ing relations
with Australia, its former colonial ruler. Other socio-cultural
challenges could upend the economy including a worsening HIV/AIDS
epidemic and chronic law and order and land tenure issues. Australia
will supply more than $300 million in aid in FY07/08, which accounts
for nearly 20% of the national budget.

GDP (purchasing power parity):

$12.05 billion (2007 est.)

GDP (official exchange rate):

$6.001 billion (2007 est.)

GDP - real growth rate:

6% (2007 est.)

GDP - per capita (PPP):

$2,100 (2007 est.)

GDP - composition by sector:

agriculture: 34%
industry: 37.3%
services: 28.7% (2007 est.)

Labor force:

3.557 million (2007 est.)

Labor force - by occupation:

agriculture: 85%
industry: NA%
services: NA% (2005 est.)

Unemployment rate:

1.9% up to 80% in urban areas (2004)

Population below poverty line:

37% (2002 est.)

Household income or consumption by percentage share:

lowest 10%: 1.7%
highest 10%: 40.5% (1996)

Distribution of family income - Gini index:

50.9 (1996)

Investment (gross fixed):

19.3% of GDP (2007 est.)

Budget:

revenues: $2.363 billion
expenditures: $2.21 billion (2007 est.)

Fiscal year:

calendar year

Public debt:

40.1% of GDP (2007 est.)

Inflation rate (consumer prices):

0.9% (2007 est.)

Central bank discount rate:

7.38% (31 December 2007)

Commercial bank prime lending rate:

9.78% (31 December 2007)

Stock of money:

$1.685 billion (31 December 2007)

Stock of quasi money:

$1.482 billion (31 December 2007)

Stock of domestic credit:

$1.486 billion (31 December 2007)

Agriculture - products:

coffee, cocoa, copra, palm kernels, tea, sugar, rubber, sweet
potatoes, fruit, vegetables, vanilla; shell fish, poultry, pork

Industries:

copra crushing, palm oil processing, plywood production, wood chip
production; mining of gold, silver, and copper; crude oil
production, petroleum refining; construction, tourism

Industrial production growth rate:

6.4% (2007 est.)

Electricity - production:

2.875 billion kWh (2006 est.)

Electricity - consumption:

2.674 billion kWh (2006 est.)

Electricity - exports:

0 kWh (2007 est.)

Electricity - imports:

0 kWh (2007 est.)

Electricity - production by source:

fossil fuel: 54.1%
hydro: 45.9%
nuclear: 0%
other: 0% (2001)

Oil - production:

42,100 bbl/day (2008 est.)