lity a
large proportion of the population remains poor. Gabon depended on
timber and manganese until oil was discovered offshore in the early
1970s. The oil sector now accounts for 50% of GDP. Gabon continues to
face fluctuating prices for its oil, timber, manganese, and uranium
exports. Despite the abundance of natural wealth, the economy is
hobbled by poor fiscal management. In 1992, the fiscal deficit widened
to 2.4% of GDP, and Gabon failed to settle arrears on its bilateral
debt, leading to a cancellation of rescheduling agreements with
official and private creditors. Devaluation of its Francophone
currency by 50% on 12 January 1994 sparked a one-time inflationary
surge, to 35%; the rate dropped to 6% in 1996. The IMF provided a
one-year standby arrangement in 1994-95 and a three-year Enhanced
Financing Facility (EFF) at near commercial rates beginning in late
1995. Those agreements mandate progress in privatization and fiscal
discipline. France provided additional financial support in January
1997 after Gabon had met IMF targets for mid-1996. In 1997, an IMF
mission to Gabon criticized the government for overspending on
off-budget items, overborrowing from the central bank, and slipping on
its schedule for privatization and administrative reform. The rebound
of oil prices in 1999 helped growth, but drops in production hampered
Gabon from fully realizing potential gains. With support from higher
oil prices, growth will move up in 2000-01.

GDP: purchasing power parity - $7.9 billion (1999 est.)

GDP - real growth rate: 1.7% (1999 est.)

GDP - per capita: purchasing power parity - $6,500 (1999 est.)

GDP - composition by sector:
agriculture: 10%
industry: 60%
services: 30% (1999 est.)

Population below poverty line: NA%

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

Inflation rate (consumer prices): 2.9% (1999 est.)

Labor force: 600,000

Labor force - by occupation: agriculture 60%, services and government
25%, industry and commerce 15%

Unemployment rate: 21% (1997 est.)

Budget:
revenues: $1.5 billion
expenditures: $1.3 billion, including capital expenditures of $302
million (1996 est.)

Industries: food and beverage; textile; lumbering and plywood; cement;
petroleum extraction and refining; manganese, uranium, and gold
mining; chemicals; ship repair

Industrial production growth rate: 2.3% (1995)

Electricity - production: 1.025 billion kWh (1998)