export base in agricultural goods. Squash, coconuts, bananas, and
vanilla beans are the main crops, and agricultural exports make up
two-thirds of total exports. The country must import a high
proportion of its food, mainly from New Zealand. Tourism is the
second largest source of hard currency earnings following
remittances. The country remains dependent on external aid and
remittances from Tongan communities overseas to offset its trade
deficit. The government is emphasizing the development of the
private sector, especially the encouragement of investment, and is
committing increased funds for health and education. Tonga has a
reasonably sound basic infrastructure and well-developed social
services. High unemployment among the young, a continuing upturn in
inflation, and rising civil service expenditures are major issues
facing the government.

GDP (purchasing power parity):
$244 million (2002 est.)

GDP - real growth rate:
1.5% (2002 est.)

GDP - per capita:
purchasing power parity - $2,300 (2002 est.)

GDP - composition by sector:
agriculture: 23%
industry: 13%
services: 64% (2002 est.)

Labor force:
33,910 (1996)

Labor force - by occupation:
agriculture 65% (1997 est.)

Unemployment rate:
13.3% (1996 est.)

Population below poverty line:
NA

Household income or consumption by percentage share:
lowest 10%: NA
highest 10%: NA

Inflation rate (consumer prices):
10.3% (2002 est.)

Budget:
revenues: $39.9 million
expenditures: $52.4 million, including capital expenditures of $1.9
million (FY99/00 est.)

Agriculture - products:
squash, coconuts, copra, bananas, vanilla beans, cocoa, coffee,
ginger, black pepper; fish

Industries:
tourism, fishing

Industrial production growth rate:
8.6% (FY98/99)

Electricity - production:
24.79 million kWh (2002)

Electricity - production by source:
fossil fuel: 100%
hydro: 0%
nuclear: 0%
other: 0% (2001)

Electricity - consumption:
23.06 million kWh (2002)

Electricity - exports:
0 kWh (2002)

Electricity - imports:
0 kWh (2002)

Oil - production:
0 bbl/day (2001 est.)

Oil - consumption:
1,000 bbl/day (2001 est.)

Oil - exports:
NA

Oil - imports:
NA

Exports:
$27 million f.o.b. (2002 est.)

Exports - commodities:
squash, fish, vanilla beans, root crops

Exports - partners:
Japan 37.1%, China 18.7%, US 17.7%, Taiwan 8.7%, New