d new developments in software
production, biotechnology, and financial services are taking place.
The tourism sector is also expanding, with the recent trends in
ecotourism and whale watching. Growth has been remarkably steady
over the past five years at 4%-5%.

India:
India's economy encompasses traditional village farming,
modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of support services. More than a third of the
population is too poor to be able to afford an adequate diet.
India's international payments position remained strong in 2000 with
adequate foreign exchange reserves, moderately depreciating nominal
exchange rates, and booming exports of software services. Growth in
manufacturing output slowed, and electricity shortages continue in
many regions.

Indian Ocean:
The Indian Ocean provides major sea routes connecting
the Middle East, Africa, and East Asia with Europe and the Americas.
It carries a particularly heavy traffic of petroleum and petroleum
products from the oilfields of the Persian Gulf and Indonesia. Its
fish are of great and growing importance to the bordering countries
for domestic consumption and export. Fishing fleets from Russia,
Japan, South Korea, and Taiwan also exploit the Indian Ocean, mainly
for shrimp and tuna. Large reserves of hydrocarbons are being tapped
in the offshore areas of Saudi Arabia, Iran, India, and western
Australia. An estimated 40% of the world's offshore oil production
comes from the Indian Ocean. Beach sands rich in heavy minerals and
offshore placer deposits are actively exploited by bordering
countries, particularly India, South Africa, Indonesia, Sri Lanka,
and Thailand.

Indonesia:
Indonesia, a vast polyglot nation, faces severe economic
problems, stemming from secessionist movements and the low level of
security in the regions, the lack of reliable legal recourse in
contract disputes, corruption, weaknesses in the banking system, and
strained relations with the IMF. Investor confidence will remain low
and few new jobs will be created under these circumstances. Growth
of 4.8% in 2000 is not sustainable, being attributable to favorable
short-term factors, including high world oil prices, a surge in
nonoil exports, and increased domestic demand for consumer durables.

Iran:
Iran's economy is a mixture of central planning, state
ownership of oil an