agriculture away from the large agroindustrial complexes of the
Soviet era. The agricultural sector has long-term needs for more
investment and updated technology. The privatization of industry has
been at a slower pace, but has been given renewed emphasis by the
current administration. Armenia is a food importer, and its mineral
deposits (copper, gold, bauxite) are small. The ongoing conflict
with Azerbaijan over the ethnic Armenian-dominated region of
Nagorno-Karabakh and the breakup of the centrally directed economic
system of the former Soviet Union contributed to a severe economic
decline in the early 1990s. By 1994, however, the Armenian
Government had launched an ambitious IMF-sponsored economic
liberalization program that resulted in positive growth rates in
1995-2003. Armenia joined the WTrO in January 2003. Armenia also has
managed to slash inflation, stabilize the local currency (the dram),
and privatize most small- and medium-sized enterprises. The chronic
energy shortages Armenia suffered in the early and mid-1990s have
been offset by the energy supplied by one of its nuclear power
plants at Metsamor. Armenia is now a net energy exporter, although
it does not have sufficient generating capacity to replace Metsamor,
which is under international pressure to close. The electricity
distribution system was privatized in 2002. Armenia's severe trade
imbalance has been offset somewhat by international aid and foreign
direct investment. Economic ties with Russia remain close,
especially in the energy sector.

Aruba
Tourism is the mainstay of the small, open Aruban economy,
with offshore banking and oil refining and storage also important.
The rapid growth of the tourism sector over the last decade has
resulted in a substantial expansion of other activities.
Construction has boomed, with hotel capacity five times the 1985
level. In addition, the reopening of the country's oil refinery in
1993, a major source of employment and foreign exchange earnings,
has further spurred growth. Aruba's small labor force and low
unemployment rate have led to a large number of unfilled job
vacancies, despite sharp rises in wage rates in recent years.
Tourist arrivals have declined in the aftermath of the 11 September
2001 terrorist attacks on the US. The government now must deal with
a budget deficit and a negative trade balance.

Ashmore and Cartier Islands