Gross National Product (GNP)
The total value of goods and services produced by a country's residents worldwide, including income earned abroad.
What is GNP?
Gross National Product (GNP) is the total market value of all final goods and services produced by the residents (nationals) of a country during a given period, regardless of where they are physically located. GNP equals GDP plus net factor income from abroad (NFIA)—income earned by domestic residents from their foreign assets, minus income paid to foreign residents from their domestic assets. GNP captures a country's productive capacity by its citizens rather than within its borders. For most large economies the difference between GNP and GDP is small, but it can be substantial for countries with large diaspora remittances (Philippines, Mexico), significant offshore financial activity (Ireland), or large foreign-owned domestic production. GNP is now more commonly expressed as Gross National Income (GNI) in international comparisons.
Example
Ireland presents one of the most striking GNP vs. GDP divergences among developed economies. Ireland's GDP is substantially inflated by the profits of large US multinational corporations—Apple, Google, Meta—that have domiciled intellectual property and operations there for tax purposes. Much of this profit is repatriated abroad, not accruing to Irish residents. In 2022, Ireland's GDP was approximately €487 billion, while its GNP was closer to €280 billion—a ~43% gap that the Irish Central Statistics Office has addressed by developing the modified GNI (GNI*) metric.
Source: World Bank — GDP and GNI Data