Yemen Economy Profile 2009

Economy - overview

Yemen, one of the poorest countries in the Arab world, reported average annual growth in the range of 3-4% from 2000 through 2007. In 2008, growth declined slightly as the price of oil dropped and the slowing global economy reduced demand for oil. Yemen's economic fortunes depend mostly on declining oil resources, but the country is trying to diversify its earnings. In 2006, Yemen began an economic reform program designed to bolster non-oil sectors of the economy and foreign investment. As a result of the program, international donors pledged about $5 billion for development projects. A liquefied natural gas facility is scheduled to open in 2009. Yemen has limited exposure to the international financial system and no capital markets, however, the global financial crisis probably will reduce international aid in 2009.

GDP (purchasing power parity)

$55.28 billion (2008 est.)
$53.56 billion (2007 est.)
$51.75 billion (2006 est.)
note: data are in 2008 US dollars

GDP (official exchange rate)

$27.15 billion (2008 est.)

GDP - real growth rate

3.2% (2008 est.)
3.5% (2007 est.)
3.2% (2006 est.)

GDP - per capita (PPP)

$2,400 (2008 est.)
$2,400 (2007 est.)
$2,400 (2006 est.)
note: data are in 2008 US dollars

GDP - composition by sector

agriculture: 10.3%
industry: 56.5%
services: 33.2% (2008 est.)

Population below poverty line

45.2% (2003)

Labor force

6.454 million (2008 est.)

Labor force - by occupation

note: most people are employed in agriculture and herding; services, construction, industry, and commerce account for less than one-fourth of the labor force

Unemployment rate

35% (2003 est.)

Household income or consumption by percentage share

lowest 10%: 2.9%
highest 10%: 30.8% (2005)

Distribution of family income - Gini index

37.7 (2005)
33.4 (1998)

Investment (gross fixed)

25.9% of GDP (2008 est.)

Budget

revenues: $9.243 billion
expenditures: $10.36 billion (2008 est.)

Public debt

34.4% of GDP (2008 est.)
46.4% of GDP (2004 est.)

Inflation rate (consumer prices)

19% (2008 est.)
10% (2007 est.)

Central bank discount rate

NA%

Commercial bank prime lending rate

NA% (31 December 2008)
18% (31 December 2007)

Stock of money

$NA (31 December 2008)
$3.076 billion (31 December 2007)

Stock of quasi money

$NA (31 December 2008)
$4.526 billion (31 December 2007)

Stock of domestic credit

$NA (31 December 2008)
$2.224 billion (31 December 2007)

Industries

crude oil production and petroleum refining; small-scale production of cotton textiles and leather goods; food processing; handicrafts; small aluminum products factory; cement; commercial ship repair

Industrial production growth rate

2.8% (2008 est.)

Electricity - production

5.017 billion kWh (2006 est.)

Electricity - production by source

fossil fuel: 100%
hydro: 0%
nuclear: 0%
other: 0% (2001)

Electricity - consumption

3.804 billion kWh (2006 est.)

Electricity - exports

0 kWh (2007 est.)

Electricity - imports

0 kWh (2007 est.)

Oil - production

320,600 bbl/day (2007 est.)

Oil - consumption

135,400 bbl/day (2006 est.)

Oil - imports

62,850 bbl/day (2005)

Oil - exports

336,600 bbl/day (2005)

Oil - proved reserves

3.44 billion bbl (1 January 2008 est.)

Natural gas - production

0 cu m (2007 est.)

Natural gas - consumption

0 cu m (2007 est.)

Natural gas - exports

0 cu m (2007 est.)

Natural gas - imports

0 cu m (2007 est.)

Natural gas - proved reserves

478.5 billion cu m (1 January 2008 est.)

Current Account Balance

-$1.113 billion (2008 est.)
-$1.547 billion (2007 est.)

Agriculture - products

grain, fruits, vegetables, pulses, qat, coffee, cotton; dairy products, livestock (sheep, goats, cattle, camels), poultry; fish

Exports

$8.977 billion (2008 est.)
$7.05 billion (2007 est.)

Exports - commodities

crude oil, coffee, dried and salted fish

Exports - partners

China 30.9%, Thailand 26.4%, India 17.2%, Japan 5.2%, UAE 4.3% (2008)

Imports

$8.829 billion (2008 est.)
$7.49 billion (2007 est.)

Imports - commodities

food and live animals, machinery and equipment, chemicals

Imports - partners

UAE 16.4%, China 12.4%, Saudi Arabia 7.8%, Kuwait 5.8%, US 4.3% (2008)

Reserves of foreign exchange and gold

$8.157 billion (31 December 2008 est.)
$7.759 billion (31 December 2007 est.)

Debt - external

$5.979 billion (31 December 2008 est.)
$6.044 billion (31 December 2007 est.)

Market value of publicly traded shares

$NA

Economic aid - recipient

$2.3 billion (2003-07 disbursements)

Currency (code)

YER

Currency (code)

Yemeni rial (YER)

Exchange rates

Yemeni rials (YER) per US dollar - 199.76 (2008 est.), 199.14 (2007), 197.18 (2006), 192.67 (2005), 184.78 (2004)

Fiscal year

calendar year