conomy Venezuela

Economy - overview:
Venezuela remains highly dependent on oil revenues, which account
for roughly 90% of export earnings, more than 50% of the federal
budget revenues, and around 30% of GDP. Tax collection-Venezuela's
primary source of non-oil revenue-is expected to surpass $23 billion
in 2006, exceeding the yearend collection goal by more than 20%. A
nationwide strike between December 2002 and February 2003 had
far-reaching economic consequences - real GDP declined by around 9%
in 2002 and 8% in 2003 - but economic output since then has
recovered strongly. Fueled by higher oil prices, record government
spending helped to boost GDP growth in 2004 and 2005 to
approximately 18% and 11%, respectively. Economic growth in 2006
reached around 9%. This spending, combined with recent minimum wage
hikes and improved access to domestic credit, has fueled a
consumption boom - car sales in 2006 increased by around 70% - but
has come at the cost of higher inflation. Despite government
attempts to withdraw liquidity from the economy, Venezuela's money
supply set a record in June 2006, approximately 70% higher than the
previous year. Imports have also jumped significantly.

GDP (purchasing power parity):
$176.4 billion (2006 est.)

GDP (official exchange rate):
$147.9 billion (2006 est.)

GDP - real growth rate:
8.8% (2006 est.)

GDP - per capita (PPP):
$6,900 (2006 est.)

GDP - composition by sector:
agriculture: 3.7%
industry: 41%
services: 55.3% (2006 est.)

Labor force:
12.5 million (November 2006 est.)

Labor force - by occupation:
agriculture: 13%
industry: 23%
services: 64% (1997 est.)

Unemployment rate:
8.9% (October 2006 est.)

Population below poverty line:
37.9% (End 2005 est.)

Household income or consumption by percentage share:
lowest 10%: 0.8%
highest 10%: 36.5% (1998)

Distribution of family income - Gini index:
49.1 (1998)

Inflation rate (consumer prices):
15.8% (2006 est.)

Investment (gross fixed):
19.8% of GDP (2006 est.)

Budget:
revenues: $52.24 billion
expenditures: $52.9 billion; including capital expenditures of $2.6
billion (2006 est.)

Public debt:
28.4% of GDP (2006 est.)

Agriculture - products:
corn, sorghum, sugarcane, rice, bananas, vegetables, coffee; beef,
pork, milk, eggs; fish

Industries:
petroleum, construction materials, food processing, textiles; i