Haiti Economy Profile 2008

Economy - overview

Haiti is the poorest country in the Western Hemisphere, with 80% of the population living under the poverty line and 54% in abject poverty. Two-thirds of all Haitians depend on the agricultural sector, mainly small-scale subsistence farming, and remain vulnerable to damage from frequent natural disasters, exacerbated by the country's widespread deforestation. A macroeconomic program developed in 2005 with the help of the International Monetary Fund helped the economy grow 3.5% in 2007, the highest growth rate since 1999. US economic engagement under the Haitian Hemispheric Opportunity through Partnership Encouragement (HOPE) Act, passed in December 2006, has boosted the garment and automotive parts exports and investment by providing tariff-free access to the US. Haiti suffers from high inflation, a lack of investment because of insecurity and limited infrastructure, and a severe trade deficit. In 2005, Haiti paid its arrears to the World Bank, paving the way for reengagement with the Bank. The government relies on formal international economic assistance for fiscal sustainability. Remittances are the primary source of foreign exchange, equaling nearly a quarter of GDP and more than twice the earnings from exports.

GDP (purchasing power parity)

$15.82 billion (2007 est.)

GDP (official exchange rate)

$5.295 billion (2007 est.)

GDP - real growth rate

3.5% (2007 est.)

GDP - per capita (PPP)

$1,900 (2007 est.)

GDP - composition by sector

agriculture: 28%
industry: 20%
services: 52% (2004 est.)

Population below poverty line

80% (2003 est.)

Household income or consumption by percentage share

lowest 10%: 0.7%
highest 10%: 47.7% (2001)

Inflation rate (consumer prices)

8.9% (2007 est.)

Investment (gross fixed)

28.9% of GDP (2006 est.)

Labor force

3.6 million
note: shortage of skilled labor, unskilled labor abundant (1995)

Labor force - by occupation

agriculture: 66%
industry: 9%
services: 25% (1995)

Unemployment rate

widespread unemployment and underemployment; more than two-thirds of the labor force do not have formal jobs (2002 est.)

Distribution of family income - Gini index

59.2 (2001)

Budget

revenues: $918.6 million
expenditures: $1.036 billion (2007 est.)

Industries

sugar refining, flour milling, textiles, cement, light assembly based on imported parts

Industrial production growth rate

2.5% (2007 est.)

Electricity - production

535 million kWh (2005)

Electricity - consumption

322 million kWh (2005)

Electricity - exports

0 kWh (2005)

Electricity - imports

0 kWh (2005)

Oil - production

0 bbl/day (2005 est.)

Oil - consumption

12,000 bbl/day (2005 est.)

Oil - imports

11,840 bbl/day (2004)

Oil - exports

0 bbl/day (2004)

Oil - proved reserves

0 bbl (1 January 2006 est.)

Natural gas - production

0 cu m (2005 est.)

Natural gas - consumption

0 cu m (2005 est.)

Natural gas - exports

0 cu m (2005 est.)

Natural gas - imports

0 cu m (2005)

Natural gas - proved reserves

0 cu m (1 January 2006 est.)

Current Account Balance

-$184.8 million (2007 est.)

Agriculture - products

coffee, mangoes, sugarcane, rice, corn, sorghum; wood

Exports

$554.8 million f.o.b. (2007 est.)

Exports - commodities

apparel, manufactures, oils, cocoa, mangoes, coffee

Exports - partners

US 79.8%, Dominican Republic 7.6%, Canada 3% (2006)

Imports

$1.844 billion f.o.b. (2007 est.)

Imports - commodities

food, manufactured goods, machinery and transport equipment, fuels, raw materials

Imports - partners

US 46.5%, Netherlands Antilles 11.9%, Brazil 3.8% (2006)

Reserves of foreign exchange and gold

$220.6 million (31 December 2007 est.)

Debt - external

$1.248 billion (31 December 2007 est.)

Market value of publicly traded shares

$NA

Economic aid - recipient

$515 million (2005 est.)

Currency (code)

gourde (HTG)

Exchange rates

gourdes per US dollar - 37.138 (2007), 40.232 (2006), 40.449 (2005), 38.352 (2004), 42.367 (2003)

Fiscal year

1 October - 30 September