ainly of light industries with outmoded
technologies. Domestic output (GDP) is substantially augmented by
worker remittances from abroad. Government revenues come from custom
duties and taxes on income and sales. Road construction is a top
domestic priority. In the long term, Eritrea may benefit from the
development of offshore oil, offshore fishing, and tourism.
Eritrea's economic future depends on its ability to master
fundamental social and economic problems, e.g., by reducing
illiteracy, promoting job creation, expanding technical training,
attracting foreign investment, and streamlining the bureaucracy.
Eritrea's agriculture over the last two years was severely weakened
by war and drought, and many farmlands must wait to be demined.
Another major difficulty is the ports, which prior to the war were
Ethiopia's preferred outlets but since have seen trade dry up.

Estonia:
In 2000, Estonia rebounded from the Russian financial
crisis by scaling back its budget and reorienting trade away from
Russian markets into EU member states. After GDP shrank 1.1% in
1999, the economy made a strong recovery in 2000, with growth
estimated at 6.4% - the highest in Central and Eastern Europe.
Estonia joined the World Trade Organization in November 1999 - the
second Baltic state to join - and continues its EU accession talks.
For 2001, Estonians predict GDP to grow around 6%, inflation of
between 4.2%-5.3%, and a balanced budget. Substantial gains were
made in completing privatization of Estonia's few remaining large,
state-owned companies in 2000, and this momentum is expected to
continue in 2001. Estonia hopes to join the EU during the next round
of enlargement tentatively set for 2004.

Ethiopia:
Ethiopia's economy is based on agriculture, which accounts
for half of GDP, 90% of exports, and 80% of total employment. The
agricultural sector suffers from frequent periods of drought and
poor cultivation practices, and as many as 4.6 million people need
food assistance annually. Coffee is critical to the Ethiopian
economy, and Ethiopia earned $267 million in 1999 by exporting
105,000 metric tons. According to current estimates, coffee
contributes 10% of Ethiopia's GDP. More than 15 million people (25%
of the population) derive their livelihood from the coffee sector.
Other exports include live animals, hides, gold, and qat. In
December 1999, Ethiopia signed a $