nd
handicrafts, an industrial sector based largely on oil, support services,
and a government characterized by budget problems and overstaffing. Oil
has supplanted forestry as the mainstay of the economy, providing a
major share of government revenues and exports. In the early 1980s,
rapidly rising oil revenues enabled the government to finance large-scale
development projects with GDP growth averaging 5% annually, one of the
highest rates in Africa. The government has mortgaged a substantial
portion of its oil earnings, contributing to a shortage of revenues. The
12 January 1994 devaluation of Franc Zone currencies by 50% resulted
in inflation of 61% in 1994, but inflation has subsided since. Economic
reform efforts continued with the support of international organizations,
notably the World Bank and the IMF. The reform program came to a
halt in June 1997 when civil war erupted. Denis SASSOU-NGUESSO, who
returned to power when the war ended in October 1997, publicly expressed
interest in moving forward on economic reforms and privatization and
in renewing cooperation with international financial institutions.
However, economic progress was badly hurt by slumping oil prices and
the resumption of armed conflict in December 1998, which worsened the
republic's budget deficit. Given a fragile peace, agreements with the IMF
and the World Bank, and general international support for reconstruction
and development, prospects for structural reform and 4% growth in 2002-03
appear strong.

GDP: purchasing power parity - $2.5 billion (2001 est.)

GDP - real growth rate: 4.2% (2001 est.)

GDP - per capita: purchasing power parity - $900 (2001 est.)

GDP - composition by sector: agriculture: 10% industry: 48% services:
42% (2001 est.)

Population below poverty line: NA%

Household income or consumption by percentage share: lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices): 3% (2001 est.)

Labor force: NA

Unemployment rate: NA%

Budget: revenues: $870 million expenditures: $970 million, including
capital expenditures of $NA (1997 est.)

Industries: petroleum extraction, cement, lumber, brewing, sugar,
palm oil, soap, flour, cigarettes

Industrial production growth rate: NA%

Electricity - production: 302 million kWh (1999)

Electricity - production by source: fossil fuel: 0.66% hydro: 99.34%
other: 0% (1999) nuclear: 0%

Electricity - consumption: 406.9 million kWh (1999)

Electri