Kiribati Economy 2008

Economy - overview:
A remote country of 33 scattered coral atolls, Kiribati has few natural resources. Commercially viable phosphate deposits were exhausted at the time of independence from the UK in 1979. Copra and fish now represent the bulk of production and exports. The economy has fluctuated widely in recent years. Economic development is constrained by a shortage of skilled workers, weak infrastructure, and remoteness from international markets. Tourism provides more than one-fifth of GDP. Private sector initiatives and a financial sector are in the early stages of development. Foreign financial aid from UK, Japan, Australia, New Zealand, and China equals more than 10% of GDP. Remittances from seamen on merchant ships abroad account for more than $5 million each year. Kiribati receives around $15 million annually for the government budget from an Australian trust fund.

GDP (purchasing power parity):
$240 million (2006 est.)

GDP (official exchange rate):
$76.4 million (2005 est.)

GDP - real growth rate:
0.3% (2005)

GDP - per capita (PPP):
$1,800 (2004 est.)

GDP - composition by sector:
agriculture: 8.9%
industry: 24.2%
services: 66.8% (2004)

Labor force:
7,870 economically active, not including subsistence farmers (2001 est.)

Labor force - by occupation:
agriculture: 2.7%
industry: 32%
services: 65.3% (2000)

Unemployment rate:
2% official rate; underemployment 70% (1992 est.)

Population below poverty line:
NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices):
0.5% (2005 est.)

Budget:
revenues: $55.52 million
expenditures: $59.71 million (FY05)

Agriculture - products:
copra, taro, breadfruit, sweet potatoes, vegetables; fish

Industries:
fishing, handicrafts

Industrial production growth rate:
0.7% (1991 est.)

Electricity - production:
9 million kWh (2005)

Electricity - consumption:
8.37 million kWh (2005)

Electricity - exports:
0 kWh (2005)

Electricity - imports:
0 kWh (2005)

Oil - production:
0 bbl/day (2005 est.)

Oil - consumption:
220 bbl/day (2005 est.)

Oil - exports:
0 bbl/day (2004)

Oil - imports:
216.4 bbl/day (2004)

Oil - proved reserves:
0 bbl (1 January 2006 est.)

natural gas - production:
0 cu m (2005 est.)

natural gas - consumption:
0 cu m (2005 est.)

natural gas - exports:
0 cu m (2005 est.)

natural gas - imports:
0 cu m (2005)

natural gas - proved reserves:
0 cu m (1 January 2006 est.)

Current account balance:
-$19.87 million (2004)

Exports:
$17 million f.o.b. (2004 est.)

Exports - commodities:
copra 62%, coconuts, seaweed, fish

Exports - partners:
US 22.8%, Belgium 21.5%, Japan 14.3%, Samoa 7.8%, Australia 7.5%, Malaysia 6.7%, Taiwan 5.6%, Denmark 4.6% (2006)

Imports:
$62 million c.i.f. (2004 est.)

Imports - partners:
Australia 33%, Fiji 27.1%, Japan 18.1%, NZ 6.9% (2006)

Economic aid - recipient:
$27.84 million largely from UK and Japan (2005)

Debt - external:
$10 million (1999 est.)

Market value of publicly traded shares:
$NA

Currency (code):
Australian dollar (AUD)

Exchange rates:
Australian dollars per US dollar - 1.2137 (2007), 1.3285 (2006), 1.3095 (2005), 1.3598 (2004), 1.5419 (2003)