, increased deficit spending on security
needs, and investor uncertainty. Growth barely recovered in 2002 to
0.9%, then averaged 4% per year during 2003-07, expanding to 5.1% in
2007. Macedonia has maintained macroeconomic stability with low
inflation, but it has so far lagged the region in attracting foreign
investment and creating jobs, despite making extensive fiscal and
business sector reforms. Official unemployment remains high at
nearly 35%, but may be overstated based on the existence of an
extensive gray market, estimated to be more than 20 percent of GDP,
that is not captured by official statistics.

GDP (purchasing power parity):

$17.35 billion
note: Macedonia has a large informal sector (2007 est.)

GDP (official exchange rate):

$7.497 billion (2007 est.)

GDP - real growth rate:

5.1% (2007 est.)

GDP - per capita (PPP):

$8,400 (2007 est.)

GDP - composition by sector:

agriculture: 11.9%
industry: 28.2%
services: 59.9% (2007 est.)

Labor force:

890,000 (2007 est.)

Labor force - by occupation:

agriculture: 19.6%
industry: 30.4%
services: 50% (September 2007)

Unemployment rate:

34.9% (2007 est.)

Population below poverty line:

29.8% (2006)

Household income or consumption by percentage share:

lowest 10%: 2.4%
highest 10%: 29.6% (2003)

Distribution of family income - Gini index:

39 (2003)

Investment (gross fixed):

17.7% of GDP (2007 est.)

Budget:

revenues: $2.508 billion
expenditures: $2.487 billion (2007 est.)

Fiscal year:

calendar year

Public debt:

30.8% of GDP (2007 est.)

Inflation rate (consumer prices):

2.3% (2007 est.)

Central bank discount rate:

6.5% (31 December 2007)

Commercial bank prime lending rate:

10.23% (31 December 2007)

Stock of money:

$1.173 billion (31 December 2007)

Stock of quasi money:

$3.127 billion (31 December 2007)

Stock of domestic credit:

$2.924 billion (31 December 2007)

Agriculture - products:

grapes, wine, tobacco, vegetables, fruits; milk, eggs

Industries:

food processing, beverages, textiles, chemicals, iron, steel,
cement, energy, pharmaceuticals

Industrial production growth rate:

1.7% (2007 est.)

Electricity - production:

6.051 billion kWh (2007)

Electricity - consumption:

8.651 billion kWh (2007)

Electricity - exports:

0 kWh (2007 est.)

Electricity - imports:

2.6 billion kWh (2007)