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)

$56.24 billion (2007 est.)

GDP (official exchange rate)

$21.66 billion (2007 est.)

GDP - real growth rate

2.8% (2007 est.)

GDP - per capita (PPP)

$2,500 (2007 est.)

GDP - composition by sector

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

Population below poverty line

45.2% (2003)

Labor force

6.305 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.)

Household income or consumption by percentage share

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

Distribution of family income - Gini index

33.4 (1998)

Investment (gross fixed)

25% of GDP (2007 est.)

Budget

revenues: $7.576 billion
expenditures: $8.391 billion (2007 est.)

Public debt

33.5% of GDP (2007 est.)

Inflation rate (consumer prices)

10% (2007 est.)

Central bank discount rate

NA

Commercial bank prime lending rate

18% (31 December 2007)

Stock of money

$3.076 billion (31 December 2007)

Stock of quasi money

$4.526 billion (31 December 2007)

Stock of domestic credit

$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

3.2% (2007 est.)

Electricity - production

5.017 billion kWh (2006 est.)

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 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

-$362 million (2007 est.)

Agriculture - products

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

Exports

$7.311 billion f.o.b. (2007 est.)

Exports - commodities

crude oil, coffee, dried and salted fish

Exports - partners

China 23.3%, India 20.4%, Thailand 19.1%, Japan 7.2%, UAE 5%, US 4.2% (2007)

Imports

$6.735 billion f.o.b. (2007 est.)

Imports - commodities

food and live animals, machinery and equipment, chemicals

Imports - partners

UAE 15.1%, China 11.6%, US 7.8%, Saudi Arabia 7.1%, Kuwait 5.3%, Germany 4.8% (2007)

Reserves of foreign exchange and gold

$7.76 billion (31 December 2007 est.)

Debt - external

$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)

Yemeni rial (YER)

Exchange rates

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

Fiscal year

calendar year