, followed by Spain, Lithuania, Portugal and Estonia 10-20 % below. Poland’s GDP per capita was below this average by 20 %. Romania, Hungary, Croatia, Slovakia, and Latvia’s GDP per capita was less than 30 % below the EU average, while Greece and Bulgaria were less than 40 % below. Bulgaria recorded a GDP per capita 36 % below the EU average.

Adrian Andrzejewski