side by side in the center of the yellow band and a red isosceles
triangle based on the hoist side; uses the popular pan-African colors
of Ethiopia

@Sao Tome and Principe:Economy

Economy - overview: This small poor island economy has become
increasingly dependent on cocoa since independence 25 years ago.
However, cocoa production has substantially declined because of
drought and mismanagement. The resulting shortage of cocoa for export
has created a persistent balance-of-payments problem. Sao Tome has to
import all fuels, most manufactured goods, consumer goods, and a
significant amount of food. Over the years, it has been unable to
service its external debt and has had to depend on concessional aid
and debt rescheduling. Considerable potential exists for development
of a tourist industry, and the government has taken steps to expand
facilities in recent years. The government also has attempted to
reduce price controls and subsidies, but economic growth has remained
sluggish. Sao Tome is also optimistic that significant petroleum
discoveries are forthcoming in its territorial waters in the oil-rich
waters of the Gulf of Guinea. Corruption scandals continue to weaken
the economy.

GDP: purchasing power parity - $169 million (1999 est.)

GDP - real growth rate: 1.5% (1999 est.)

GDP - per capita: purchasing power parity - $1,100 (1999 est.)

GDP - composition by sector:
agriculture: 23%
industry: 19%
services: 58% (1997 est.)

Population below poverty line: NA%

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

Inflation rate (consumer prices): 10.5% (yearend 1999 est.)

Labor force: NA

Labor force - by occupation: population mainly engaged in subsistence
agriculture and fishing
note: shortages of skilled workers

Unemployment rate: 50% in the formal business sector (1998 est.)

Budget:
revenues: $58 million
expenditures: $114 million, including capital expenditures of $54
million (1993 est.)

Industries: light construction, textiles, soap, beer; fish processing;
timber

Industrial production growth rate: NA%

Electricity - production: 15 million kWh (1998)

Electricity - production by source:
fossil fuel: 46.67%
hydro: 53.33%
nuclear: 0%
other: 0% (1998)

Electricity - consumption: 14 million kWh (1998)

Electricity - exports: 0 kWh (1998)

Electricity - imports: 0 kWh (1998)

Agriculture - products: cocoa, coconuts, palm kernels, copra,
cinn