Yemen Economy Profile 2008

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. Its 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. In addition, Yemen has made some progress on reforms over the last year that will likely encourage foreign investment. Oil revenues probably increased in 2007 as a result of higher prices.

GDP (purchasing power parity)

$52.61 billion (2007 est.)

GDP (official exchange rate)

$22.74 billion (2007 est.)

GDP - real growth rate

3.2% (2007 est.)

GDP - per capita (PPP)

$2,400 (2007 est.)

GDP - composition by sector

agriculture: 12.4%
industry: 40.9%
services: 46.7% (2007 est.)

Population below poverty line

45.2% (2003)

Household income or consumption by percentage share

lowest 10%: 3%
highest 10%: 25.9% (2003)

Inflation rate (consumer prices)

10.7% (2007 est.)

Investment (gross fixed)

19.1% of GDP (2007 est.)

Labor force

6.316 million (2007 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.)

Distribution of family income - Gini index

33.4 (1998)

Budget

revenues: $7.902 billion
expenditures: $8.167 billion (2007 est.)

Public debt

32.9% of GDP (2007 est.)

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

3.2% (2007 est.)

Electricity - production

4.456 billion kWh (2005 est.)

Electricity - consumption

3.381 billion kWh (2005 est.)

Electricity - exports

0 kWh (2005)

Electricity - imports

0 kWh (2005)

Oil - production

402,000 bbl/day (2005 est.)

Oil - consumption

128,000 bbl/day (2005 est.)

Oil - imports

58,100 bbl/day (2004)

Oil - exports

320,600 bbl/day (2004)

Oil - proved reserves

4 billion 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

459 billion cu m (1 January 2006 est.)

Current Account Balance

$178 million (2007 est.)

Agriculture - products

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

Exports

$7.586 billion f.o.b. (2007 est.)

Exports - commodities

crude oil, coffee, dried and salted fish

Exports - partners

China 31.4%, India 17.4%, Thailand 16.7%, South Korea 7%, US 6.7%, UAE 4.1% (2006)

Imports

$6.592 billion f.o.b. (2007 est.)

Imports - commodities

food and live animals, machinery and equipment, chemicals

Imports - partners

UAE 16.4%, China 12.8%, Saudi Arabia 7.7%, Kuwait 5.8%, Brazil 4.5%, Malaysia 4.2%, US 4% (2006)

Reserves of foreign exchange and gold

$7.871 billion (31 December 2007 est.)

Debt - external

$6.122 billion (31 December 2007 est.)

Market value of publicly traded shares

$NA

Economic aid - recipient

$2.3 billion (2003-07 disbursements)

Currency (code)

Yemeni rial (YER)

Exchange rates

Yemeni rials per US dollar - 199.14 (2007), 197.18 (2006), 192.67 (2005), 184.78 (2004), 183.45 (2003)

Fiscal year

calendar year