Economy of Guinea
| Economy - overview: | Guinea possesses major mineral, hydropower, and agricultural resources, yet remains an underdeveloped nation. The country has almost half of the world's bauxite reserves and is the second-largest bauxite producer. The mining sector accounts for over 70% of exports. Long-run improvements in government fiscal arrangements, literacy, and the legal framework are needed if the country is to move out of poverty. Investor confidence has been sapped by rampant corruption, a lack of electricity and other infrastructure, a lack of skilled workers, and the political uncertainty due to the failing health of President Lansana CONTE. Guinea is trying to reengage with the IMF and World Bank, which cut off most assistance in 2003, and is working closely with technical advisors from the U.S. Treasury Department, the World Bank and IMF, seeking to return to a fully funded program. Growth rose slightly in 2006, primarily due to increases in global demand and commodity prices on world markets, but the standard of living fell. The Guinea franc depreciated sharply as the prices for basic necessities like food and fuel rose beyond the reach of most Guineans. Dissatisfaction with economic conditions prompted nationwide strikes in February and June 2006. |
| GDP (purchasing power parity): | $20.16 billion (2006 est.) |
| GDP (official exchange rate): | $3.798 billion (2006 est.) |
| GDP - real growth rate: | 3.7% (2006 est.) |
| GDP - per capita (PPP): | $2,100 (2006 est.) |
| GDP - composition by sector: | agriculture: 23.7% industry: 36.1% services: 40.2% (2006 est.) |
| Labor force: | 3.7 million (2006 est.) |
| Labor force - by occupation: | agriculture: 76% industry and services: 24% (2006 est.) |
| Unemployment rate: | NA% |
| Population below poverty line: | 47% (2006 est.) |
| Household income or consumption by percentage share: | lowest 10%: 1.9% highest 10%: 41% (2006) |
| Distribution of family income - Gini index: | 38.1 (2006) |
| Inflation rate (consumer prices): | 29% (2006 est.) |
| Investment (gross fixed): | 17.6% of GDP (2006 est.) |
| Budget: | revenues: $342.3 million expenditures: $556.7 million; including capital expenditures of $NA (2006 est.) |
| Agriculture - products: | rice, coffee, pineapples, palm kernels, cassava (tapioca), bananas, sweet potatoes; cattle, sheep, goats; timber |
| Industries: | bauxite, gold, diamonds, iron; alumina refining; light manufacturing, and agricultural processing |
| Industrial production growth rate: | NA% |
| Electricity - production: | 840 million kWh note: excludes electricity generated at interior mining sites (2006) |
| Electricity - production by source: | fossil fuel: 45.5% hydro: 54.5% nuclear: 0% other: 0% (2001) |
| Electricity - consumption: | 832.9 million kWh (2006) |
| Electricity - exports: | 0 kWh (2006) |
| Electricity - imports: | 0 kWh (2006) |
| Oil - production: | 0 bbl/day (2006 est.) |
| Oil - consumption: | 9,650 bbl/day (2006 est.) |
| Oil - exports: | NA |
| Oil - imports: | NA |
| Oil - proved reserves: | 0 bbl |
| Natural gas - production: | 0 cu m (2004 est.) |
| Natural gas - consumption: | 0 cu m (2004 est.) |
| Current account balance: | -$344 million (2006 est.) |
| Exports: | $615.1 million f.o.b. (2006 est.) |
| Exports - commodities: | bauxite, alumina, gold, diamonds, coffee, fish, agricultural products |
| Exports - partners: | South Korea 13.1%, Russia 11.1%, Ukraine 9.2%, Spain 7.7%, France 7.4%, US 7.4%, Germany 5.2%, Ireland 4.9% (2006) |
| Imports: | $730 million f.o.b. (2006 est.) |
| Imports - commodities: | petroleum products, metals, machinery, transport equipment, textiles, grain and other foodstuffs |
| Imports - partners: | China 8.5%, France 7.9%, Netherlands 4.7%, Belgium 4.3% (2006) |
| Reserves of foreign exchange and gold: | $60.2 million (2006 est.) |
| Debt - external: | $3.02 billion (2006 est.) |
| Economic aid - recipient: | $212.2 million (2006) |
| Currency (code): | Guinean franc (GNF) |
| Currency code: | GNF |
| Exchange rates: | Guinean francs per US dollar - 5,350 (2006), 3,644.3 (2005), 2,225 (2004), 1,984.9 (2003), 1,975.8 (2002) |
| Fiscal year: | calendar year |