and
continuing donor aid and attention to raise Afghanistan's living
standards up from its current status among the lowest in the world.
Much of the population continues to suffer from shortages of
housing, clean water, electricity, medical care, and jobs, but the
Afghan government and international donors remain committed to
improving access to these basic necessities by prioritizing
infrastructure development, education, housing development, jobs
programs, and economic reform over the next year. Growing political
stability and continued international commitment to Afghan
reconstruction create an optimistic outlook for maintaining
improvements in the Afghan economy in 2005. Expanding poppy
cultivation and a growing opium trade may account for one-third of
GDP and looms as one of Kabul's most serious policy challenges.

Akrotiri
Economic activity is limited to providing services to the
military and their families located in Akrotiri. All food and
manufactured goods must be imported.

Albania
Poor and backward by European standards, Albania is making
the difficult transition to a more modern open-market economy. The
government has taken measures to curb violent crime and to spur
economic activity and trade. The economy is bolstered by annual
remittances from abroad of $600-$800 million, mostly from Greece and
Italy; this helps offset the towering trade deficit. Agriculture,
which accounts for about one-half of GDP, is held back because of
frequent drought and the need to modernize equipment, to clarify
property rights, and to consolidate small plots of land. Energy
shortages and antiquated and inadequate infrastructure make it
difficult to attract and sustain foreign investment. The planned
construction of a new thermal power plant near Vlore and improved
transmission and distribution facilities will help relieve the
energy shortages. Also, the government is moving slowly to improve
the poor national road and rail network, a long-standing barrier to
sustained economic growth. On the positive side: growth was strong
in 2003 and 2004, the nation has important oil and gas reserves, and
inflation is not a problem.

Algeria
The hydrocarbons sector is the backbone of the economy,
accounting for roughly 60% of budget revenues, 30% of GDP, and over
95% of export earnings. Algeria has the seventh-largest reserves of
natural gas in the world and is