Economy - overview One of the world's poorest and least developed countries, Somalia has few resources. Moreover, much of the economy has been devastated by the civil war. Agriculture is the most important sector, with livestock accounting for about 40% of GDP and about 65% of export earnings. Nomads and semi-nomads, who are dependent upon livestock for their livelihood, make up a large portion of the population. Crop production generates only 10% of GDP and employs about 20% of the work force. After livestock, bananas are the principal export; sugar, sorghum, corn, and fish are products for the domestic market. The small industrial sector, based on the processing of agricultural products, accounts for less than 10% of GDP; most facilities have been shut down because of the civil strife. Moreover, ongoing civil disturbances in Mogadishu and outlying areas are interfering with any substantial economic advance.

GDP purchasing power parity - $8 billion (1996 est.)

GDP - real growth rate 4% (1996 est.)

GDP - per capita purchasing power parity - $600 (1996 est.)

GDP - composition by sector
agriculture: 59%
industry: 10%
services: 31% (1995 est.)

Inflation rate - consumer price index NA%

Labor force
total: 3.7 million (very few are skilled laborers)(1993 est.)
by occupation: agriculture (mostly pastoral nomadism) 71%, industry and services 29%

Unemployment rate NA%

Budget
revenues: $NA
expenditures: $NA, including capital expenditures of $NA

Industries a few small industries, including sugar refining, textiles, petroleum refining (mostly shut down)

Industrial production growth rate NA%

Electricity - capacity 144,000 kW prior to the civil war, but now largely shut down due to war damage; some localities operate their own generating plants, providing limited municipal power; note - UN and relief organizations use their own portable power systems

Electricity - production 245 million kWh (1995 est.)

Electricity - consumption per capita 33 kWh (1995 est.)

Agriculture - products bananas, sorghum, corn, sugarcane, mangoes, sesame seeds, beans; cattle, sheep, goats; fishing potential largely unexploited

Exports
total value: $130 million (1994 est.)
commodities: bananas, live animals, fish, hides (1997)
partners: Saudi Arabia 57%, Yemen 14%, Italy 13%, UAE 10%, US (bananas) (1995 est.)

Imports
total value: $269 million (1994 est.)
commodities: manufactures, petroleum products, foodstuffs, construction materials (1995)
partners: Kenya 24%, Djibouti 18%, Pakistan 6% (1995 est.)

Debt - external $2.6 billion (1994 est.)

Economic aid
recipient: ODA, $NA

Currency 1 Somali shilling (So. Sh.) = 100 cents

Exchange rates Somali shillings (So. Sh.) per US$1 - 7,500 (November 1997 est.), 7,000 (January 1996 est.), 5,000 (1 January 1995), 2,616 (1 July 1993), 4,200 (December 1992)
note: the Republic of Somaliland, a self-declared independent country not recognized by any government, issues its own currency, the Somaliland shilling (Sol. Sh.); estimated exchange rate, Sol. Sh. per US$1 - 4,000 (November 1997)

Fiscal year NA

NOTE: The information regarding Somalia on this page is re-published from the 1998 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Somalia Economy 1998 information contained here. All suggestions for corrections of any errors about Somalia Economy 1998 should be addressed to the CIA.