exception of fish,
it depends almost wholly on food imports. About 75% of potable water
must be distilled or imported. Kuwait continues its discussions with
foreign oil companies to develop fields in the northern part of the
country.

Kyrgyzstan
Kyrgyzstan is a poor, mountainous country with a
predominantly agricultural economy. Cotton, tobacco, wool, and meat
are the main agricultural products, although only tobacco and cotton
are exported in any quantity. Industrial exports include gold,
mercury, uranium, and natural gas and electricity. Kyrgyzstan has
been fairly progressive in carrying out market reforms, such as an
improved regulatory system and land reform. Kyrgyzstan was the first
CIS country to be accepted into the World Trade Organization. With
fits and starts, inflation has been lowered to an estimated 7% in
2001, 2.1% in 2002, 4% in 2003, and 3.2% in 2004. Much of the
government's stock in enterprises has been sold. Drops in production
had been severe after the breakup of the Soviet Union in December
1991, but by mid-1995 production began to recover and exports began
to increase. Kyrgyzstan has distinguished itself by adopting
relatively liberal economic policies. The drop in output at the
Kumtor gold mine sparked a 0.5% decline in GDP in 2002, but GDP
growth bounced back to 6% in 2003 and 2004. The government has made
steady strides in controlling its substantial fiscal deficit and
aims to reduce the deficit to 3% of GDP in 2004. The government and
the international financial institutions have been engaged in a
comprehensive medium-term poverty reduction and economic growth
strategy. Further restructuring of domestic industry and success in
attracting foreign investment are keys to future growth.

Laos
The government of Laos - one of the few remaining official
Communist states - began decentralizing control and encouraging
private enterprise in 1986. The results, starting from an extremely
low base, were striking - growth averaged 6% in 1988-2004 except
during the short-lived drop caused by the Asian financial crisis
beginning in 1997. Despite this high growth rate, Laos remains a
country with a primitive infrastructure; it has no railroads, a
rudimentary road system, and limited external and internal
telecommunications. The government has sponsored major improvements
in the road system. Electricity is available in only a few urba