Saint LuciaThe recent changes in the EU import preference regimeand the increased competition from Latin American bananas have madeeconomic diversification increasingly important in Saint Lucia. Theisland nation has been able to attract foreign business andinvestment, especially in its offshore banking and tourismindustries. The manufacturing sector is the most diverse in theEastern Caribbean area, and the government is trying to revitalizethe banana industry. Economic fundamentals remain solid.
Saint Pierre and MiquelonThe inhabitants have traditionally earnedtheir livelihood by fishing and by servicing fishing fleetsoperating off the coast of Newfoundland. The economy has beendeclining, however, because of disputes with Canada over fishingquotas and a steady decline in the number of ships stopping at SaintPierre. In 1992, an arbitration panel awarded the islands anexclusive economic zone of 12,348 sq km to settle a longstandingterritorial dispute with Canada, although it represents only 25% ofwhat France had sought. The islands are heavily subsidized by Franceto the great betterment of living standards. The government hopes anexpansion of tourism will boost economic prospects. Recent testdrilling for oil may pave the way for development of the energysector.
Saint Vincent and the Grenadines Bananas and other agricultural products remain the staple of this lower-middle income country's economy. Although tourism and other services have been growing moderately in recent years, the government has been ineffective at introducing new industries. Unemployment remains high, and economic growth hinges upon seasonal variations in the agricultural and tourism sectors. Tropical storms wiped out substantial portions of crops in 1994, 1995, and 2002, and tourism in the Eastern Caribbean has suffered low arrivals following 11 September 2001. Saint Vincent is home to a small offshore banking sector, but its restrictive secrecy laws have come under international review. As of June 2001, it remained on the Financial Action Task Force's list of noncooperative jurisdictions. Saint Vincent is also the largest producer of marijuana in the Eastern Caribbean and is increasingly being used as a transshipment point for illegal narcotics from South America.
SamoaThe economy of Samoa has traditionally been dependent ondevelopment aid, family remittances from overseas, and agricultureand fishing. The country is vulnerable to devastating storms.Agriculture employs two-thirds of the labor force, and furnishes 90%of exports, featuring coconut cream, coconut oil, and copra. Themanufacturing sector mainly processes agricultural products. Thedecline of fish stocks in the area is a continuing problem. Tourismis an expanding sector, accounting for 25% of GDP; about 88,000tourists visited the islands in 2001. The Samoan Government hascalled for deregulation of the financial sector, encouragement ofinvestment, and continued fiscal discipline, meantime protecting theenvironment. Observers point to the flexibility of the labor marketas a basic strength for future economic advances. Foreign reservesare in a relatively healthy state, the external debt is stable, andinflation is low.
San MarinoThe tourist sector contributes over 50% of GDP. In 2000more than 3 million tourists visited San Marino. The key industriesare banking, wearing apparel, electronics, and ceramics. Mainagricultural products are wine and cheeses. The per capita level ofoutput and standard of living are comparable to those of the mostprosperous regions of Italy, which supplies much of its food.
Sao Tome and PrincipeThis small poor island economy has becomeincreasingly dependent on cocoa since independence 28 years ago.Cocoa production has substantially declined in recent years becauseof drought and mismanagement, but strengthening prices brightenprospects for 2003. Sao Tome has to import all fuels, mostmanufactured goods, consumer goods, and a substantial amount offood. Over the years, it has been unable to service its externaldebt and has had to depend on concessional aid and debtrescheduling. Sao Tome benefited from $200 million in debt relief inDecember 2000 under the Highly Indebted Poor Countries (HIPC)program. Sao Tome's success in implementing structural reforms hasbeen rewarded by international donors, who pledged increasedassistance in 2001. Considerable potential exists for development ofa tourist industry, and the government has taken steps to expandfacilities in recent years. The government also has attempted toreduce price controls and subsidies. Sao Tome is optimistic thatsubstantial petroleum discoveries are forthcoming in its territorialwaters in the oil-rich waters of the Gulf of Guinea; productioncould begin as early as 2004.
Saudi ArabiaThis is an oil-based economy with strong governmentcontrols over major economic activities. Saudi Arabia has thelargest reserves of petroleum in the world (26% of the provedreserves), ranks as the largest exporter of petroleum, and plays aleading role in OPEC. The petroleum sector accounts for roughly 75%of budget revenues, 45% of GDP, and 90% of export earnings. About25% of GDP comes from the private sector. Roughly 4 million foreignworkers play an important role in the Saudi economy, for example, inthe oil and service sectors. The government in 1999 announced plansto begin privatizing the electricity companies, which follows theongoing privatization of the telecommunications company. Thegovernment is supporting private sector growth to lessen thekingdom's dependence on oil and increase employment opportunitiesfor the swelling Saudi population. Priorities for governmentspending in the short term include additional funds for the waterand sewage systems and for education. Water shortages and rapidpopulation growth constrain the government's efforts to increaseself-sufficiency in agricultural products.
SenegalIn January 1994, Senegal undertook a bold and ambitiouseconomic reform program with the support of the international donorcommunity. This reform began with a 50% devaluation of Senegal'scurrency, the CFA franc, which was linked at a fixed rate to theFrench franc. Government price controls and subsidies have beensteadily dismantled. After seeing its economy contract by 2.1% in1993, Senegal made an important turnaround, thanks to the reformprogram, with real growth in GDP averaging 5% annually during1995-2002. Annual inflation had been pushed down to less than 1%,but rose to an estimated 3.3% in 2001 and 3.0% in 2002. Investmentrose steadily from 13.8% of GDP in 1993 to 16.5% in 1997. As amember of the West African Economic and Monetary Union (WAEMU),Senegal is working toward greater regional integration with aunified external tariff. Senegal also realized full Internetconnectivity in 1996, creating a miniboom in informationtechnology-based services. Private activity now accounts for 82% ofGDP. In 2003, GDP will probably again grow at about 5%. On thenegative side, Senegal faces deep-seated urban problems of chronicunemployment, trade union militancy, juvenile delinquency, and drugaddiction.
Serbia and MontenegroMILOSEVIC-era mismanagement of the economy, anextended period of economic sanctions, and the damage toYugoslavia's infrastructure and industry during the war in Kosovohave left the economy only half the size it was in 1990. Since theousting of former Federal Yugoslav President MILOSEVIC in October2000, the Democratic Opposition of Serbia (DOS) coalition governmenthas implemented stabilization measures and embarked on an aggressivemarket reform program. After renewing its membership in the IMF inDecember 2000, Yugoslavia continued to reintegrate into theinternational community by rejoining the World Bank (IBRD) and theEuropean Bank for Reconstruction and Development (EBRD). A WorldBank-European Commission sponsored Donors' Conference held in June2001 raised $1.3 billion for economic restructuring. An agreementrescheduling the country's $4.5 billion Paris Club government debtswas concluded in November 2001; it will write off 66% of the debt; asimilar debt relief agreement on its $2.8 billion London Clubcommercial debt is still pending. The smaller republic of Montenegrosevered its economy from federal control and from Serbia during theMILOSEVIC era and continues to maintain its own central bank, usesthe euro instead of the Yugoslav dinar as official currency,collects customs tariffs, and manages its own budget. Kosovo, whiletechnically still part of the Federal Republic of Yugoslavia (nowSerbia and Montenegro) according to United Nations Security CouncilResolution 1244, is moving toward local autonomy under UnitedNations Interim Administration Mission in Kosovo (UNMIK) and isdependent on the international community for financial and technicalassistance. The euro and the Yugoslav dinar are official currencies,and UNMIK collects taxes and manages the budget. The complexity ofSerbia and Montenegro political relationships, slow progress inprivatization, and stagnation in the European economy are holdingback the economy. Arrangements with the IMF, especially requirementsfor fiscal discipline, are an important element in policy formation.Severe unemployment remains a key political economic problem.
SeychellesSince independence in 1976, per capita output in thisIndian Ocean archipelago has expanded to roughly seven times the oldnear-subsistence level. Growth has been led by the tourist sector,which employs about 30% of the labor force and provides more than70% of hard currency earnings, and by tuna fishing. In recent yearsthe government has encouraged foreign investment in order to upgradehotels and other services. At the same time, the government hasmoved to reduce the dependence on tourism by promoting thedevelopment of farming, fishing, and small-scale manufacturing. Asharp drop illustrated the vulnerability of the tourist sector in1991-92 due largely to the Gulf war, and once again following the 11September 2001 terrorist attacks on the US. Other issues facing thegovernment are the curbing of the budget deficit, including thecontainment of social welfare costs, and further privatization ofpublic enterprises. Growth slowed in 1998-2002, due to sluggishtourist and tuna sectors. Also, tight controls on exchange rates andthe scarcity of foreign exchange have impaired short-term economicprospects. The black market value of the Seychelles rupee is halfthe official exchange rate; without a devaluation of the currencythe tourist sector should remain sluggish as vacationers seekcheaper destinations such as Comoros, Mauritius, and Madagascar.
Sierra LeoneSierra Leone is an extremely poor African nation withtremendous inequality in income distribution. It does havesubstantial mineral, agricultural, and fishery resources. However,the economic and social infrastructure is not well developed, andserious social disorders continue to hamper economic development,following a 11-year civil war. About two-thirds of the working-agepopulation engages in subsistence agriculture. Manufacturingconsists mainly of the processing of raw materials and of lightmanufacturing for the domestic market. Plans continue to reopenbauxite and rutile mines shut down during the conflict. The majorsource of hard currency consists of the mining of diamonds. The fateof the economy depends upon the maintenance of domestic peace andthe continued receipt of substantial aid from abroad, which isessential to offset the severe trade imbalance and to supplementgovernment revenues.
SingaporeSingapore, a highly developed and successful free marketeconomy, enjoys a remarkably open and corruption-free environment,stable prices, and one of the highest per capita GDPs in the world.The economy depends heavily on exports, particularly in electronicsand manufacturing. It was hard hit in 2001-2002 by the globalrecession and the slump in the technology sector. The governmenthopes to establish a new growth path that will be less vulnerable tothe external business cycle than the current export-led model but isunlikely to abandon efforts to establish Singapore as SoutheastAsia's financial and high-tech hub.
SlovakiaSlovakia has mastered much of the difficult transition froma centrally planned economy to a modern market economy. The DZURINDAgovernment has made excellent progress in 2001-03 in macroeconomicstabilization and structural reform. Major privatizations are nearlycomplete, the banking sector is almost completely in foreign hands,and foreign investment has picked up. Slovakia's economy exceededexpectations in 2001-03, despite the general European slowdown.Unemployment, at an unacceptable 15% in 2003, remains the economy'sAchilles heel. The government faces other strong challenges in 2004,especially the cutting of budget and current account deficits, thecontainment of inflation, and the strengthening of the health caresystem.
SloveniaSlovenia, with its historical ties to Western Europe,enjoys a GDP per capita substantially higher than that of the othertransitioning economies of Central Europe. Privatization of theeconomy proceeded at an accelerated pace in 2002-3, and the budgetdeficit dropped from 3.0% of GDP in 2002 to 1.9% in 2003. Despitethe economic slowdown in Europe in 2001-03, Slovenia maintained 3%growth. Structural reforms to improve the business environment allowfor greater foreign participation in Slovenia's economy and help tolower unemployment. Further measures to curb inflation are alsoneeded. Corruption and the high degree of coordination betweengovernment, business, and central bank policy are issues of concernin the run-up to Slovenia's scheduled 1 May 2004 accession to theEuropean Union.
Solomon IslandsThe bulk of the population depends on agriculture,fishing, and forestry for at least part of their livelihood. Mostmanufactured goods and petroleum products must be imported. Theislands are rich in undeveloped mineral resources such as lead,zinc, nickel, and gold. However, severe ethnic violence, the closingof key business enterprises, and an empty government treasury haveled to serious economic disarray, indeed near collapse. Tankerdeliveries of crucial fuel supplies (including those for electricalgeneration) have become sporadic due to the government's inabilityto pay and attacks against ships. Telecommunications are threatenedby the nonpayment of bills and by the lack of technical andmaintenance staff many of whom have left the country.
SomaliaSomalia's economic fortunes are being driven by its deeppolitical divisions. The northern area has declared its independenceas "Somaliland"; the central area, Puntland, is a self-declaredautonomous state; and the remaining southern portion is riddled withthe struggles of rival factions. Economic life continues, in partbecause much activity is local and relatively easily protected.Agriculture is the most important sector, with livestock normallyaccounting for about 40% of GDP and about 65% of export earnings,but Saudi Arabia's recent ban on Somali livestock, because of RiftValley Fever concerns, has severely hampered the sector. Nomads andsemi-nomads, who are dependent upon livestock for their livelihood,make up a large portion of the population. Livestock, hides, fish,charcoal, and bananas are Somalia's principal exports, while sugar,sorghum, corn, qat, and machined goods are the principal imports.Somalia's small industrial sector, based on the processing ofagricultural products, has largely been looted and sold as scrapmetal. Despite the seeming anarchy, Somalia's service sector hasmanaged to survive and grow. Telecommunication firms providewireless services in most major cities and offer the lowestinternational call rates on the continent. In the absence of aformal banking sector, money exchange services have sproutedthroughout the country, handling between $200 million and $500million in remittances annually. Mogadishu's main market offers avariety of goods from food to the newest electronic gadgets. Hotelscontinue to operate, and security is provided by militias. Theongoing civil disturbances and clan rivalries, however, haveinterfered with any broad-based economic development andinternational aid arrangements. In 2002 Somalia's overdue financialobligations to the IMF continued to grow.
South AfricaSouth Africa is a middle-income, emerging market withan abundant supply of natural resources; well-developed financial,legal, communications, energy, and transport sectors; a stockexchange that ranks among the 10 largest in the world; and a moderninfrastructure supporting an efficient distribution of goods tomajor urban centers throughout the region. However, growth has notbeen strong enough to lower South Africa's high unemployment rate;and daunting economic problems remain from the apartheid era,especially poverty and lack of economic empowerment among thedisadvantaged groups. High crime and HIV/AIDS infection rates alsodeter investment. South African economic policy is fiscallyconservative, but pragmatic, focusing on targeting inflation andliberalizing trade as means to increase job growth and householdincome.
South Georgia and the South Sandwich IslandsSome fishing takesplace in adjacent waters. There is a potential source of income fromharvesting finfish and krill. The islands receive income frompostage stamps produced in the UK, sale of fishing licenses, andharbor and landing fees from tourist vessels. Tourism fromspecialized cruise ships is increasing rapidly.
Southern OceanFisheries in 2000-01 (1 July to 30 June) landed112,934 metric tons, of which 87% was krill and 11% Patagoniantoothfish. International agreements were adopted in late 1999 toreduce illegal, unreported, and unregulated fishing, which in the2000-01 season landed, by one estimate, 8,376 metric tons ofPatagonian and antarctic toothfish. In the 2000-01 antarctic summer12,248 tourists, most of them seaborne, visited the Southern Oceanand Antarctica, compared to 14,762 the previous year.
SpainSpain's mixed capitalist economy supports a GDP that on a percapita basis is 80% that of the four leading West Europeaneconomies. Its center-right government successfully worked to gainadmission to the first group of countries launching the Europeansingle currency (the euro) on 1 January 1999. The AZNARadministration has continued to advocate liberalization,privatization, and deregulation of the economy and has introducedsome tax reforms to that end. Unemployment has been steadily fallingunder the AZNAR administration but remains high at 11.7%. Thegovernment intends to make further progress in changing labor lawsand reforming pension schemes, which are key to the sustainabilityof both Spain's internal economic advances and its competitivenessin a single currency area. A general strike in mid-2002 reducedcooperation between labor and government. Growth of 2.4% in 2003 wassatisfactory given the background of a faltering European economy.Adjusting to the monetary and other economic policies of anintegrated Europe - and reducing unemployment - will pose challengesto Spain over the next few years.
Spratly IslandsEconomic activity is limited to commercial fishing.The proximity to nearby oil- and gas-producing sedimentary basinssuggests the potential for oil and gas deposits, but the region islargely unexplored, and there are no reliable estimates of potentialreserves; commercial exploitation has yet to be developed.
Sri LankaIn 1977, Colombo abandoned statist economic policies andits import substitution trade policy for market-oriented policiesand export-oriented trade. Sri Lanka's most dynamic sectors now arefood processing, textiles and apparel, food and beverages,telecommunications, and insurance and banking. By 1996 plantationcrops made up only 20% of exports (compared with 93% in 1970), whiletextiles and garments accounted for 63%. GDP grew at an averageannual rate of 5.5% in the early 1990s until a drought and adeteriorating security situation lowered growth to 3.8% in 1996. Theeconomy rebounded in 1997-2000 with average growth of 5.3%, but 2001saw the first contraction in the country's history, -1.4%, due to acombination of power shortages, severe budgetary problems, theglobal slowdown, and continuing civil strife. Growth recovered to3.2% in 2002. About 800,000 Sri Lankans work abroad, 90% in theMiddle East. They send home about $1 billion a year.
SudanSudan has turned around a struggling economy with soundeconomic policies and infrastructure investments, but it still facesformidable economic problems, notably the low level of per capitaoutput. From 1997 to date, Sudan has been implementing IMFmacroeconomic reforms. In 1999 Sudan began exporting crude oil andin the last quarter of 1999 recorded its first trade surplus, which,along with monetary policy, has stabilized the exchange rate.Increased oil production, revived light industry, and expandedexport processing zones helped maintain GDP growth at 5.1% in 2002.Agriculture production remains Sudan's most important sector,employing 80% of the work force and contributing 43% of GDP, butmost farms remain rain-fed and susceptible to drought. Chronicdomestic instability, lagging reforms, adverse weather, and weakworld agricultural prices - but, above all, the low starting point -ensure that much of the population will remain at or below thepoverty line for years.
SurinameThe economy is dominated by the bauxite industry, whichaccounts for more than 15% of GDP and 70% of export earnings.Suriname's economic prospects for the medium term will depend onrenewed commitment to responsible monetary and fiscal policies andto the introduction of structural reforms to liberalize markets andpromote competition. The government of Ronald VENETIAAN has begun anausterity program, raised taxes, and attempted to control spending.However, in 2002, President VENETIAAN agreed to a large pay raisefor civil servants, which threatens his earlier gains in stabilizingthe economy. The Dutch Government has agreed to restart the aidflow, which will allow Suriname to access international developmentfinancing. The short-term economic outlook depends on thegovernment's ability to control inflation and on the development ofprojects in the bauxite and gold mining sectors.
SvalbardCoal mining is the major economic activity on Svalbard. Thetreaty of 9 February 1920 gives the 41 signatories equal rights toexploit mineral deposits, subject to Norwegian regulation. AlthoughUS, UK, Dutch, and Swedish coal companies have mined in the past,the only companies still mining are Norwegian and Russian. Thesettlements on Svalbard are essentially company towns. The Norwegianstate-owned coal company employs nearly 60% of the Norwegianpopulation on the island, runs many of the local services, andprovides most of the local infrastructure. There is also sometrapping of seal, polar bear, fox, and walrus.
SwazilandIn this small, landlocked economy, subsistence agricultureoccupies more than 80% of the population. The manufacturing sectorhas diversified since the mid-1980s. Sugar and wood pulp remainimportant foreign exchange earners. Mining has declined inimportance in recent years with only coal and quarry stone minesremaining active. Surrounded by South Africa, except for a shortborder with Mozambique, Swaziland is heavily dependent on SouthAfrica from which it receives nine-tenths of its imports and towhich it sends more than two-thirds of its exports. Customs dutiesfrom the Southern African Customs Union and worker remittances fromSouth Africa substantially supplement domestically earned income.The government is trying to improve the atmosphere for foreigninvestment. Overgrazing, soil depletion, drought, and sometimesfloods persist as problems for the future. More than one-fourth ofthe population needed emergency food aid in 2002 because of drought,and more than one-third of the adult population was infected byHIV/AIDS.
SwedenAided by peace and neutrality for the whole 20th century,Sweden has achieved an enviable standard of living under a mixedsystem of high-tech capitalism and extensive welfare benefits. Ithas a modern distribution system, excellent internal and externalcommunications, and a skilled labor force. Timber, hydropower, andiron ore constitute the resource base of an economy heavily orientedtoward foreign trade. Privately owned firms account for about 90% ofindustrial output, of which the engineering sector accounts for 50%of output and exports. Agriculture accounts for only 2% of GDP and2% of the jobs. The government's commitment to fiscal disciplineresulted in a substantial budgetary surplus in 2001, which was cutby more than half in 2002, due to the global economic slowdown,revenue declines, and spending increases. The Swedish central bank(the Riksbank) is focusing on price stability with its inflationtarget of 2%. Growth remained sluggish in 2003. On September 14,2003, Swedish voters turned down entry into the euro system,concerned about the impact on democracy and sovereignty.
SwitzerlandSwitzerland is a prosperous and stable modern marketeconomy with low unemployment, a highly skilled labor force, and aper capita GDP larger than that of the big western Europeaneconomies. The Swiss in recent years have brought their economicpractices largely into conformity with the EU's to enhance theirinternational competitiveness. Switzerland remains a safe haven forinvestors, because it has maintained a degree of bank secrecy andhas kept up the franc's long-term external value. Reflecting theanemic economic conditions of Europe, GDP growth dropped in 2001 toabout 0.8%, to 0.2% in 2002, and to -0.3% in 2003.
SyriaSyria's predominantly statist economy has been growing, onaverage, more slowly than its 2.4% annual population growth rate,causing a persistent decline in per capita GDP. Recent legislationallows private banks to operate in Syria, although a private bankingsector will take years and further government cooperation todevelop. External factors such as the international war onterrorism, the Israeli-Palestinian conflict, and the war between theUS-led coalition and Iraq probably will drive real annual GDP growthlevels back below their 3.5% spike in 2002. A long-run economicconstraint is the pressure on water supplies caused by rapidpopulation growth, industrial expansion, and increased waterpollution.
TaiwanTaiwan has a dynamic capitalist economy with graduallydecreasing guidance of investment and foreign trade by governmentauthorities. In keeping with this trend, some large government-ownedbanks and industrial firms are being privatized. Exports haveprovided the primary impetus for industrialization. The tradesurplus is substantial, and foreign reserves are the world's thirdlargest. Agriculture contributes 2% to GDP, down from 32% in 1952.While Taiwan is a major investor throughout Southeast Asia, Chinahas become the largest destination for investment and has overtakenthe US to become Taiwan's largest export market. Because of itsconservative financial approach and its entrepreneurial strengths,Taiwan suffered little compared with many of its neighbors from theAsian financial crisis in 1998. The global economic downturn,combined with problems in policy coordination by the administrationand bad debts in the banking system, pushed Taiwan into recession in2001, the first year of negative growth ever recorded. Unemploymentalso reached record levels. Output recovered moderately in 2002 inthe face of continued global slowdown, fragile consumer confidence,and bad bank loans. Growing economic ties with China are a dominantlong-term factor. Exports to China - mainly parts and equipment forthe assembly of goods for export to developed countries - droveTaiwan's economic recovery in 2002.
TajikistanTajikistan has the lowest per capita GDP among the 15former Soviet republics. Only 8% to 10% of the land area is arable.Cotton is the most important crop. Mineral resources, varied butlimited in amount, include silver, gold, uranium, and tungsten.Industry consists only of a large aluminum plant, hydropowerfacilities, and small obsolete factories mostly in light industryand food processing. The civil war (1992-97) severely damaged thealready weak economic infrastructure and caused a sharp decline inindustrial and agricultural production. Even though 60% of itspeople continue to live in abject poverty, Tajikistan hasexperienced steady economic growth since 1997. Continuedprivatization of medium and large state-owned enterprises willfurther increase productivity. Tajikistan's economic situation,however, remains fragile due to uneven implementation of structuralreforms, weak governance, widespread unemployment, and the externaldebt burden. A debt restructuring agreement was reached with Russiain December 2002, including an interest rate of 4%, a 3-year graceperiod, and a US $49.8 million credit to the Central Bank ofTajikistan.
TanzaniaTanzania is one of the poorest countries in the world. Theeconomy depends heavily on agriculture, which accounts for half ofGDP, provides 85% of exports, and employs 80% of the work force.Topography and climatic conditions, however, limit cultivated cropsto only 4% of the land area. Industry traditionally featured theprocessing of agricultural products and light consumer goods. TheWorld Bank, the International Monetary Fund, and bilateral donorshave provided funds to rehabilitate Tanzania's out-of-date economicinfrastructure and to alleviate poverty. Growth in 1991-2002featured a pickup in industrial production and a substantialincrease in output of minerals, led by gold. Oil and gas explorationand development played an important role in this growth. Recentbanking reforms have helped increase private sector growth andinvestment. Continued donor support and solid macroeconomic policiesshould support continued real GDP growth of 5% in 2003.
ThailandThailand has a free enterprise economy and welcomes foreigninvestment. Exports feature computers and electrical appliances.After enjoying the world's highest growth rate from 1985 to 1995 -averaging almost 9% annually - increased speculative pressure onThailand's currency in 1997 led to a crisis that uncovered financialsector weaknesses and forced the government to float the baht. Longpegged at 25 to the dollar, the baht reached its lowest point of 56to the dollar in January 1998, and the economy contracted by 10.2%that same year. Thailand then entered a recovery stage, expanding by4.2% in 1999 and 4.4% in 2000, largely due to strong exports. Anailing financial sector and the slow pace of corporate debtrestructuring, combined with a softening of global demand, slowedgrowth to 1.4% in 2001. Increased consumption and investmentspending pushed GDP growth up to 5.2% in 2002 despite a sluggishglobal economy.
TogoThis small sub-Saharan economy is heavily dependent on bothcommercial and subsistence agriculture, which provides employmentfor 65% of the labor force. Some basic foodstuffs must still beimported. Cocoa, coffee, and cotton generate about 40% of exportearnings, with cotton being the most important cash crop. Togo isthe world's fourth-largest producer of phosphate, but productionfell an estimated 22% in 2002 due to power shortages and the cost ofdeveloping new deposits. The government's decade-long effort,supported by the World Bank and the IMF, to implement economicreform measures, encourage foreign investment, and bring revenues inline with expenditures has moved slowly. Progress depends onfollowing through on privatization, increased openness in governmentfinancial operations, progress toward legislative elections, andcontinued support from foreign donors.
TokelauTokelau's small size (three villages), isolation, and lackof resources greatly restrain economic development and confineagriculture to the subsistence level. The people rely heavily on aidfrom New Zealand - about $4 million annually - to maintain publicservices, with annual aid being substantially greater than GDP. Theprincipal sources of revenue come from sales of copra, postagestamps, souvenir coins, and handicrafts. Money is also remitted tofamilies from relatives in New Zealand.
TongaTonga has a small, open economy with a narrow export base inagricultural goods. Squash, coconuts, bananas, and vanilla beans arethe main crops, and agricultural exports make up two-thirds of totalexports. The country must import a high proportion of its food,mainly from New Zealand. Tourism is the second-largest source ofhard currency earnings following remittances. The country remainsdependent on external aid and remittances from Tongan communitiesoverseas to offset its trade deficit. The government is emphasizingthe development of the private sector, especially the encouragementof investment, and is committing increased funds for health andeducation. Tonga has a reasonably sound basic infrastructure andwell-developed social services.
Trinidad and TobagoTrinidad and Tobago has earned a reputation asan excellent investment site for international businesses. A leadingperformer the past four years has been the booming natural gassector. Tourism is a growing sector, although not proportionately asimportant as in many other Caribbean islands. The economy benefitsfrom low inflation and a trade surplus. The year 2002 was marked bysolid growth in the oil sector, offset in part by domestic politicaluncertainty.
Tromelin Islandno economic activity
TunisiaTunisia has a diverse economy, with important agricultural,mining, energy, tourism, and manufacturing sectors. Governmentalcontrol of economic affairs while still heavy has gradually lessenedover the past decade with increasing privatization, simplificationof the tax structure, and a prudent approach to debt. Real growthaveraged 5.4% in 1997-2001 but slowed to 1.9% in 2002 because ofagricultural drought, slow investment, and lackluster tourism.Increased rainfall portends higher growth levels for 2003, butcontinued regional tension from the war in Iraq will most likelycontinue to suppress tourism earnings. Tunisia has agreed togradually remove barriers to trade with the European Union over thenext decade. Broader privatization, further liberalization of theinvestment code to increase foreign investment, improvements ingovernment efficiency, and reduction of the trade deficit are amongthe challenges for the future.
TurkeyTurkey's dynamic economy is a complex mix of modern industryand commerce along with a traditional agriculture sector that in2001 still accounted for 40% of employment. It has a strong andrapidly growing private sector, yet the state still plays a majorrole in basic industry, banking, transport, and communication. Themost important industry - and largest exporter - is textiles andclothing, which is almost entirely in private hands. In recent yearsthe economic situation has been marked by erratic economic growthand serious imbalances. Real GNP growth has exceeded 6% in manyyears, but this strong expansion has been interrupted by sharpdeclines in output in 1994, 1999, and 2001. Meanwhile, the publicsector fiscal deficit has regularly exceeded 10% of GDP - due inlarge part to the huge burden of interest payments, which accountfor more than 50% of central government spending. Inflation, inrecent years in the high double-digit range, fell to 26% in 2003.Perhaps because of these problems, foreign direct investment inTurkey remains low - less than $1 billion annually. In late 2000 andearly 2001 a growing trade deficit and serious weaknesses in thebanking sector plunged the economy into crisis - forcing Turkey tofloat the lira and pushing the country into recession. Results in2002-03 were much better, because of strong financial support fromthe IMF and tighter fiscal policy. Continued slow global growth andserious political tensions in the Middle East could result innegative growth in 2004.
TurkmenistanTurkmenistan is largely desert country with intensiveagriculture in irrigated oases and large gas and oil resources.One-half of its irrigated land is planted in cotton, making it theworld's tenth-largest producer. With an authoritarian ex-Communistregime in power and a tribally based social structure, Turkmenistanhas taken a cautious approach to economic reform, hoping to use gasand cotton sales to sustain its inefficient economy. Privatizationgoals remain limited. In 1998-2003, Turkmenistan suffered from thecontinued lack of adequate export routes for natural gas and fromobligations on extensive short-term external debt. At the same time,however, total exports rose by 38% in 2003, largely because ofhigher international oil and gas prices. Overall prospects in thenear future are discouraging because of widespread internal poverty,the burden of foreign debt, and the unwillingness of the governmentto adopt market-oriented reforms. However, Turkmenistan'scooperation with the international community in transportinghumanitarian aid to Afghanistan may foreshadow a change in theatmosphere for foreign investment, aid, and technological support.Turkmenistan's economic statistics are state secrets, and GDP andother figures are subject to wide margins of error. In any event,GDP increased substantially in 2003 because of a strong recovery inagriculture and rapid industrial growth.
Turks and Caicos IslandsThe Turks and Caicos economy is based ontourism, fishing, and offshore financial services. Most capitalgoods and food for domestic consumption are imported. The US is theleading source of tourists, accounting for more than half of the93,000 visitors in 1998. Major sources of government revenue includefees from offshore financial activities and customs receipts.Tourism fell by 6% in 2002 but appeared to be picking up at yearend.
TuvaluTuvalu consists of a densely populated, scattered group ofnine coral atolls with poor soil. The country has no known mineralresources and few exports. Subsistence farming and fishing are theprimary economic activities. Fewer than 1,000 tourists, on average,visit Tuvalu annually. Government revenues largely come from thesale of stamps and coins and worker remittances. About 1,000Tuvaluans work in Nauru in the phosphate mining industry. Nauru hasbegun repatriating Tuvaluans, however, as phosphate resourcesdecline. Substantial income is received annually from aninternational trust fund established in 1987 by Australia, NZ, andthe UK and supported also by Japan and South Korea. Thanks to wiseinvestments and conservative withdrawals, this Fund has grown froman initial $17 million to over $35 million in 1999. The USgovernment is also a major revenue source for Tuvalu, because ofpayments from a 1988 treaty on fisheries. In an effort to reduce itsdependence on foreign aid, the government is pursuing public sectorreforms, including privatization of some government functions andpersonnel cuts of up to 7%. In 1998, Tuvalu began deriving revenuefrom use of its area code for "900" lines and in 2000, from thelease of its ".tv" Internet domain name. Royalties from these newtechnology sources could increase substantially over the nextdecade. With merchandise exports only a fraction of merchandiseimports, continued reliance must be placed on fishing andtelecommunications license fees, remittances from overseas workers,official transfers, and investment income from overseas assets.
UgandaUganda has substantial natural resources, including fertilesoils, regular rainfall, and sizable mineral deposits of copper andcobalt. Agriculture is the most important sector of the economy,employing over 80% of the work force. Coffee accounts for the bulkof export revenues. Since 1986, the government - with the support offoreign countries and international agencies - has acted torehabilitate and stabilize the economy by undertaking currencyreform, raising producer prices on export crops, increasing pricesof petroleum products, and improving civil service wages. The policychanges are especially aimed at dampening inflation and boostingproduction and export earnings. During 1990-2001, the economy turnedin a solid performance based on continued investment in therehabilitation of infrastructure, improved incentives for productionand exports, reduced inflation, gradually improved domesticsecurity, and the return of exiled Indian-Ugandan entrepreneurs.Ongoing Ugandan involvement in the war in the Democratic Republic ofthe Congo, corruption within the government, and slippage in thegovernment's determination to press reforms raise doubts about thecontinuation of strong growth. In 2000, Uganda qualified forenhanced Highly Indebted Poor Countries (HIPC) debt relief worth$1.3 billion and Paris Club debt relief worth $145 million. Theseamounts combined with the original HIPC debt relief added up toabout $2 billion. Growth for 2001-02 was solid despite continueddecline in the price of coffee, Uganda's principal export. Prospectsfor 2003 are mixed, with probable strengthening of coffee prices yetwith halting growth in the economies of major export customers.
UkraineAfter Russia, the Ukrainian republic was far and away themost important economic component of the former Soviet Union,producing about four times the output of the next-ranking republic.Its fertile black soil generated more than one-fourth of Sovietagricultural output, and its farms provided substantial quantitiesof meat, milk, grain, and vegetables to other republics. Likewise,its diversified heavy industry supplied the unique equipment (forexample, large diameter pipes) and raw materials to industrial andmining sites (vertical drilling apparatus) in other regions of theformer USSR. Ukraine depends on imports of energy, especiallynatural gas, to meet some 85% of its annual energy requirements.Shortly after independence in December 1991, the UkrainianGovernment liberalized most prices and erected a legal framework forprivatization, but widespread resistance to reform within thegovernment and the legislature soon stalled reform efforts and ledto some backtracking. Output by 1999 had fallen to less than 40% ofthe 1991 level. Loose monetary policies pushed inflation tohyperinflationary levels in late 1993. Ukraine's dependence onRussia for energy supplies and the lack of significant structuralreform have made the Ukrainian economy vulnerable to externalshocks. Now in his second term, President KUCHMA has pledged toreduce the number of government agencies, streamline the regulatoryprocess, create a legal environment to encourage entrepreneurs, andenact a comprehensive tax overhaul. Reforms in the more politicallysensitive areas of structural reform and land privatization arestill lagging. Outside institutions - particularly the IMF - haveencouraged Ukraine to quicken the pace and scope of reforms. GDP in2000 showed strong export-based growth of 6% - the first growthsince independence - and industrial production grew 12.9%. Theeconomy continued to expand in 2001 as real GDP rose 9% andindustrial output grew by over 14%. Growth of 4.1% in 2002 was moremoderate, in part a reflection of faltering growth in the developedworld. In general, growth has been undergirded by strong domesticdemand, low inflation, and solid consumer and investor confidence.Growth was a sturdy 6% in 2003 despite a loss of mementum in neededeconomic reforms.
United Arab EmiratesThe UAE has an open economy with a high percapita income and a sizable annual trade surplus. Its wealth isbased on oil and gas output (about 33% of GDP), and the fortunes ofthe economy fluctuate with the prices of those commodities. Since1973, the UAE has undergone a profound transformation from animpoverished region of small desert principalities to a modern statewith a high standard of living. At present levels of production, oiland gas reserves should last for more than 100 years. The governmenthas increased spending on job creation and infrastructure expansionand is opening up its utilities to greater private sectorinvolvement.
United KingdomThe UK, a leading trading power and financial center,is one of the quartet of trillion dollar economies of WesternEurope. Over the past two decades the government has greatly reducedpublic ownership and contained the growth of social welfareprograms. Agriculture is intensive, highly mechanized, and efficientby European standards, producing about 60% of food needs with only1% of the labor force. The UK has large coal, natural gas, and oilreserves; primary energy production accounts for 10% of GDP, one ofthe highest shares of any industrial nation. Services, particularlybanking, insurance, and business services, account by far for thelargest proportion of GDP while industry continues to decline inimportance. GDP growth slipped in 2001-03 as the global downturn,the high value of the pound, and the bursting of the "new economy"bubble hurt manufacturing and exports. Still, the economy is one ofthe strongest in Europe; inflation, interest rates, and unemploymentremain low. The relatively good economic performance has complicatedthe BLAIR government's efforts to make a case for Britain to jointhe European Economic and Monetary Union (EMU). Critics point out,however, that the economy is doing well outside of EMU, and theypoint to public opinion polls that continue to show a majority ofBritons opposed to the single currency. Meantime, the government hasbeen speeding up the improvement of education, transport, and healthservices, at a cost in higher taxes. The war in March-April 2003between a US-led coalition and Iraq, together with the subsequentproblems of restoring the economy and the polity, involve a heavycommitment of British military forces.
United StatesThe US has the largest and most technologicallypowerful economy in the world, with a per capita GDP of $37,600. Inthis market-oriented economy, private individuals and business firmsmake most of the decisions, and the federal and state governmentsbuy needed goods and services predominantly in the privatemarketplace. US business firms enjoy considerably greaterflexibility than their counterparts in Western Europe and Japan indecisions to expand capital plant, lay off surplus workers, anddevelop new products. At the same time, they face higher barriers toentry in their rivals' home markets than the barriers to entry offoreign firms in US markets. US firms are at or near the forefrontin technological advances, especially in computers and in medical,aerospace, and military equipment, although their advantage hasnarrowed since the end of World War II. The onrush of technologylargely explains the gradual development of a "two-tier labormarket" in which those at the bottom lack the education and theprofessional/technical skills of those at the top and, more andmore, fail to get comparable pay raises, health insurance coverage,and other benefits. Since 1975, practically all the gains inhousehold income have gone to the top 20% of households. The years1994-2000 witnessed solid increases in real output, low inflationrates, and a drop in unemployment to below 5%. The year 2001 saw theend of boom psychology and performance, with output increasing only0.3% and unemployment and business failures rising substantially.The response to the terrorist attacks of 11 September 2001 showedthe remarkable resilience of the economy. Moderate recovery tookplace in 2002, with the GDP growth rate rising to 2.45%. A majorshort-term problem in first half 2002 was a sharp decline in thestock market, fueled in part by the exposure of dubious accountingpractices in some major corporations. The war in March/April 2003between a US-led coalition and Iraq shifted resources to militaryindustries and introduced uncertainties about investment andemployment in other sectors of the economy. Long-term problemsinclude inadequate investment in economic infrastructure, rapidlyrising medical and pension costs of an aging population, sizabletrade deficits, and stagnation of family income in the lowereconomic groups.
UruguayUruguay's economy is characterized by an export-orientedagricultural sector, a well-educated workforce, and high levels ofsocial spending. After averaging growth of 5% annually during1996-98, in 1999-2002 the economy suffered a major downturn,stemming largely from lower demand in Argentina and Brazil, whichtogether account for nearly half of Uruguay's exports. Total GDP inthese four years dropped by nearly 20%, with 2002 the worst year.Unemployment rose to nearly 20% in 2002, inflation surged, and theburden of external debt doubled. Cooperation with the IMF and the UShas limited the damage, which is still extensive. Moves toreschedule debt and promote economic recovery may help limit afurther decline in output in 2003.
UzbekistanUzbekistan is a dry, landlocked country of which 11%consists of intensely cultivated, irrigated river valleys. More than60% of its population lives in densely populated rural communities.Uzbekistan is now the world's second-largest cotton exporter, alarge producer of gold and oil, and a regionally significantproducer of chemicals and machinery. Following independence inDecember 1991, the government sought to prop up its Soviet-stylecommand economy with subsidies and tight controls on production andprices. Uzbekistan responded to the negative external conditionsgenerated by the Asian and Russian financial crises by emphasizingimport substitute industrialization and by tightening export andcurrency controls within its already largely closed economy. Thegovernment, while aware of the need to improve the investmentclimate, sponsors measures that often increase, not decrease, thegovernment's control over business decisions. A sharp increase inthe inequality of income distribution has hurt the lower ranks ofsociety since independence.
VanuatuThe economy is based primarily on subsistence or small-scaleagriculture, which provides a living for 65% of the population.Fishing, offshore financial services, and tourism, with about 50,000visitors in 1997, are other mainstays of the economy. Mineraldeposits are negligible; the country has no known petroleumdeposits. A small light industry sector caters to the local market.Tax revenues come mainly from import duties. Economic development ishindered by dependence on relatively few commodity exports,vulnerability to natural disasters, and long distances from mainmarkets and between constituent islands. A severe earthquake inNovember 1999 followed by a tsunami, caused extensive damage to thenorthern island of Pentecote and left thousands homeless. Anotherpowerful earthquake in January 2002 caused extensive damage in thecapital, Port-Vila, and surrounding areas, and also was followed bya tsunami. GDP growth rose less than 3% on average in the 1990s. Inresponse to foreign concerns, the government has promised to tightenregulation of its offshore financial center. In mid-2002 thegovernment stepped up efforts to boost tourism. Australia and NewZealand are the main suppliers of foreign aid.
VenezuelaVenezuela continues to be highly dependent on thepetroleum sector, which accounts for roughly one-third of GDP,around 80% of export earnings, and more than half of governmentoperating revenues. Despite higher oil prices at the end of 2002 andinto 2003, domestic political instability, culminating in atwo-month national oil strike from December 2002 to February 2003,temporarily halted economic activity. The economy is likely toremain in a recession in 2003, after sinking an estimated 8.9percent in 2002.
VietnamVietnam is a poor, densely-populated country that has had torecover from the ravages of war, the loss of financial support fromthe old Soviet Bloc, and the rigidities of a centrally plannedeconomy. Substantial progress was achieved from 1986 to 1996 inmoving forward from an extremely low starting point - growthaveraged around 9% per year from 1993 to 1997. The 1997 Asianfinancial crisis highlighted the problems in the Vietnamese economybut, rather than prompting reform, reaffirmed the government'sbelief that shifting to a market-oriented economy would lead todisaster. GDP growth of 8.5% in 1997 fell to 6% in 1998 and 5% in1999. Growth then rose to 6% to 7% in 2000-02 even against thebackground of global recession. These numbers mask some majordifficulties in economic performance. Many domestic industries,including coal, cement, steel, and paper, have reported largestockpiles of inventory and tough competition from more efficientforeign producers. Meanwhile, Vietnamese authorities have moved toimplement the structural reforms needed to modernize the economy andto produce more competitive, export-driven industries. TheUS-Vietnam Bilateral Trade Agreement entered into force near the endof 2001 and is expected to significantly increase Vietnam's exportsto the US. The US is assisting Vietnam with implementing the legaland structural reforms called for in the agreement.
Virgin IslandsTourism is the primary economic activity, accountingfor more than 70% of GDP and 70% of employment. The islands normallyhost 2 million visitors a year. The manufacturing sector consists ofpetroleum refining, textiles, electronics, pharmaceuticals, andwatch assembly. The agricultural sector is small, with most foodbeing imported. International business and financial services are asmall but growing component of the economy. One of the world'slargest petroleum refineries is at Saint Croix. The islands aresubject to substantial damage from storms. The government is workingto improve fiscal discipline, support construction projects in theprivate sector, expand tourist facilities, reduce crime, and protectthe environment.
Wake IslandEconomic activity is limited to providing services tocontractors located on the island. All food and manufactured goodsmust be imported.
Wallis and FutunaThe economy is limited to traditional subsistenceagriculture, with about 80% labor force earnings from agriculture(coconuts and vegetables), livestock (mostly pigs), and fishing.About 4% of the population is employed in government. Revenues comefrom French Government subsidies, licensing of fishing rights toJapan and South Korea, import taxes, and remittances from expatriateworkers in New Caledonia.
West BankReal per capita GDP for the West Bank and Gaza Strip(WBGS) declined by about one-third between 1992 and 1996 due to thecombined effect of falling aggregate incomes and rapid populationgrowth. The downturn in economic activity was largely the result ofIsraeli closure policies - the imposition of border closures inresponse to security incidents in Israel - which disrupted labor andcommodity market relationships between Israel and the WBGS. The mostserious social effect of this downturn was rising unemployment;unemployment in the WBGS during the 1980s was generally under 5%; by1995 it had risen to over 20%. Israel's use of comprehensiveclosures during the next five years decreased and, in 1998, Israelimplemented new policies to reduce the impact of closures and othersecurity procedures on the movement of Palestinian goods and labor.These changes fueled an almost three-year-long economic recovery inthe West Bank and Gaza Strip; real GDP grew by 5% in 1998 and 6% in1999. Recovery was upended in the last quarter of 2000 with theoutbreak of violence, which triggered tight Israeli closures ofPalestinian self-rule areas and severely disrupted trade and labormovements. In 2001, and even more severely in 2002, Israeli militarymeasures in Palestinian Authority areas have resulted in thedestruction of much capital plant and administrative structure,widespread business closures, and a sharp drop in GDP. Another majorloss has been the decline in earnings of Palestinian workers inIsrael. International aid of $2 billion in 2001-02 to the West Bankand Gaza Strip have prevented the complete collapse of the economy.
Western SaharaWestern Sahara depends on pastoral nomadism, fishing,and phosphate mining as the principal sources of income for thepopulation. The territory lacks sufficient rainfall for sustainableagricultural production, and most of the food for the urbanpopulation must be imported. All trade and other economic activitiesare controlled by the Moroccan Government. Moroccan energy interestsin 2001 signed contracts to explore for oil off the coast of WesternSahara, which has angered the Polisario. Incomes and standards ofliving in Western Sahara are substantially below the Moroccan level.
World Growth in global output (gross world product, GWP) fell from 4.8% in 2000 to 2.2% in 2001 and 2.7% in 2002. The causes: sluggishness in the US economy (21% of GWP) and in the 15 EU economies (19% of GWP); continued stagnation in the Japanese economy (7.2% of GWP); and spillover effects in the less developed regions of the world. China, the second-largest economy in the world (12% of GWP), proved an exception, continuing its rapid annual growth, officially announced as 8% but estimated by many observers as perhaps two percentage points lower. Russia (2.6% of GWP), with 4% growth, continued to make uneven progress, its GDP per capita still only one-third that of the leading industrial nations. The other 14 successor nations of the USSR and the other old Warsaw Pact nations again experienced widely divergent growth rates; the three Baltic nations continued as strong performers, in the 5% range of growth. The developing nations also varied in their growth results, with many countries facing population increases that erode gains in output. Externally, the nation-state, as a bedrock economic-political institution, is steadily losing control over international flows of people, goods, funds, and technology. Internally, the central government often finds its control over resources slipping as separatist regional movements - typically based on ethnicity - gain momentum, e.g., in many of the successor states of the former Soviet Union, in the former Yugoslavia, in India, in Indonesia, and in Canada. Externally, the central government is losing decision-making powers to international bodies. In Western Europe, governments face the difficult political problem of channeling resources away from welfare programs in order to increase investment and strengthen incentives to seek employment. The addition of 80 million people each year to an already overcrowded globe is exacerbating the problems of pollution, desertification, underemployment, epidemics, and famine. Because of their own internal problems and priorities, the industrialized countries devote insufficient resources to deal effectively with the poorer areas of the world, which, at least from the economic point of view, are becoming further marginalized. The introduction of the euro as the common currency of much of Western Europe in January 1999, while paving the way for an integrated economic powerhouse, poses economic risks because of varying levels of income and cultural and political differences among the participating nations. The terrorist attacks on the US on 11 September 2001 accentuate a further growing risk to global prosperity, illustrated, for example, by the reallocation of resources away from investment to anti-terrorist programs. The opening of war in March 2003 between a US-led coalition and Iraq added new uncertainties to global economic prospects. (For specific economic developments in each country of the world in 2002, see the individual country entries.)
YemenYemen, one of the poorest countries in the Arab world,reported strong growth in the mid-1990s with the onset of oilproduction, but has been harmed by periodic declines in oil prices.Yemen has embarked on an IMF-supported structural adjustment programdesigned to modernize and streamline the economy, which has led tosubstantial foreign debt relief and restructuring. Internationaldonors, meeting in Paris in October 2002, agreed on a further $2.3billion economic support package. Yemen has worked to maintain tightcontrol over spending and implement additional components of the IMFprogram. A high population growth rate and internal politicaldissension complicate the government's task.
ZambiaDespite progress in privatization and budgetary reform,Zambia's economic growth remains below the 5% to 7% necessary toreduce poverty significantly. Privatization of government-ownedcopper mines relieved the government from covering mammoth lossesgenerated by the industry and greatly improved the chances forcopper mining to return to profitability and spur economic growth.However, low mineral prices have slowed the benefits of privatizingthe mines and have reduced incentives for further private investmentin the sector. Cooperation continues with international bodies onprograms to reduce poverty.
ZimbabweThe government of Zimbabwe faces a wide variety ofdifficult economic problems as it struggles with an unsustainablefiscal deficit, an overvalued exchange rate, soaring inflation, andbare shelves. Its 1998-2002 involvement in the war in the DemocraticRepublic of the Congo, for example, drained hundreds of millions ofdollars from the economy. Badly needed support from the IMF has beensuspended because of the country's failure to meet budgetary goals.Inflation rose from an annual rate of 32% in 1998 to 59% in 1999, to60% in 2000, to over 100% by yearend 2001, to 228% in early 2003.The government's land reform program, characterized by chaos andviolence, has nearly destroyed the commercial farming sector, thetraditional source of exports and foreign exchange and the providerof 400,000 jobs.
This page was last updated on 18 December, 2003
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@2117 Pipelines (km)
Afghanistangas 651 km (2003)
Albaniagas 339 km; oil 207 km (2003)
Algeriacondensate 1,344 km; gas 87,347 km; liquid petroleum gas2,213 km; oil 6,496 km (2003)
Angolagas 214 km; liquid natural gas 14 km; liquid petroleum gas 30km; oil 845 km; refined products 56 km (2003)
Argentinagas 26,797 km; liquid petroleum gas 41 km; oil 3,668 km;refined products 2,945 km; unknown (oil/water) 13 km (2003)
Armeniagas 2,031 km (2003)
Australiacondensate 36 km; condensate/gas 243 km; gas 27,321 km;liquid petroleum gas 240 km; oil 4,779 km; oil/gas/water 104 km;water 40 km (2003)
Austriagas 2,722 km; oil 687 km; refined products 149 km (2003)
Azerbaijangas 5,001 km; oil 1,631 km (2003)
Bahraingas 20 km; oil 53 km (2003)
Bangladeshgas 2,016 km (2003)
Belarusgas 4,519 km; oil 1,811 km; refined products 1,686 km (2003)
Belgiumgas 1,485 km; oil 158 km; refined products 535 km (2003)
Boliviagas 4,860 km; liquid petroleum gas 47 km; oil 2,460 km;refined products 1,589 km; unknown (oil/water) 247 km (2003)
Bosnia and Herzegovinagas 170 km; oil 9 km (2003)
Brazilcondensate/gas 243 km; gas 10,984 km; liquid petroleum gas341 km; oil 5,113 km; refined products 4,800 km (2003)
Bruneigas 665 km; oil 439 km (2003)
Bulgariagas 2,425 km; oil 339 km; refined products 156 km (2003)
Burmagas 2,056 km; oil 558 km (2003)
Cameroongas 90 km; liquid petroleum gas 9 km; oil 1,124 km (2003)
Canadacrude and refined oil 23,564 km; natural gas 74,980 km
Chadoil 205 km (2003)
Chilegas 2,267 km; gas/liquid petroleum gas 42 km; liquid petroleumgas 531 km; oil 983 km; refined products 545 km (2003)
Chinagas 13,845 km; oil 15,143 km; refined products 3,280 km (2003)
Colombiagas 4,360 km; oil 6,134 km; refined products 3,140 km (2003)
Congo, Democratic Republic of thegas 54 km; oil 71 km (2003)
Congo, Republic of thegas 53 km; oil 673 km (2003)
Costa Ricarefined products 421 km (2003)
Cote d'Ivoirecondensate 107 km; gas 223 km; oil 104 km (2003)
Croatiagas 1,374 km; oil 583 km (2003)
Cubagas 49 km; oil 230 km (2003)
Czech Republicgas 7,020 km; oil 547 km; refined products 94 km(2003)
Denmarkcondensate 12 km; gas 3,892 km; oil 455 km; oil/gas/water 2km; unknown (oil/water) 64 km (2003)
Dominican Republiccrude oil 96 km; petroleum products 8 km
East TimorNA
Ecuadorgas 71 km; oil 1,575 km; refined products 1,185 km (2003)
Egyptcondensate 327 km; condensate/gas 94 km; gas 6,145 km; liquidpetroleum gas 382 km; oil 5,726 km; oil/gas/water 36 km; water 62 km(2003)
Equatorial Guinea condensate 37 km; gas 39 km; liquid natural gas 4 km; oil 24 km (2003)
Estoniagas 859 km (2003)
Finlandgas 694 km (2003)
Francegas 13,946 km; oil 3,024 km; refined products 4,889 km (2003)