Home > Factbook > Countries > Micronesia, Federated States of
| Economy - overview | Economic activity consists largely of subsistence farming and fishing, and government, which employs two-thirds of the adult working population and receives funding largely - 58% in 2013 – from Compact of Free Association assistance provided by the US. The islands have few commercially valuable mineral deposits. The potential for tourism is limited by isolation, lack of adequate facilities, and limited internal air and water transportation. Under the terms of the original Compact, the US provided $1.3 billion in grants and aid from 1986 to 2001. The US and the Federated States of Micronesia (FSM) negotiated a second (amended) Compact agreement in 2002-03 that took effect in 2004. The amended Compact runs for a 20-year period to 2023; during which the US will provide roughly $2.1 billion to the FSM. The amended Compact also develops a trust fund for the FSM that will provide a comparable income stream beyond 2024 when Compact grants end. The country's medium-term economic outlook appears fragile because of dependence on US assistance and lackluster performance of its small and stagnant private sector. |
| GDP (purchasing power parity) | $390 million (2018 est.) $348 million (2017 est.) $389 million (2017 est.) note: data are in 2017 dollars |
| GDP (official exchange rate) | $328 million (2017 est.) |
| GDP - real growth rate | 2% (2017 est.) 2.9% (2016 est.) 3.9% (2015 est.) |
| GDP - per capita (PPP) | $3,464 (2018 est.) $3,493 (2017 est.) $3,200 (2015 est.) note: data are in 2017 dollars |
| GDP - composition, by end use | household consumption: 83.5% (2013 est.) government consumption: 48.4% (2016 est.) investment in fixed capital: 29.5% (2016 est.) investment in inventories: 1.9% (2016 est.) exports of goods and services: 27.5% (2016 est.) imports of goods and services: -77% (2016 est.) |
| GDP - composition by sector | agriculture: 26.3% (2013 est.) industry: 18.9% (2013 est.) services: 54.8% (2013 est.) |
| Ease of Doing Business Index scores | Overall score: 48.1 (2020) Starting a Business score: 69.6 (2020) Trading score: 84 (2020) Enforcement score: 29.4 (2020) |
| Population below poverty line | 41.2% (2013 est.) |
| Labor force | 37,920 (2010 est.) |
| Labor force - by occupation | agriculture: 0.9% industry: 5.2% services: 93.9% (2013 est.) note: two-thirds of the labor force are government employees |
| Unemployment rate | 16.2% (2010 est.) |
| Unemployment, youth ages 15-24 | total: 18.9% male: 10.4% female: 29.9% (2014) |
| Household income or consumption by percentage share | lowest 10%: NA highest 10%: NA |
| Distribution of family income - Gini index | 40.1 (2013 est.) |
| Budget | revenues: 213.8 million (FY12/13 est.) expenditures: 192.1 million (FY12/13 est.) |
| Taxes and other revenues | 65.2% (of GDP) (FY12/13 est.) |
| Budget surplus (+) or deficit (-) | 6.6% (of GDP) (FY12/13 est.) |
| Public debt | 24.5% of GDP (2017 est.) 25.3% of GDP (2016 est.) |
| Inflation rate (consumer prices) | 0.5% (2017 est.) 0.5% (2016 est.) |
| Agriculture - products | coconuts, cassava, vegetables, sweet potatoes, bananas, pork, plantains, fruit, eggs, beef |
| Industries | tourism, construction; specialized aquaculture, craft items (shell and wood) |
| Industrial production growth rate | NA |
| Current Account Balance | $12 million (2017 est.) $11 million (2016 est.) |
| Exports | $88.3 million (2013 est.) |
| Exports - commodities | fish and fish products, coral/shells, scrap metals, mollusks, office machinery/parts (2019) |
| Exports - partners | Thailand 73%, Japan 10%, China 9% (2019) |
| Imports | $167.8 million (2015 est.) $258.5 million (2013 est.) |
| Imports - commodities | poultry meats, netting, broadcasting equipment, various meats, fish products (2019) |
| Imports - partners | United States 32%, China 16%, Japan 14%, Taiwan 9%, Philippines 6%, South Korea 6% (2019) |
| Reserves of foreign exchange and gold | $203.7 million (31 December 2017 est.) $135.1 million (31 December 2015 est.) |
| Debt - external | $93.6 million (2013 est.) $93.5 million (2012 est.) |
| Exchange rates | the US dollar is used |
| Fiscal year | 1 October - 30 September |
Source: CIA World Factbook
This page was last updated on September 18, 2021
