ought. Chronic instability - including the
long-standing civil war between the Muslim north and the
Christian/pagan south, adverse weather, and weak world agricultural
prices - ensure that much of the population will remain at or below
the poverty line for years.
Suriname
The economy is dominated by the alumina industry, which
accounts for more than 15% of GDP and 70% of export earnings.
Suriname's economic prospects for the medium term will depend on
continued commitment to responsible monetary and fiscal policies and
to the introduction of structural reforms to liberalize markets and
promote competition. The government of Ronald VENETIAAN has begun an
austerity program, raised taxes, and attempted to control spending.
While - in 2002 - President VENETIAAN agreed to a large pay raise
for civil servants, threatening his earlier gains in stabilizing the
economy, he has not repeated this promise in the run-up to the May
2005 elections. The Dutch Government has agreed to restart the aid
flow, which will allow Suriname to access international development
financing, but plans to phase out funds over the next five years.
The short-term economic outlook depends on the government's ability
to control inflation and on the development of projects in the
bauxite and gold mining sectors. Prospects for local onshore oil
production are good, as a drilling program is underway. Offshore oil
drilling was given a boost in 2004 when the State Oil Company
(Staatsolie) signed exploration agreements with Repsol and Mearsk.
Svalbard
Coal mining is the major economic activity on Svalbard. The
treaty of 9 February 1920 gives the 41 signatories equal rights to
exploit mineral deposits, subject to Norwegian regulation. Although
US, UK, Dutch, and Swedish coal companies have mined in the past,
the only companies still mining are Norwegian and Russian. The
settlements on Svalbard are essentially company towns. The Norwegian
state-owned coal company employs nearly 60% of the Norwegian
population on the island, runs many of the local services, and
provides most of the local infrastructure. There is also some
hunting of seal, reindeer, and fox.
Swaziland
In this small, landlocked economy, subsistence agriculture
occupies more than 80% of the population. The manufacturing sector
has diversified since the mid-1980s. Sugar and wood pulp remain
important foreign exchange ea
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