pered by political uncertainties ahead of elections, corruption,
and widespread lack of trust in institutions. President PUTIN
continues to grant more influence to forces within his government
that desire to reassert state control over the economy. Government
spending has increased and risks becoming populist, most notably in
the form of the four "national projects" of agriculture, education,
housing, and medicine. Russia has made little progress in building
the rule of law, the bedrock of a modern market economy.

Rwanda
Rwanda is a poor rural country with about 90% of the
population engaged in (mainly subsistence) agriculture. It is the
most densely populated country in Africa and is landlocked with few
natural resources and minimal industry. Primary foreign exchange
earners are coffee and tea. The 1994 genocide decimated Rwanda's
fragile economic base, severely impoverished the population,
particularly women, and eroded the country's ability to attract
private and external investment. However, Rwanda has made
substantial progress in stabilizing and rehabilitating its economy
to pre-1994 levels, although poverty levels are higher now. GDP has
rebounded and inflation has been curbed. Despite Rwanda's fertile
ecosystem, food production often does not keep pace with population
growth, requiring food imports. Rwanda continues to receive
substantial aid money and obtained IMF-World Bank Heavily Indebted
Poor Country (HIPC) initiative debt relief in 2005. Kigali's high
defense expenditures have caused tension between the government and
international donors and lending agencies. Rwanda obtained debt
relief from the IMF and World Bank in 2006. Rwanda also received
Millennium Challenge Account Threshold status in 2006. Energy
shortages, instability in neighboring states, and lack of adequate
transportation linkages to other countries continue to handicap
growth.

Saint Helena
The economy depends largely on financial assistance
from the UK, which amounted to about $5 million in 1997 or almost
one-half of annual budgetary revenues. The local population earns
income from fishing, raising livestock, and sales of handicrafts.
Because there are few jobs, 25% of the work force has left to seek
employment on Ascension Island, on the Falklands, and in the UK.

Saint Kitts and Nevis
Sugar was the traditional mainstay of the
Saint Kitts economy until the 1970