Seychelles Economy Profile 2008

Economy - overview

Since independence in 1976, per capita output in this Indian Ocean archipelago has expanded to roughly seven times the pre-independence, near-subsistence level, moving the island into the upper-middle income group of countries. Growth has been led by the tourist sector, which employs about 30% of the labor force and provides more than 70% of hard currency earnings, and by tuna fishing. In recent years, the government has encouraged foreign investment to upgrade hotels and other services. At the same time, the government has moved to reduce the dependence on tourism by promoting the development of farming, fishing, and small-scale manufacturing. Sharp drops illustrated the vulnerability of the tourist sector in 1991-92 due largely to the Gulf War and once again following the 11 September 2001 terrorist attacks on the US. Economic growth slowed in 1998-2002 and fell in 2003-04, due to sluggish tourist and tuna sectors, but resumed in 2005-07. Real GDP grew by 5.8% in 2007, driven by tourism and a boom in tourism-related construction. The Seychelles rupee was allowed to depreciate in 2006 after being overvalued for years and fell by 10% in the first 9 months of 2007.

GDP (purchasing power parity)

$1.655 billion (2007 est.)

GDP (official exchange rate)

$733 million (2007 est.)

GDP - real growth rate

5.8% (2007 est.)

GDP - per capita (PPP)

$18,400 (2007 est.)

GDP - composition by sector

agriculture: 2.4%
industry: 25.6%
services: 72% (2007 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% (2007 est.)

Investment (gross fixed)

13.2% of GDP (2007 est.)

Labor force

39,560 (2006)

Labor force - by occupation

agriculture: 3%
industry: 23%
services: 74% (2006)

Unemployment rate

2% (2006 est.)

Budget

revenues: $380.9 million
expenditures: $361.2 million (2007 est.)

Public debt

143.3% of GDP (2007 est.)

Industries

fishing, tourism, processing of coconuts and vanilla, coir (coconut fiber) rope, boat building, printing, furniture; beverages

Industrial production growth rate

1% (2007 est.)

Electricity - production

252 million kWh (2006)

Electricity - consumption

216.6 million kWh (2006)

Electricity - exports

0 kWh (2005)

Electricity - imports

0 kWh (2005)

Oil - production

0 bbl/day (2006)

Oil - consumption

6,453 bbl/day (2006)

Oil - imports

6,453 bbl/day (2006)

Oil - exports

0 bbl/day (2006)

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

-$141 million (2007 est.)

Agriculture - products

coconuts, cinnamon, vanilla, sweet potatoes, cassava (tapioca), bananas; poultry; tuna

Exports

$434 million f.o.b. (2007 est.)

Exports - commodities

canned tuna, frozen fish, cinnamon bark, copra, petroleum products (reexports)

Exports - partners

UK 25.5%, France 17.5%, Italy 11.9%, Mauritius 8.5%, Japan 8.3%, Spain 8.2%, Netherlands 4.3% (2006)

Imports

$721 million f.o.b. (2007 est.)

Imports - commodities

machinery and equipment, foodstuffs, petroleum products, chemicals

Imports - partners

Saudi Arabia 17.7%, South Africa 9.7%, Spain 8.1%, France 7.8%, Singapore 7.2%, Italy 4.8%, UK 4% (2006)

Reserves of foreign exchange and gold

$118 million (31 December 2007 est.)

Debt - external

$957 million (31 December 2007 est.)

Market value of publicly traded shares

$NA

Economic aid - recipient

$18.81 million (2005)

Currency (code)

Seychelles rupee (SCR)

Exchange rates

Seychelles rupees per US dollar - 6.5 (2007), 5.5 (2006), 5.5 (2005), 5.5 (2004), 5.4007 (2003)

Fiscal year

calendar year