vertical bands of green (hoist side), yellow, and red
with a small green five-pointed star centered in the yellow band;
uses the popular pan-African colors of Ethiopia

Economy
Senegal

Economy - overview:

In January 1994, Senegal undertook a bold and ambitious economic
reform program with the support of the international donor
community. This reform began with a 50% devaluation of Senegal's
currency, the CFA franc, which was linked at a fixed rate to the
French franc. Government price controls and subsidies have been
steadily dismantled. After seeing its economy contract by 2.1% in
1993, Senegal made an important turnaround, thanks to the reform
program, with real growth in GDP averaging over 5% annually during
1995-2007. Annual inflation had been pushed down to the low single
digits. As a member of the West African Economic and Monetary Union
(WAEMU), Senegal is working toward greater regional integration with
a unified external tariff and a more stable monetary policy. High
unemployment, however, continues to prompt illegal migrants to flee
Senegal in search of better job opportunities in Europe. Senegal was
also beset by an energy crisis that caused widespread blackouts in
2006 and 2007. The phosphate industry has struggled for two years to
secure capital, and reduced output has directly impacted GDP. In
2007, Senegal signed agreements for major new mining concessions for
iron, zircon, and gold with foreign companies. Firms from Dubai have
agreed to manage and modernize Dakar's maritime port, and create a
new special economic zone. Senegal still relies heavily upon outside
donor assistance. Under the IMF's Highly Indebted Poor Countries
(HIPC) debt relief program, Senegal has benefited from eradication
of two-thirds of its bilateral, multilateral, and private-sector
debt. In 2007, Senegal and the IMF agreed to a new, non-disbursing,
Policy Support Initiative program.

GDP (purchasing power parity):

$21.02 billion (2007 est.)

GDP (official exchange rate):

$11.12 billion (2007 est.)

GDP - real growth rate:

4.6% (2007 est.)

GDP - per capita (PPP):

$1,700 (2007 est.)

GDP - composition by sector:

agriculture: 16%
industry: 19.4%
services: 64.6% (2007 est.)

Labor force:

4.85 million (2007 est.)

Labor force - by occupation:

agriculture: 77.5%
industry and services: 22.5% (2007 est.)

Unemployment rate:

48% (2007 est.)

Population below poverty line: