Of the total 32 landlocked developing countries (LLDCs) in the world, 16 are in Africa, 10 are in Asia, 4 are in Europe, and 2 are in Latin America. LLDCs are home to over 500 million people, representing about 7% of the global population.
Here are 10 things you need to know about LLDCs:
1. Geographic disadvantages to trade and connectivity
On average, LLDCs are 1,370 kilometres away from the nearest port. This distance makes it difficult for them to compete and join global markets. LLDCs need enhanced connectivity and digital infrastructure to overcome trade barriers and access e-commerce opportunities.
2. Heavy reliance on aid and imports
More than a third of LLDCs are in or near debt distress. They rely heavily on aid for infrastructure and development projects. The situation is worsened due to limited access to private capital and declining foreign investments. LLDCs need access to affordable development finance from both domestic and external sources as well as enhanced domestic resource mobilization to become more self-reliant.
3. Persistent barriers to finance, markets and technology
Due to insufficient resources, connectivity, technical expertise and infrastructure, LLDCs face almost double the trade costs of coastal countries. Their share in merchandise exports is 1.1% of the global trade. Trade facilitation and increased South-South cooperation can help build resilience, diversify their economies and enhance their access to global markets.
4. Lack of access to clean and affordable energy
Eleven of the 32 LLDCs are behind in achieving Sustainable Development Goal 7 – access to affordable and clean energy for all by 2030. Many LLDCs have electrification rates below 50%, with some below 27% for access to clean cooking. A staggering 215 million people live with limited or no electricity in LLDCs.
5. More vulnerable to climate change
An estimated 54% of LLDCs’ land is classified as drylands, disproportionately affected by desertification, land degradation and drought. Many LLDCs are mountainous countries, suffering from melting glaciers, water shortages, frequent landslides and reduced biodiversity, among other things.
6. Constraints to sustainably manage natural resources
LLDCs’ unique structural constraints severely affect their ability to manage their natural resources. With no direct access to coastlines, LLDCs depend heavily on agriculture, mining and forestry – sectors that are not only vulnerable to environmental degradation but also highly sensitive to global market fluctuations.
7. Extractive industries represent a significant share of GDP and employment
Many LLDCs have abundant mineral resources. Without direct access to maritime trade routes, they rely on these minerals to drive economic growth, boost export industries, attract foreign investment, generate employment and strengthen public finances.
8. Health systems are often underfunded and overburdened
Health expenditures in LLDCs remain well below the global average of 9.94% of the GDP. This low level of investment obstructs service delivery and limits progress in improving life expectancy, which has increased at a slower pace as compared to neighbouring countries.
9. Poor digital connectivity and access to high-speed internet
Only 35% of people living in LLDCs can access the internet, significantly below the world average of 66%. While 95% of the population is covered by mobile networks, less than half of the population has access to 4G, which is crucial for digital trade.
10. Half of LLDCs are also least developed countries
Sixteen of the 32 LLDCs are also classified as least developed countries (LDCs), a dual status facing compounded vulnerabilities from geographic isolation, structural economic weaknesses and exposure to external shocks. LLDCs that are LDCs need steady economic growth, development and social investments to graduate or transition from LDC status.
source; undp
