prices of coffee and tea.

Saint Helena:
The economy depends largely on financial assistance
from the UK, which amounted to about $5 million in 1997 or almost
one-half of annual budgetary revenues. The local population earns
income from fishing, the raising of livestock, and sales of
handicrafts. Because there are few jobs, 25% of the work force has
left to seek employment on Ascension Island, on the Falklands, and
in the UK.

Saint Kitts and Nevis:
The economy has traditionally depended on the
growing and processing of sugarcane; decreasing world prices have
hurt the industry in recent years. Tourism, export-oriented
manufacturing, and offshore banking activity have assumed larger
roles. Most food is imported. The government has undertaken a
program designed to revitalize the faltering sugar sector. It is
also working to improve revenue collection in order to better fund
social programs. In 1997 some leaders in Nevis were urging
separation from Saint Kitts on the basis that Nevis was paying far
more in taxes than it was receiving in government services, but the
vote on cessation failed in August 1998. In late September 1998,
Hurricane Georges caused approximately $445 million in damages and
limited GDP growth for the year.

Saint Lucia:
The recent changes in the EU import preference regime
and the increased competition from Latin American bananas have made
economic diversification increasingly important in Saint Lucia.
Improvement in the construction sector and growth of the tourism
industry helped expand GDP in 1998-99. The agriculture sector
registered its fifth year of decline in 1997 primarily because of a
severe decline in banana production. The manufacturing sector is the
most diverse in the Eastern Caribbean, and the government is
beginning to develop regulations for the small offshore financial
sector.

Saint Pierre and Miquelon:
The inhabitants have traditionally earned
their livelihood by fishing and by servicing fishing fleets
operating off the coast of Newfoundland. The economy has been
declining, however, because of disputes with Canada over fishing
quotas and a steady decline in the number of ships stopping at Saint
Pierre. In 1992, an arbitration panel awarded the islands an
exclusive economic zone of 12,348 sq km to settle a longstanding
territorial dispute with Canada, although it represents only 25% of
what France