International Standard Industrial Classification of All Economic Activities (ISIC)

Structure

The ISIC classification system is hierarchically structured into four levels, with the degree of specificity increasing at each level. Based on its current version (ISIC Rev. 5), ISIC is structured as follows:

• Sections: 22 sections represented by the English letters A to V. This is the broadest categorization in ISIC. For example, the letter H represents "transportation and storage".

• Divisions: 87 divisions represented by two-digit numeric codes. E.g., code 50 represents "Water transport".

• Groups: 258 groups represented by three-digit codes. E.g., code 501 represents "sea and coastal water transport.

• Classes: 463 classes represented by four-digit codes. This is the most specific classification in the ISIC system. E.g. code 5011 represents "sea and coastal passenger water transport".

The table below shows the number of activities in the divisions, groups and classes related to each of the 22 sections in the ISIC. The manufacturing section (A) is the most diverse at the finest level of detail with its 141 classes accounting for 30% of all classes in ISIC. The high number of activities within manufacturing reflects the existence of various types of goods with peculiar production processes. For example, the manufacturing group 110 covering "manufacture of beverages" is split into five classes including, among others, the manufacture of wines (1102), beers (1103), and malt (1104). The "wholesale and retail trade" and "agriculture, forestry and fishing" sections are also diverse with 41 and 39 classes respectively. These top three sections together account for 47% of the total number of ISIC classes.

History & Versions

• 1948 - First Edition (ISIC Rev. 1): The first edition of ISIC set out to provide a standard classification system for economic activities across different countries to facilitate the comparison and aggregation of economic data on an international scale. ISIC Rev. 1 was relatively simple, reflecting the economic structures of the time, which were heavily focused on agriculture, mining, manufacturing, and basic services. This initial version was widely adopted by national statistical agencies and international organizations, becoming the foundation for economic data collection and reporting.

• 1968 - Second Edition (ISIC Rev. 2): By the 1960s, the global economy had undergone significant changes, with the expansion of industrial activities and the rise of service industries. These changes required a revision of ISIC to better capture the evolving global economic landscape. ISIC Rev. 2 introduced a more detailed classification system with new categories for emerging industries. The service sector, in particular, saw expanded coverage, reflecting its growing importance in the global economy.

• 1990 - Third Edition (ISIC Rev. 3): The 1980s saw rapid technological advancements, globalization, and shifts in economic activities, particularly with the rise of information technology and increased international trade. ISIC Rev. 3 included major changes to reflect these trends. It also addressed the informal economy, which had gained prominence in many countries. This edition aimed for better alignment with regional classification systems, like the European Union's NACE, to improve consistency in international economic reporting. An update to ISIC Rev 3, known as ISIC Rev.3.1, was released in 2002 providing a more detailed explanation of the content and boundaries of individual classes.

• 2008 - Fourth Edition (ISIC Rev. 4): The 21st century brought about significant changes in the global economy such as the digital revolution and the rise of service-oriented economies. Environmental sustainability concerns and the growing significance of global supply chains also gained attention. ISIC Rev. 4 was a major review designed to address these changes. This revision placed a strong emphasis on harmonizing ISIC with other international and regional classification systems, such as the NACE Rev. 2 in Europe and NAICS in North America

• 2024- Fifth Edition (ISIC Rev. 5): This is the current version of ISIC released to align the ISIC system with the current structure of the global economy and provide greater detail at finer classification levels. ISIC Rev. 5 for example identifies classes for emerging activities in the information technology sector such as artificial intelligence and blockchain. It however maintains the structure of previous versions. The table below shows the composition of the ISIC across the current and previous versions.

As the table above shows, the finer classification levels (3 and 4) have expectedly seen the greatest increase between versions reflecting the emergence of new activities over the years. The current four-level structure of the ISIC began with ISIC Rev. 2 (1968), in which the levels 1-4 were respectively called major division, division, major group, and group. The four levels are now named section, division, group, and class.

Where is it used?

The ISIC system is the global reference for classifying economic activities. Many national statistical agencies and regulatory authorities use ISIC to classify businesses and economic activities in their national censuses, surveys, and other statistical data collection processes. This allows for consistent reporting of economic data across different regions and periods and facilitates the analysis and comparison of economic data across countries. International organizations like the United Nations (which maintains the system), the World Bank, and the International Monetary Fund use ISIC in their economic analysis and country reports, particularly in understanding the structure of economies and sectoral growth patterns. Moreover, in the private sector, companies and analysts use ISIC to classify industries and sectors in the process of market research, investment analysis, and economic forecasting.

Further resources

Download ISIC

• ISIC Rev 5: Current version

• ISIC Rev. 4

• ISIC Rev . 3.1

• ISIC Rev. 3

• ISIC Rev. 2

• ISIC Rev 1