Y (continued 73)

El Salvador labor organizations - Electrical Industry Union of El Salvador or SIES; Federation of the Construction Industry, Similar Transport and other activities, or FESINCONTRANS; National Confederation of Salvadoran Workers or CNTS; National Union of Salvadoran Workers or UNTS; Port Industry Union of El Salvador or SIPES; Salvadoran Union of Ex-Petrolleros and Peasant Workers or USEPOC; Salvadoran Workers Central or CTS; Workers Union of Electrical Corporation or STCEL; business organizations - National Association of Small Enterprise or ANEP; Salvadoran Assembly Industry Association or ASIC; Salvadoran Industrial Association or ASI

Equatorial Guinea ASODEGUE (Madrid-based pressure group for democratic reform); Global Witness (anti-corruption)

Eritrea Eritrean Democratic Party (EDP) [HAGOS, Mesfin]; Eritrean Islamic Jihad or EIJ (includes Eritrean Islamic Jihad Movement or EIJM also known as the Abu Sihel Movement); Eritrean Islamic Salvation or EIS (also known as the Arafa Movement); Eritrean Liberation Front or ELF [ABDULLAH Muhammed]; Eritrean National Alliance or ENA (a coalition including EIJ, EIS, ELF, and a number of ELF factions) [HERUY Tedla Biru]; Eritrean Public Forum or EPF [ARADOM Iyob]

Ethiopia Ethiopian People's Patriotic Front or EPPF; Ogaden National Liberation Front or ONLF; Oromo Liberation Front or OLF [DAOUD Ibsa]

Falkland Islands (Islas Malvinas) Falkland Islands Association (supports freedom of the people from external causes)

Faroe Islands conservationists

Fiji Group Against Racial Discrimination or GARD [Dr. Anirudk SINGH] (for restoration of a democratic government); Viti Landowners Association

France Confederation francaise democratique du travail or CFDT, left-leaning labor union with approximately 803,000 members; Confederation francaise de l'encadrement - Confederation generale des cadres or CFE-CGC, independent white-collar union with 196,000 members; Confederation francaise des travailleurs chretiens of CFTC, independent labor union founded by Catholic workers that claims 132,000 members; Confederation generale du travail or CGT, historically communist labor union with approximately 700,000 members; Confederation generale du travail - Force ouvriere or FO, independent labor union with an estimated 300,000 members; Mouvement des entreprises de France or MEDEF, employers' union with 750,000 companies as members (claimed) French Guiana: conservationists; gold mining pressure groups; hunting pressure groups Guadeloupe: Christian Movement for the Liberation of Guadeloupe or KLPG; General Federation of Guadeloupe Workers or CGT-G; General Union of Guadeloupe Workers or UGTG; Movement for an Independent Guadeloupe or MPGI; The Socialist Renewal Movement Martinique: Caribbean Revolutionary Alliance or ARC; Central Union for Martinique Workers or CSTM; Frantz Fanon Circle; League of Workers and Peasants; Proletarian Action Group or GAP Reunion: NA

French Polynesia NA

Gabon NA

Gambia, The National Environment Agency or NEA; West African Peace Building Network-Gambian Chapter or WANEB-GAMBIA; Youth Employment Network Gambia or YENGambia other: special needs group advocates; teachers and principals

Georgia separatists in the breakaway regions of Abkhazia and South Ossetia

Germany business associations and employers' organizations; trade unions; religious, immigrant, expellee, and veterans groups

Ghana Christian Aid (water rights); Committee for Joint Action or CJA (education reform); National Coalition Against the Privatization of Water or CAP (water rights); Oxfam (water rights); Public Citizen (water rights); Students Coalition Against EPA [Kwabena Ososukene OKAI] (education reform); Third World Network (education reform)

Gibraltar Chamber of Commerce; Gibraltar Representatives Organization; Women's Association

Greece Civil Servants Confederation or ADEDY [Spyros PAPASPYROS]; Federation of Greek Industries or SEV [Dimitris DASKALOPOULOS]; General Confederation of Greek Workers or GSEE [Ioannis PANAGOPOULOS]

Greenland other: conservationists; environmentalists

Grenada Committee for Human Rights in Grenada or CHRG; New Jewel Movement Support Group; The British Grenada Friendship Society; The New Jewel 19 Committee

Guam Guam Federation of Teachers' Union; Guam Waterworks Authority Workers other: activists; indigenous groups

Guatemala Agrarian Owners Group or UNAGRO; Alliance Against Impunity or AAI; Committee for Campesino Unity or CUC; Coordinating Committee of Agricultural, Commercial, Industrial, and Financial Associations or CACIF; International Commission Against Impunity in Guatemala or CICIG; Mutual Support Group or GAM

Guernsey Stop Traffic Endangering Pedestrian Safety or STEPS; No More Masts [Colin FALLAIZE]

Guinea National Confederation of Guinean Workers-Labor Union of Guinean Workers or CNTG-USTG Alliance (includes National Confederation of Guinean Workers or CNTG [Rabiatou Sarah DIALLO] and Labor Union of Guinean Workers or USTG [Dr. Ibrahima FOFANA]); Syndicate of Guinean Teachers and Researchers or SLECG [Dr. Louis M'Bemba SOUMAH]

Guinea-Bissau NA

Guyana Amerindian People's Association; Guyana Bar Association; Guyana Citizens Initiative; Guyana Human Rights Association; Guyana Public Service Union or GPSU; Private Sector Commission; Trades Union Congress

Haiti Autonomous Organizations of Haitian Workers or CATH [Fignole ST-CYR]; Confederation of Haitian Workers or CTH; Federation of Workers Trade Unions or FOS; General Organization of Independent Haitian Workers [Patrick NUMAS]; Grand-Anse Resistance Committee, or KOREGA; National Popular Assembly or APN; Papaye Peasants Movement or MPP [Chavannes JEAN-BAPTISTE]; Popular Organizations Gathering Power or PROP; Protestant Federation of Haiti; Roman Catholic Church

Holy See (Vatican City) none (exclusive of influence exercised by church officers)

Honduras Beverage and Related Industries Syndicate or STIBYS; Committee for the Defense of Human Rights in Honduras or CODEH; Confederation of Honduran Workers or CTH; Coordinating Committee of Popular Organizations or CCOP; General Workers Confederation or CGT; Honduran Council of Private Enterprise or COHEP; National Association of Honduran Campesinos or ANACH; National Union of Campesinos or UNC; Popular Bloc or BP; United Confederation of Honduran Workers or CUTH

Hong Kong Chinese General Chamber of Commerce (pro-China); Chinese Manufacturers' Association of Hong Kong; Confederation of Trade Unions or CTU (pro-democracy) [LAU Chin-shek, president; LEE Cheuk-yan, general secretary]; Federation of Hong Kong Industries; Federation of Trade Unions or FTU (pro-China) [CHENG Yiu-tong, executive councilor]; Hong Kong Alliance in Support of the Patriotic Democratic Movement in China [Szeto WAH, chairman]; Hong Kong and Kowloon Trade Union Council (pro-Taiwan); Hong Kong General Chamber of Commerce; Hong Kong Professional Teachers' Union [CHEUNG Man-kwong, president]; Neighborhood and Workers' Service Center or NWSC [LEUNG Yiu-chung, LegCo member] (pro-democracy); Civic Act-up [Cyd HO Sau-lan, LegCo member] (pro-democracy)

Hungary Air Work Group (works to reduce air pollution in towns and cities); Company For Freedom Rights (Tarsasag a Szabadsagjogokert) or TASZ (personal data protection); Danube Circle (protests the building of the Gabchikovo-Nagymaros dam); Green Future (protests the impact of lead contamination of local factory on health of the people); environmentalists: Hungarian Ornithological and Nature Conservation Society (Magyar Madartani Egyesulet)or MME; Green Alternative (Zold Alternativa)

India All Parties Hurriyat Conference in the Kashmir Valley (separatist group); Bajrang Dal (religious organization); National Socialist Council of Nagaland in the northeast (separatist group); Rashtriya Swayamsevak Sangh [Mohan BHAGWAT] (religious organization); Vishwa Hindu Parishad [Ashok SINGHAL] (religious organization) other: numerous religious or militant/chauvinistic organizations; various separatist groups seeking greater communal and/or regional autonomy

Indonesia Commission for the "Disappeared" and Victims of Violence or KontraS; Indonesia Corruption Watch or ICW; Indonesian Forum for the Environment or WALHI; Islamic Defenders Front or FPI; People's Democracy Fortress or Bendera

Iran groups that generally support the Islamic Republic: Ansar-e Hizballah-Islamic Coalition Party (Motalefeh); Followers of the Line of the Imam and the Leader; Islamic Engineers Society; Tehran Militant Clergy Association (Ruhaniyat); active pro-reform student group: Office of Strengthening Unity (OSU); opposition groups: Baluchistan People's Party (BPP); Freedom Movement of Iran; Green Path movement [Mehdi KARUBI, Mir-Hosein MUSAVI]; Marz-e Por Gohar; National Front; and various ethnic and Monarchist organizations; armed political groups that have been repressed by the government: Democratic Party of Iranian Kurdistan (KDPI); Jundallah; Komala; Mujahedin-e Khalq Organization (MEK or MKO); People's Fedayeen; People's Free Life Party of Kurdistan (PJAK)

Iraq Sunni militias; Shia militias, some associated with political parties

Ireland Families Acting for Innocent Relatives or FAIR [Brian MCCONNELL] (seek compensation for victims of violence); Families Against Intimidation and Terror or FAIT (oppose terrorism); Gaeltacht Civil Rights Campaign (Coiste Cearta Sibhialta na Gaeilge) or CCSG (encourages the use of the Irish language and campaigns for greater civil rights in Irish speaking areas); Iona Institute [David QUINN] (a conservative Catholic think tank); Irish Anti-War Movement [Richard Boyd BARRETT] (campaigns against wars around the world); Irish Republican Army or IRA (terrorist group); Keep Ireland Open (environmental group); Midland Railway Action Group or MRAG [Willie ALLEN] (transportation promoters); Peace and Neutrality Alliance [Roger COLE] (campaigns to protect Irish neutrality); Rail Users Ireland (formerly the Platform 11 - transportation promoters); 32 Country Sovereignty Movement or 32CSM (supports a fully sovereign Ireland); Ulster Defence Association or UDA (terrorist group)

Isle of Man Alliance for Progressive Government or APG (a government watchdog); Mec Vannin (political party advocating a sovereign state and environment policies); note - has only had one member elected to the Tynwald

Israel B'Tselem [Jessica MONTELL, Executive Director] monitors human rights abuses; Peace Now [Yariv OPPENHEIMER, Secretary General] supports territorial concessions in the West Bank and Gaza Strip; YESHA Council of Settlements [Danny DAYAN, Chairman] promotes settler interests and opposes territorial compromise; Breaking the Silence [Yehuda SHAUL, Executive Director] collects testimonies from soldiers who served in the West Bank and Gaza Strip

Italy manufacturers and merchants associations - Confcommercio; Confindustria; organized farm groups - Confcoltivatori; Confagricoltura; Roman Catholic Church; three major trade union confederations - Confederazione Generale Italiana del Lavoro or CGIL [Guglielmo EPIFANI] which is left wing; Confederazione Italiana dei Sindacati Lavoratori or CISL [Raffaele BONANNO], which is Roman Catholic centrist; Unione Italiana del Lavoro or UIL [Luigi ANGELETTI] which is lay centrist)

Jamaica New Beginnings Movement or NBM; Rastafarians (black religious/racial cultists, pan-Africanists)

Japan other: business groups; trade unions

Jersey Institute of Directors, Jersey branch (provides business support); Jersey Hospitality Association [Robert JONES] (trade association); Jersey Rights Association [David ROTHERHAM] (human rights); La Societe Jersiaise (education and conservation group); Progress Jersey [Daren O'TOOLE, Gino RISOLI] (human rights); Royal Jersey Agriculture and Horticultural Society or RJA&HS (development and management of the Jersey breed of cattle); Save Jersey's Heritage (protects heritage through building preservation)

Jordan Anti-Normalization Committee [Hamzeh MANSOUR, chairman]; Higher Coordination Committee of Opposition Parties [Hamzeh MANZOUR]; Jordan Bar Association [Saleh al-ARMUTI, chairman]; Jordanian Press Association [Sayf al-SHARIF, president]; Jordanian Muslim Brotherhood [Dr. Hamam SAID, controller general]

Kazakhstan Adil-Soz [Tamara KALEYEVA]; Almaty Helsinki Committee [Ninel FOKINA]; Confederation of Free Trade Unions [Sergei BELKIN]; For Fair Elections [Yevgeniy ZHOVTIS (jailed), Sabit ZHUSUPOV, Sergey DUVANOV, Ibrash NUSUPBAYEV]; Kazakhstan International Bureau on Human Rights [Yevgeniy ZHOVTIS, executive director]; Pan-National Social Democratic Party of Kazakhstan [Zharmakhan TUYAKBAY]; Pensioners Movement or Pokoleniye [Irina SAVOSTINA, chairwoman]; Republican Network of International Monitors [Dos KUSHIM]; Transparency International [Sergey ZLOTNIKOV]

Kenya Council of Islamic Preachers of Kenya or CIPK [Sheikh Idris MOHAMMED]; Kenya Human Rights Commission [L. Muthoni WANYEKI]; Muslim Human Rights Forum [Ali-Amin KIMATHI]; National Convention Executive Council or NCEC, a proreform coalition of political parties and nongovernment organizations [Ndung'u WAINANA]; National Muslim Leaders Forum or NAMLEF [Abdullahi ABDI]; Protestant National Council of Churches of Kenya or NCCK [Canon Peter Karanja MWANGI]; Roman Catholic and other Christian churches; Supreme Council of Kenya Muslims or SUPKEM [Shaykh Abdul Gafur al-BUSAIDY] other: labor unions

Kiribati NA

Korea, North none

Korea, South Federation of Korean Industries; Federation of Korean Trade Unions; Korean Confederation of Trade Unions; Korean National Council of Churches; Korean Traders Association; Korean Veterans' Association; National Council of Labor Unions; National Democratic Alliance of Korea; National Federation of Farmers' Associations; National Federation of Student Associations

Kosovo Council for the Defense of Human Rights and Freedom (human rights); Humanitarian Law Centre (human rights); Movement for Self-Determination; Serb National Council (SNV)

Kuwait other: Islamists; merchants; political groups; secular liberals and pro-governmental deputies; Shia activists; tribal groups

Kyrgyzstan Adilet Legal Clinic [Cholpon JAKUPOVA]; Coalition for Democracy and Civil Society [Dinara OSHURAKHUNOVA]; Interbilim [Asiya SASYKBAEVA]

Laos NA

Latvia Free Trade Union Confederation of Latvia [Peteris KRIGERS], Employers' Confederation of Latvia [Elina EGLE], Farmers' Parliament [Juris LAZDINS]

Lebanon Maronite Church [Patriarch Nasrallah SFAYR] other: note - most sects retain militias and a number of militant groups operate in Palestinian refugee camps

Lesotho Media Institute of Southern Africa, Lesotho chapter [Thabang MATJAMA] (pushes for media freedom)

Liberia other: demobilized former military officers

Libya other: anti-QADHAFI Libyan exile movement; Islamic elements

Liechtenstein NA

Luxembourg ABBL (bankers' association); ALEBA (financial sector trade union); Centrale Paysanne (federation of agricultural producers); CEP (professional sector chamber); CGFP (trade union representing civil service); Chambre de Commerce (Chamber of Commerce); Chambre des Metiers (Chamber of Artisans); FEDIL (federation of industrialists); Greenpeace (environment protection); LCGP (center-right trade union); Mouvement Ecologique (protection of ecology); OGBL (center-left trade union)

Macau Civic Power [Agnes LAM Lok-fong]; Macau New Chinese Youth Association [LEONG Sin-man]; Macau Society of Tourism and Entertainment or STDM [Stanley HO]; Macau Worker's Union [HO Heng-kuok]; Union for Democracy Development [Antonio NG Kuok-cheong]

Macedonia Federation of Free Trade Unions [Svetlana PETROVIC]; Federation of Trade Unions [Vanco MURATOVSKI]; Trade Union of Education, Science and Culture [Dojcin CVETANOSKI]

Madagascar Committee for the Defense of Truth and Justice or KMMR; Committee for National Reconciliation or CRN [Albert Zafy]; National Council of Christian Churches or FFKM

Malawi Agri-Ecology Media (agriculture and environmental group); Council for NGOs in Malawi or CONGOMA (human rights, democracy, and development); Human Rights Consultative Committee or HRCC (human rights); Malawi Law Society (human rights and law reform); Malawi Movement for the Restoration of Democracy or MMRD (acts to restore and maintain democracy); Public Affairs Committee or PAC (promotes democracy, development, peace and unity)

Malaysia Bar Council; BERSIH (electoral reform coalition); PEMBELA (Muslim NGO coalition) other: religious groups; women's groups; youth groups

Maldives other: various unregistered political parties

Mali other: the army; Islamic authorities; rebels in the northern region; state-run cotton company CMDT; tuaregs

Malta Alleanza Liberal-Demokratika Maltra or ALDM (for divorce, abortion, gay marriage, the rights existent in other EU member states); Alleanza Nazzionali Repubblikana or ANR (for traditional values, anti-immigration); Alternattiva Demokratika (pro-environment); Azzjoni Nazzjonali or AN (freedom to participate in democratic government); Flimkien Ghal-Ambjent Ahjar (pro-environment); Ghazda tal-Konsumaturi (consumer rights) other: environmentalists

Marshall Islands NA

Mauritania General Confederation of Mauritanian Workers or CGTM [Abdallahi Ould MOHAMED, secretary general]; Independent Confederation of Mauritanian Workers or CLTM [Samory Ould BEYE]; Mauritanian Workers Union or UTM [Mohamed Ely Ould BRAHIM, secretary general] other: Arab nationalists; Ba'thists; Islamists

Mauritius other: various labor unions

Mayotte NA

Mexico Businessmen's Coordinating Council or CCE; Confederation of Employers of the Mexican Republic or COPARMEX; Confederation of Industrial Chambers or CONCAMIN; Confederation of Mexican Workers or CTM; Confederation of National Chambers of Commerce or CONCANACO; Coordinator for Foreign Trade Business Organizations or COECE; Dialogue for the Reconstruction of Mexico or DIA; Federation of Unions Providing Goods and Services or FESEBES; National Chamber of Transformation Industries or CANACINTRA; National Peasant Confederation or CNC; National Small Business Chamber or CANACOPE; National Syndicate of Education Workers or SNTE; National Union of Workers or UNT; Popular Assembly of the People of Oaxaca or APPO; Roman Catholic Church

Micronesia, Federated States of NA

Moldova NA

Monaco NA

Mongolia other: human rights groups; women's groups

Montserrat NA

Morocco Democratic Confederation of Labor or CDT [Noubir AMAOUI]; General Union of Moroccan Workers or UGTM [Abderrazzak AFILAL]; Moroccan Employers Association or CGEM [Hassan CHAMI]; National Labor Union of Morocco or UNMT [Abdelslam MAATI]; Union of Moroccan Workers or UMT [Mahjoub BENSEDDIK]

Mozambique Mozambican League of Human Rights (Liga Mocambicana dos Direitos Humanos) or LDH [Alice MABOTE, president]

Namibia Earthlife Namibia [Berthchen KOHRS] (environmentalist group); National Society for Human Rights or NSHR; The World Information Services of Energy or WISE (group against nuclear power)

Nauru Woman Information and News Agency (women's issues)

Nepal other: several small armed Madhesi groups along the southern border with India; a variety of groups advocating regional autonomy for individual ethnic groups

Netherlands Christian Trade Union Federation or CNV [Jaap SMIT]; Confederation of Netherlands Industry and Employers or VNO-NCW [Bernard WIENTJES]; Federation for Small and Medium-sized businesses or MKB [Loek HERMANS]; Netherlands Trade Union Federation or FNV [Agnes JONGERIUS]; Social Economic Council or SER [Alexander RINNOOY KAN]; Trade Union Federation of Middle and High Personnel or MHP [Richard STEENBORG]

New Caledonia NA

New Zealand Women's Electoral Lobby or WEL other: apartheid groups; civil rights groups; farmers groups; Maori; nuclear weapons groups; women's rights groups

Nicaragua National Workers Front or FNT (a Sandinista umbrella group of eight labor unions including: Farm Workers Association or ATC, Health Workers Federation or FETASALUD, Heroes and Martyrs Confederation of Professional Associations or CONAPRO, National Association of Educators of Nicaragua or ANDEN, National Union of Employees or UNE, National Union of Farmers and Ranchers or UNAG, Sandinista Workers Central or CST, and Union of Journalists of Nicaragua or UPN); Permanent Congress of Workers or CPT (an umbrella group of four non-Sandinista labor unions including: Autonomous Nicaraguan Workers Central or CTN-A, Confederation of Labor Unification or CUS, Independent General Confederation of Labor or CGT-I, and Labor Action and Unity Central or CAUS); Nicaraguan Workers' Central or CTN (an independent labor union); Superior Council of Private Enterprise or COSEP (a confederation of business groups)

Niger The Nigerien Movement for Justice or MNJ, a predominantly Tuareg rebel group

Nigeria Academic Staff Union for Universities or ASUU; Campaign for Democracy or CD; Civil Liberties Organization or CLO; Committee for the Defense of Human Rights or CDHR; Constitutional Right Project or CRP; Human Right Africa; National Association of Democratic Lawyers or NADL; National Association of Nigerian Students or NANS; Nigerian Bar Association or NBA; Nigerian Labor Congress or NLC; Nigerian Medical Association or NMA; the press; Universal Defenders of Democracy or UDD

Niue NA

Norfolk Island none

Northern Mariana Islands NA

Norway Norwegian Aid Committee or NORWAC; Norwegian Association of the Disabled; Pure Salmon Campaign; The Consumer Council (consumer advocacy group) other: environmental groups; media; reform movements

Oman none

Pakistan other: military (most important political force); ulema (clergy); landowners; industrialists; small merchants

Palau NA

Panama Chamber of Commerce; National Civic Crusade; National Council of Organized Workers or CONATO; National Council of Private Enterprise or CONEP; National Union of Construction and Similar Workers (SUNTRACS); Panamanian Association of Business Executives or APEDE; Panamanian Industrialists Society or SIP; Workers Confederation of the Republic of Panama or CTRP

Papua New Guinea Ahora [Andrew MAMOKO] (represents local tribes); Centre for Environment Law and Community Rights or Celcor [Damien ASE]; Community Coalition Against Corruption

Paraguay Ahorristas Estafados or AE; National Coordinating Board of Campesino Organizations or MCNOC [Luis AGUAYO]; National Federation of Campesinos or FNC [Odilon ESPINOLA]; National Workers Central or CNT [Secretary General Juan TORRALES]; Paraguayan Workers Confederation or CPT; Roman Catholic Church; Unitary Workers Central or CUT [Jorge Guzman ALVARENGA Malgarejo]

Peru General Workers Confederation of Peru (Confederacion General de Trabajadores del Peru) or CGTP [Mario HUAMAN]; Shining Path (Sendero Luminoso) or SL [Abimael GUZMAN Reynoso (imprisoned), Victor QUISPE Palomino (top leader at-large)] (leftist guerrilla group)

Philippines ABONO [Robert ESTRELLA]; AKBAYAN [Anna Theresia BARAQUIEL]; An Waray [Florencio NOEL]; Anak Mindanao [Mujiv HATAMIN]; ANAKPAWIS [Rafael MARIANO]; ARC [Narciso SANTIAGO III]; Association of Philippine Electric Cooperatives (APEC) [Ernesto PABLO and Edgar VALDEZ]; A TEACHER [Mariano PIAMONTE]; Bayan Muna [Satur OCAMPO and Teodoro CASINO, Jr.]; Black and White Movement [Vicente ROMANO]; BUHAY [Rene VELARDE, Carissa COSCOLLUELLA, and William TIENG]; BUTIL [Leonila CHAVEZ]; CIBAC [Emmanuel Joel VILLANUEVA]; COOP-NATCO [Jose PING-AY]; GABRIELA [Liza MAZA and Luzviminda ILAGAN]; KABATAAN [Raymon PALATINO]; Kilosbayan [Jovito SALONGA]; YACAP [Carol LOPEZ]

Pitcairn Islands none

Poland All Poland Trade Union Alliance or OPZZ (trade union) [Jan GUZ]; Roman Catholic Church [Cardinal Stanislaw DZIWISZ, Archbishop Jozef MICHALIK]; Solidarity Trade Union [Piotr DUDA]

Portugal the media; labor unions

Puerto Rico Boricua Popular Army or EPB (a revolutionary group also known as Los Macheteros); note - the following radical groups are considered dormant by Federal law enforcement: Armed Forces for National Liberation or FALN, Armed Forces of Popular Resistance, Volunteers of the Puerto Rican Revolution

Qatar none

Romania other: various human rights and professional associations

Russia Association of Citizens with Initiative of Russia (TIGR); Confederation of Labor of Russia (KTR); Federation of Independent Labor Unions of Russia; Freedom of Choice Interregional Organization of Automobilists; Glasnost Defense Foundation; Golos Association in Defense of Voters' Rights; Greenpeace Russia; Human Rights Watch (Russian chapter); Institute for Collective Action; Memorial (human rights group); Movement Against Illegal Migration; Pamjat (preservation of historical monuments and recording of history); Russian Orthodox Church; Russian Federation of Car Owners; Russian-Chechen Friendship Society; SOVA Analytical-Information Center; Union of the Committees of Soldiers' Mothers; World Wildlife Fund (Russian chapter)

Rwanda IBUKA (association of genocide survivors)

Saint Barthelemy The Marine Reserve (protection of fish); Rotary Club

Saint Helena, Ascension, and Tristan da Cunha other: private sector; unions

Saint Kitts and Nevis NA

Saint Lucia NA

Saint Martin NA

Saint Pierre and Miquelon NA

Saint Vincent and the Grenadines NA

Samoa NA

San Marino NA

Sao Tome and Principe Association of Sao Tome and Principe NGOs or FONG other: the media

Saudi Arabia Ansar Al Marah (supports women's rights) other: gas companies; religious groups

Senegal other: labor; students; Sufi brotherhoods, including the Mourides and Tidjanes; teachers

Serbia Obraz (Orthodox clero-fascist organization); 1389 (Serbian nationalist movement)

Seychelles Roman Catholic Church other: trade unions

Sierra Leone other: student unions; trade unions

Singapore none

Slovakia Association of Towns and Villages or ZMOS; Confederation of Trade Unions or KOZ; Entrepreneurs Association of Slovakia or ZPS; Federation of Employers' Associations of the Slovak Republic; National Union of Employers or RUZ; Slovak Chamber of Commerce and Industry or SOPK; Slovenska Pospolitost; The Business Alliance of Slovakia or PAS

Slovenia Slovenian Roma Association [Jozek Horvat MUC] other: Catholic Church

Solomon Islands Isatabu Freedom Movement (IFM); Malaita Eagle Force (MEF); note - these rival armed ethnic factions crippled the Solomon Islands in a wave of violence from 1999 to 2003

Somalia other: numerous clan and sub-clan factions exist both in support and in opposition to the transitional government

South Africa Congress of South African Trade Unions or COSATU [Zwelinzima VAVI, general secretary]; South African Communist Party or SACP [Blade NZIMANDE, general secretary]; South African National Civics Organization or SANCO [Mlungisi HLONGWANE, national president] note: note - COSATU and SACP are in a formal alliance with the ANC

Spain Association for Victims of Terrorism or AVT (grassroots organization devoted primarily to opposing ETA terrorist attacks and supporting its victims); Basta Ya (Spanish for "Enough is Enough"); grassroots organization devoted primarily to opposing ETA terrorist attacks and supporting its victims); Nunca Mais (Galician for "Never Again"; formed in response to the oil Tanker Prestige oil spill); Socialist General Union of Workers or UGT and the smaller independent Workers Syndical Union or USO; Trade Union Confederation of Workers' Commissions or CC.OO. other: business and landowning interests; Catholic Church; free labor unions (authorized in April 1977); university students

Sri Lanka Liberation Tigers of Tamil Eelam or LTTE [P. SIVAPARAN, Chief of International Secretariat; V. RUDRAKUMARAN, legal advisor]; note - this insurgent group suffered military defeat in May 2009; some cadres remain scattered throughout country; other: Buddhist clergy; labor unions; radical chauvinist Sinhalese groups such as the National Movement Against Terrorism; Sinhalese Buddhist lay groups

Sudan Umma Party [SADIQ Siddiq al-Mahdi]; Popular Congress Party or PCP [Hassan al-TURABI]; Darfur rebel groups including the Justice and Equality Movement or JEM [Khalil IBRAHIM] and the Sudan Liberation Movement or SLM [various factional leaders]

Suriname Association of Indigenous Village Chiefs [Ricardo PANE]; Association of Saramaccan Authorities or Maroon [Head Captain WASE]; Women's Parliament Forum or PVF [Iris GILLIAD]

Svalbard NA

Swaziland Swaziland Democracy Campaign; Swaziland Federation of Trade Unions; Swaziland and Solidarity Network or SSN

Sweden Children's Rights in Society; Swedish Confederation of Professional Employees or TCO; Swedish Federation of Trade Unions or LO other: media

Switzerland NA

Syria Arab Human Rights Organization in Syria or AHRO; Damascus Declaration Group (a broad alliance of secular, religious, and Kurdish opposition groups); National Salvation Front (alliance between former Vice President Abd al-Halim KHADDAM and other small opposition groups in exile; formerly included the Syrian Muslim Brotherhood); Syrian Center for Media and Freedom of Expression [Mazin DARWISH]; Syrian Human Rights Organization [Muhanad al-HASANI]; Syrian Human Rights Society or HRAS [Fayez FAWAZ]; Syrian Muslim Brotherhood or SMB [Muhammad Riyad al-SHAQFAH] (operates in exile in London)

Taiwan environmental groups; independence movement; various business groups note: debate on Taiwan independence has become acceptable within the mainstream of domestic politics on Taiwan; public opinion polls consistently show a substantial majority of Taiwan people supports maintaining Taiwan's status quo for the foreseeable future; advocates of Taiwan independence oppose the stand that the island will eventually unify with mainland China; advocates of eventual unification predicate their goal on the democratic transformation of the mainland

Tajikistan splinter parties recognized by the government but not by the base of the party: Democratic Party or DPT [Masud SOBIROV] (splintered from ISKANDAROV's DPT); Socialist Party or SPT [Abduhalim GHAFFOROV] (splintered from NARZIEV's SPT) unregistered political parties: Agrarian Party [Hikmatullo NASREDDINOV]; Progressive Party [Sulton QUVVATOV]; Unity Party [Hikmatullo SAIDOV]

Tanzania Economic and Social Research Foundation or ESRF; Free Zanzibar; Tanzania Media Women's Association or TAMWA

Thailand People's Alliance for Democracy or PAD; United Front for Democracy Against Dictatorship or UDD

Timor-Leste NA

Togo NA

Tokelau none

Tonga Human Rights and Democracy Movement Tonga or HRDMT [Rev. Simote VEA, chairman]; Public Servant's Association [Finau TUTONE]

Trinidad and Tobago Jamaat-al Muslimeen [Yasin ABU BAKR]

Tunisia 18 October Group [collective leadership]; Tunisian League for Human Rights or LTDH [Mokhtar TRIFI]

Turkey Confederation of Businessmen and Industrialists of Turkey or TUSKON [Rizanur MERAL}; Confederation of Public Sector Unions or KESK [Sami EVREN]; Confederation of Revolutionary Workers Unions or DISK [Suleyman CELEBI]; Independent Industrialists' and Businessmen's Association or MUSIAD [Omer Cihad VARDAN]; Moral Rights Workers Union or Hak-Is [Salim USLU]; Turkish Confederation of Employers' Unions or TISK [Tugrul KUDATGOBILIK]; Turkish Confederation of Labor or Turk-Is [Mustafa KUMLU]; Turkish Confederation of Tradesmen and Craftsmen or TESK [Bendevi PALANDOKEN]; Turkish Industrialists' and Businessmen's Association or TUSIAD [Umit BOYNER]; Turkish Union of Chambers of Commerce and Commodity Exchanges or TOBB [M. Rifat HISARCIKLIOGLU]

Turkmenistan none

Turks and Caicos Islands NA

Tuvalu none

Uganda Lord's Resistance Army or LRA [Joseph KONY]; Young Parliamentary Association [Henry BANYENZAKI]; Parliamentary Advocacy Forum or PAFO; National Association of Women Organizations in Uganda or NAWOU [Florence NEKYON]; The Ugandan Coalition for Political Accountability to Women or COPAW

Ukraine Committee of Voters of Ukraine [Aleksandr CHERNENKO]; OPORA [Olha AIVAZOVSKA]

United Arab Emirates NA

United Kingdom Campaign for Nuclear Disarmament; Confederation of British Industry; National Farmers' Union; Trades Union Congress

United States environmentalists; business groups; labor unions; churches; ethnic groups; political action committees or PAC; health groups; education groups; civic groups; youth groups; transportation groups; agricultural groups; veterans groups; women's groups; reform lobbies

Uruguay Architect's Society of Uruguay (professional organization); Chamber of Uruguayan Industries (manufacturer's association); Chemist and Pharmaceutical Association (professional organization); PIT/CNT (powerful federation of Uruguayan Unions - umbrella labor organization); Rural Association of Uruguay (rancher's association); Uruguayan Construction League; Uruguayan Network of Political Women other: Catholic Church; students

Uzbekistan there are no significant opposition political parties or pressure groups operating in Uzbekistan

Vanuatu NA

Venezuela FEDECAMARAS, a conservative business group; VECINOS groups; Venezuelan Confederation of Workers or CTV (labor organization dominated by the Democratic Action)

Vietnam 8406 Bloc; Democratic Party of Vietnam or DPV; People's Democratic Party Vietnam or PDP-VN; Alliance for Democracy note: these groups advocate democracy but are not recognized by the government

Virgin Islands NA

Wallis and Futuna NA

Western Sahara none

Yemen Muslim Brotherhood; Women National Committee other: conservative tribal groups; Huthis, southern secessionist groups; al-Qa'ida in the Arabian Peninsula (AQAP)

Zambia NA

Zimbabwe Crisis in Zimbabwe Coalition; National Constitutional Assembly or NCA [Lovemore MADHUKU]; Women of Zimbabwe Arise or WOZA [Jenny WILLIAMS]; Zimbabwe Congress of Trade Unions or ZCTU [Wellington CHIBEBE]

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Field Listing :: Economy - overview

This entry briefly describes the type of economy, including the degree of market orientation, the level of economic development, the most important natural resources, and the unique areas of specialization. It also characterizes major economic events and policy changes in the most recent 12 months and may include a statement about one or two key future macroeconomic trends. Country

Economy - overview

Afghanistan Afghanistan's economy is recovering from decades of conflict. The economy has improved significantly since the fall of the Taliban regime in 2001 largely because of the infusion of international assistance, the recovery of the agricultural sector, and service sector growth. Despite the progress of the past few years, Afghanistan is extremely poor, landlocked, and highly dependent on foreign aid, agriculture, and trade with neighboring countries. Much of the population continues to suffer from shortages of housing, clean water, electricity, medical care, and jobs. Criminality, insecurity, weak governance, and the Afghan Government's inability to extend rule of law to all parts of the country pose challenges to future economic growth. Afghanistan's living standards are among the lowest in the world. While the international community remains committed to Afghanistan's development, pledging over $67 billion at four donors' conferences since 2002, the Government of Afghanistan will need to overcome a number of challenges, including low revenue collection, anemic job creation, high levels of corruption, weak government capacity, and poor public infrastructure.

Akrotiri Economic activity is limited to providing services to the military and their families located in Akrotiri. All food and manufactured goods must be imported.

Albania Albania, a formerly closed, centrally-planned state, is making the difficult transition to a more modern open-market economy. Macroeconomic growth averaged around 6% between 2004-08, but declined to about 3% in 2009-10. Inflation is low and stable. The government has taken measures to curb violent crime, and recently adopted a fiscal reform package aimed at reducing the large gray economy and attracting foreign investment. The economy is bolstered by annual remittances from abroad representing about 15% of GDP, mostly from Albanians residing in Greece and Italy; this helps offset the towering trade deficit. The agricultural sector, which accounts for over half of employment but only about one-fifth of GDP, is limited primarily to small family operations and subsistence farming because of lack of modern equipment, unclear property rights, and the prevalence of small, inefficient plots of land. Energy shortages because of a reliance on hydropower, and antiquated and inadequate infrastructure contribute to Albania's poor business environment and lack of success in attracting new foreign investment needed to expand the country's export base. The completion of a new thermal power plant near Vlore has helped diversify generation capacity, and plans to upgrade transmission lines between Albania and Montenegro and Kosovo would help relieve the energy shortages. Also, with help from EU funds, the government is taking steps to improve the poor national road and rail network, a long-standing barrier to sustained economic growth.

Algeria Algeria's economy remains dominated by the state, a legacy of the country's socialist post-independence development model. Gradual liberalization since the mid-1990s has opened up more of the economy, but in recent years Algeria has imposed new restrictions on foreign involvement in its economy and largely halted the privatization of state-owned industries. Hydrocarbons have long been the backbone of the economy, accounting for roughly 60% of budget revenues, 30% of GDP, and over 95% of export earnings. Algeria has the eighth-largest reserves of natural gas in the world and is the fourth-largest gas exporter. It ranks 16th in oil reserves. Thanks to strong hydrocarbon revenues, Algeria has a cushion of $150 billion in foreign currency reserves and a large hydrocarbon stabilization fund. In addition, Algeria's external debt is extremely low at about 1% of GDP. Algeria has struggled to develop industires outside of hydrocarbons in part because of high costs and an inert state bureaucracy.The government's efforts to diversify the economy by attracting foregin and domestic investment outside the energy sector have done little to reduce high poverty and youth unemployment rates. In 2010, Algeria began a five-year, $286 billion development program to update the country's infrastructure and provide jobs. The costly program will boost Algeria's economy in 2011 but worsen the country's budget deficit. Long-term economic challenges include diversification from hydrocarbons, relaxing state control of the economy, and providing adequate jobs for youger Algerians.

American Samoa American Samoa has a traditional Polynesian economy in which more than 90% of the land is communally owned. Economic activity is strongly linked to the US with which American Samoa conducts most of its commerce. Tuna fishing and tuna processing plants are the backbone of the private sector, with canned tuna the primary export. The two tuna canneries account for 80% of employment. In late September 2009, an earthquake and the resulting tsunami devastated American Samoa and nearby Samoa, disrupting transportation and power generation, and resulting in about 200 deaths. The US Federal Emergency Management Agency is overseeing a relief program of nearly $25 million. Transfers from the US Government add substantially to American Samoa's economic well being. Attempts by the government to develop a larger and broader economy are restrained by Samoa's remote location, its limited transportation, and its devastating hurricanes. Tourism is a promising developing sector.

Andorra Tourism, the mainstay of Andorra's tiny, well-to-do economy, accounts for more than 80% of GDP. An estimated 11 million tourists visit annually, attracted by Andorra's duty-free status for some products and by its summer and winter resorts. Andorra's comparative advantage eroded when the borders of neighboring France and Spain opened, providing broader availability of goods and lower tariffs. The banking sector, with its partial "tax haven" status, also contributes substantially to the economy. Agricultural production is limited - only 2% of the land is arable - and most food has to be imported. The principal livestock activity is sheep raising. Manufacturing output consists mainly of cigarettes, cigars, and furniture. Andorra is a member of the EU Customs Union and is treated as an EU member for trade in manufactured goods (no tariffs) and as a non-EU member for agricultural products.

Angola Angola's high growth rate in recent years was driven by high international prices for its oil. Angola became a member of OPEC in late 2006 and in late 2007 was assigned a production quota of 1.9 million barrels a day (bbl/day), somewhat less than the 2-2.5 million bbl/day Angola's government had wanted. Oil production and its supporting activities contribute about 85% of GDP. Diamond exports contribute an additional 5%. Subsistence agriculture provides the main livelihood for most of the people, but half of the country's food is still imported. Increased oil production supported growth averaging more than 15% per year from 2004 to 2008. A postwar reconstruction boom and resettlement of displaced persons has led to high rates of growth in construction and agriculture as well. Much of the country's infrastructure is still damaged or undeveloped from the 27-year-long civil war. Land mines left from the war still mar the countryside, even though peace was established after the death of rebel leader Jonas SAVIMBI in February 2002. Since 2005, the government has used billions of dollars in credit lines from China, Brazil, Portugal, Germany, Spain, and the EU to rebuild Angola's public infrastructure. The global recession temporarily stalled economic growth. Lower prices for oil and diamonds during the global recession led to a contraction in GDP in 2009, and many construction projects stopped because Luanda accrued $9 billion in arrears to foreign construction companies when government revenue fell in 2008 and 2009. Angola abandoned its currency peg in 2009, and in November 2009 signed onto an IMF Stand-By Arrangement loan of $1.4 billion to rebuild international reserves. Although consumer inflation declined from 325% in 2000 to under 14% in 2010, Luanda has been unable to reduce inflation below 10%. The Angolan kwanza depreciated again in mid 2010, which, along with higher oil prices, should boost economic growth in all sectors. Corruption, especially in the extractive sectors, also is a major challenge.

Anguilla Anguilla has few natural resources, and the economy depends heavily on luxury tourism, offshore banking, lobster fishing, and remittances from emigrants. Increased activity in the tourism industry has spurred the growth of the construction sector contributing to economic growth. Anguillan officials have put substantial effort into developing the offshore financial sector, which is small but growing. In the medium term, prospects for the economy will depend largely on the tourism sector and, therefore, on revived income growth in the industrialized nations as well as on favorable weather conditions.

Antarctica Scientific undertakings rather than commercial pursuits are the predominate human activity in Antarctica. Fishing off the coast and tourism, both based abroad, account for Antarctica's limited economic activity. Antarctic fisheries, targeting three main species - Patagonian and Antarctic toothfish (Dissostichus eleginoides and D. mawsoni), mackerel icefish (Champsocephalus gunnari), and krill (Euphausia superba) - reported landing 141,147 metric tons in 2008-09 (1 July - 30 June). (Estimated fishing is from the area covered by the Convention on the Conservation of Antarctic Marine Living Resources (CCAMLR), which extends slightly beyond the Antarctic Treaty area.) Unregulated fishing, particularly of Patagonian toothfish (also known as Chilean sea bass), is a serious problem. The CCAMLR determines the recommended catch limits for marine species. A total of 37,858 tourists visited the Antarctic Treaty area in the 2008-09 Antarctic summer, down from the 46,265 visitors in 2007-2008 (estimates provided to the Antarctic Treaty by the International Association of Antarctica Tour Operators (IAATO); this does not include passengers on overflights). Nearly all of them were passengers on commercial (nongovernmental) ships and several yachts that make trips during the summer.

Antigua and Barbuda Tourism continues to dominate Antigua and Barbuda's economy, accounting for nearly 60% of GDP and 40% of investment. The dual-island nation's agricultural production is focused on the domestic market and constrained by a limited water supply and a labor shortage stemming from the lure of higher wages in tourism and construction. Manufacturing comprises enclave-type assembly for export with major products being bedding, handicrafts, and electronic components. Prospects for economic growth in the medium term will continue to depend on tourist arrivals from the US, Canada, and Europe and potential damages from natural disasters. After taking office in 2004, the SPENCER government adopted an ambitious fiscal reform program, and was successful in reducing its public debt-to-GDP ratio from 120% to about 90% in 2008. However, the global financial crisis that began in 2008, has led to a significant increase in the national debt, which topped 130% at the end of 2010. The Antiguan economy experienced solid growth from 2003 to 2007, reaching over 12% in 2006 driven by a construction boom in hotels and housing associated with the Cricket World Cup, but growth dropped off in 2008 with the end of the boom. In 2009, Antigua's economy was severely hit by the global economic crisis, suffering from the collapse of its largest financial institution and a steep decline in tourism. This decline continued in 2010 as the country struggled with a yawning budget deficit.

Arctic Ocean Economic activity is limited to the exploitation of natural resources, including petroleum, natural gas, fish, and seals.

Argentina Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Although one of the world's wealthiest countries 100 years ago, Argentina suffered during most of the 20th century from recurring economic crises, persistent fiscal and current account deficits, high inflation, mounting external debt, and capital flight. A severe depression, growing public and external indebtedness, and a bank run culminated in 2001 in the most serious economic, social, and political crisis in the country's turbulent history. Interim President Adolfo RODRIGUEZ SAA declared a default - the largest in history - on the government's foreign debt in December of that year, and abruptly resigned only a few days after taking office. His successor, Eduardo DUHALDE, announced an end to the peso's decade-long 1-to-1 peg to the US dollar in early 2002. The economy bottomed out that year, with real GDP 18% smaller than in 1998 and almost 60% of Argentines under the poverty line. Real GDP rebounded to grow by an average 8.5% annually over the subsequent six years, taking advantage of previously idled industrial capacity and labor, an audacious debt restructuring and reduced debt burden, excellent international financial conditions, and expansionary monetary and fiscal policies. Inflation also increased, however, during the administration of President Nestor KIRCHNER, which responded with price restraints on businesses, as well as export taxes and restraints, and beginning in early 2007, with understating inflation data. Cristina FERNANDEZ DE KIRCHNER succeeded her husband as President in late 2007, and the rapid economic growth of previous years began to slow sharply the following year as government policies held back exports and the world economy fell into recession. The economy has rebounded from the 2009 recession, but the government's continued reliance on expansionary fiscal and monetary policies risks exacerbating already high inflation, which remains under-reported by official statistics.

Armenia After several years of double-digit economic growth, Armenia faced a severe economic recession with GDP declining more than 14% in 2009, despite large loans from multilateral institutions. Sharp declines in the construction sector and workers' remittances, particularly from Russia, were the main reasons for the downturn. The economy began to recover in 2010 with nearly 5% growth. Under the old Soviet central planning system, Armenia developed a modern industrial sector, supplying machine tools, textiles, and other manufactured goods to sister republics, in exchange for raw materials and energy. Armenia has since switched to small-scale agriculture and away from the large agroindustrial complexes of the Soviet era. Armenia has managed to reduce poverty, slash inflation, stabilize its currency, and privatize most small- and medium-sized enterprises. Since the breakup of the Soviet Union in 1991, Armenia had made progress in implementing some economic reforms, including privatization, price reforms, and prudent fiscal policies, but geographic isolation, a narrow export base, and pervasive monopolies in important business sectors have made Armenia particularly vulnerable to the sharp deterioration in the global economy and the economic downturn in Russia. The conflict with Azerbaijan over the ethnic Armenian-dominated region of Nagorno-Karabakh contributed to a severe economic decline in the early 1990s and Armenia's borders with Turkey remain closed until 2010, when Turkey and Armenia signed an accord to reestablish diplomatic relations. Armenia is particularly dependent on Russian commercial and governmental support and most key Armenian infrastructure is Russian-owned and/or managed, especially in the energy sector. The electricity distribution system was privatized in 2002 and bought by Russia's RAO-UES in 2005. Construction of a pipeline to deliver natural gas from Iran to Armenia was completed in December 2008, and gas deliveries are slated to expand due to the April 2010 completion of the Yerevan Thermal Power Plant. Armenia has some mineral deposits (copper, gold, bauxite). Pig iron, unwrought copper, and other nonferrous metals are Armenia's highest valued exports. Armenia's severe trade imbalance has been offset somewhat by international aid, remittances from Armenians working abroad, and foreign direct investment. Armenia joined the WTO in January 2003. The government made some improvements in tax and customs administration in recent years, but anti-corruption measures have been ineffective and the current economic downturn has led to a sharp drop in tax revenue and forced the government to accept large loan packages from Russia, the IMF, and other international financial institutions. Armenia will need to pursue additional economic reforms in order to regain economic growth and improve economic competitiveness and employment opportunities, especially given its economic isolation from two of its nearest neighbors, Turkey and Azerbaijan.

Aruba Tourism is the mainstay of the small open Aruban economy, together with offshore banking. Oil refining and storage ended in 2009. The rapid growth of the tourism sector over the last decade has resulted in a substantial expansion of other activities. Over 1.5 million tourists per year visit Aruba with 75% of those from the US. Construction continues to boom with hotel capacity five times the 1985 level. Tourist arrivals rebounded strongly following a dip after the 11 September 2001 attacks. The government has made cutting the budget and trade deficits a high priority.

Ashmore and Cartier Islands no economic activity

Atlantic Ocean The Atlantic Ocean provides some of the world's most heavily trafficked sea routes, between and within the Eastern and Western Hemispheres. Other economic activity includes the exploitation of natural resources, e.g., fishing, dredging of aragonite sands (The Bahamas), and production of crude oil and natural gas (Caribbean Sea, Gulf of Mexico, and North Sea).

Australia Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron ore, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia also has a large services sector and is a significant exporter of natural resources, energy, and food. Key tenets of Australia's trade policy include support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy grew for 17 consecutive years before the global financial crisis. Subsequently, the Rudd government introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the slowing world economy, while the Reserve Bank of Australia cut interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy rebound after just one quarter of negative growth. The economy grew by 1.2% during 2009 - the best performance in the OECD. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009 and fell to 5.1% in 2010. As a result of an improved economy, the budget deficit is expected to peak below 4.2% of GDP and the government could return to budget surpluses as early as 2015. Australia was one of the first advanced economies to raise interest rates, with seven rate hikes between October 2009 and November 2010. The GILLARD government is focused on raising Australia's economic productivity to ensure the sustainability of growth, and continues to manage the symbiotic, but sometimes tense, economic relationship with China. Australia is engaged in the Trans-Pacific Partnership talks and ongoing free trade agreement negotiations with China, Japan, and Korea.

Austria Austria, with its well-developed market economy and high standard of living, is closely tied to other EU economies, especially Germany's. Its economy features a large service sector, a sound industrial sector, and a small, but highly developed agricultural sector. Following several years of solid foreign demand for Austrian exports and record employment growth, the international financial crisis and global economic downturn in 2008 led to a recession that persisted until the third quarter of 2009. Austrian GDP contracted 3.8% in 2009 but saw positive growth of about 2% in 2010. Unemployment has not risen as steeply in Austria as elsewhere in Europe, partly because its government has subsidized reduced working hour schemes to allow companies to retain employees. Such stabilization measures, stimulus initiatives, and the government's income tax reforms pushed the budget deficit to 3.5% of GDP in 2009 and about 5% in 2010, from only about 1.3% in 2008. The international financial crisis caused difficulties for some of Austria's largest banks whose extensive operations in central, eastern, and southeastern Europe faced large losses. The government provided bank support - including in some instances, nationalization - to prevent insolvency and possible regional contagion. In the medium-term all large Austrian banks will need additional capital. Even after the global economic outlook improves, Austria will need to continue restructuring, emphasizing knowledge-based sectors of the economy, and encouraging greater labor flexibility and greater labor participation to offset growing unemployment and Austria's aging population and exceedingly low fertility rate.

Azerbaijan Azerbaijan's high economic growth during 2006-08 was attributable to large and growing oil exports, but some non-export sectors also featured double-digit growth, spurred by growth in the construction, banking, and real estate sectors. In 2009, economic growth remained above 9% even as oil prices moderated and growth in the construction sector cooled. In 2010, economic growth slowed to approximately 3.7%, although the impact of the global financial crisis was less severe than in many other countries in the region. The current global economic slowdown presents some challenges for the Azerbaijani economy as oil prices remain below their mid-2008 highs, highlighting Azerbaijan's reliance on energy exports and lackluster attempts to diversify its economy. Azerbaijan's oil production increased dramatically in 1997, when Azerbaijan signed the first production-sharing arrangement (PSA) with the Azerbaijan International Operating Company. Oil exports through the Baku-Tbilisi-Ceyhan Pipeline remain the main economic driver while efforts to boost Azerbaijan's gas production are underway. However, Azerbaijan has made only limited progress on instituting market-based economic reforms. Pervasive public and private sector corruption and structural economic inefficiencies remain a drag on long-term growth, particularly in non-energy sectors. Several other obstacles impede Azerbaijan's economic progress: the need for stepped up foreign investment in the non-energy sector and the continuing conflict with Armenia over the Nagorno-Karabakh region. Trade with Russia and the other former Soviet republics is declining in importance, while trade is building with Turkey and the nations of Europe. Long-term prospects will depend on world oil prices, the location of new oil and gas pipelines in the region, and Azerbaijan's ability to manage its energy wealth to promote sustainable growth in non-energy sectors of the economy and spur employment.

Bahamas, The The Bahamas is one of the wealthiest Caribbean countries with an economy heavily dependent on tourism and offshore banking. Tourism together with tourism-driven construction and manufacturing accounts for approximately 60% of GDP and directly or indirectly employs half of the archipelago's labor force. Prior to 2006, a steady growth in tourism receipts and a boom in construction of new hotels, resorts, and residences led to solid GDP growth but since then tourism receipts have begun to drop off. The global recession in 2009 took a sizeable toll on the Bahamas, resulting in a contraction in GDP and a widening budget deficit. The decline continued in 2010 as tourism from the US and sector investment lagged. Financial services constitute the second-most important sector of the Bahamian economy and, when combined with business services, account for about 36% of GDP. However, the financial sector currently is smaller than it has been in the past because of the enactment of new and more strict financial regulations in 2000 that caused many international businesses to relocate elsewhere. Manufacturing and agriculture combined contribute approximately a tenth of GDP and show little growth, despite government incentives aimed at those sectors. Overall growth prospects in the short run rest heavily on the fortunes of the tourism sector.

Bahrain Bahrain is one of the most diversified economies in the Persian Gulf. Highly developed communication and transport facilities make Bahrain home to numerous multinational firms with business in the Gulf. As part of its diversification plans, Bahrain implemented a Free Trade Agreement (FTA) with the US in August 2006, the first FTA between the US and a Gulf state. Bahrain's economy, however, continues to depend heavily on oil. Petroleum production and refining account for more than 60% of Bahrain's export receipts, 70% of government revenues, and 11% of GDP (exclusive of allied industries). Other major economic activities are production of aluminum - Bahrain's second biggest export after oil - finance, and construction. Bahrain competes with Malaysia as a worldwide center for Islamic banking and continues to seek new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. Unemployment, especially among the young, is a long-term economic problem Bahrain struggles to address. In 2009, to help lower unemployment among Bahraini nationals, Bahrain reduced sponsorship for expatriate workers, increasing the costs of employing foreign labor. The global financial crisis caused funding for many non-oil projects to dry up and resulted in slower economic growth for Bahrain. Other challenges facing Bahrain include the slow growth of government debt as a result of a large subsidy program, the financing of large government projects, and debt restructuring, such as the bailout of state-owned Gulf Air.

Bangladesh The economy has grown 5-6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, and slow implementation of economic reforms. Bangladesh remains a poor, overpopulated, and inefficiently-governed nation. Although more than half of GDP is generated through the service sector, 45% of Bangladeshis are employed in the agriculture sector, with rice as the single-most-important product. Bangladesh's growth was resilient during the 2008-09 global financial crisis and recession. Garment exports, totaling $12.3 billion in FY09 and remittances from overseas Bangladeshis totaling $9.7 billion in FY09 accounted for almost 25% of GDP.

Barbados Historically, the Barbadian economy was dependent on sugarcane cultivation and related activities. However, in recent years the economy has diversified into light industry and tourism with about three-quarters of GDP and 80% of exports being attributed to services. Growth has rebounded since 2003, bolstered by increases in construction projects and tourism revenues, reflecting its success in the higher-end segment, but the sector faced declining revenues in 2009 with the global economic downturn. The country enjoys one of the highest per capita incomes in the region. Offshore finance and information services are important foreign exchange earners and thrive from having the same time zone as eastern US financial centers and a relatively highly educated workforce. The government continues its efforts to reduce unemployment, to encourage direct foreign investment, and to privatize remaining state-owned enterprises. The public debt-to-GDP ratio rose to over 100% in 2009, largely because a sharp slowdown in tourism and financial services led to a wide budget deficit.

Belarus Belarus has seen limited structural reform since 1995, when President LUKASHENKO launched the country on the path of "market socialism." In keeping with this policy, LUKASHENKO reimposed administrative controls over prices and currency exchange rates and expanded the state's right to intervene in the management of private enterprises. Since 2005, the government has re-nationalized a number of private companies. In addition, businesses have been subjected to pressure by central and local governments, including arbitrary changes in regulations, numerous rigorous inspections, retroactive application of new business regulations, and arrests of "disruptive" businessmen and factory owners. Continued state control over economic operations hampers market entry for businesses, both domestic and foreign. Government statistics indicate GDP growth was strong, surpassing 10% in 2008, despite the roadblocks of a tough, centrally directed economy with a high rate of inflation and a low rate of unemployment. However, the global crisis pushed the country into recession in 2009, and GDP grew only 0.2% for the year. Slumping foreign demand hit the industrial sector hard. Minsk has depended on a standby-agreement with the IMF to assist with balance of payments shortfalls. In line with IMF conditions, in 2009, Belarus devalued the ruble more than 40% and tightened some fiscal and monetary policies. On 1 January 2010, Russia, Kazakhstan and Belarus launched a customs union, with unified trade regulations and customs codes still under negotiation. In late January, Russia and Belarus amended their 2007 oil supply agreement. The new terms raised prices for above quota purchases, increasing Belarus' current account deficit. GDP grew 4.8% in 2010, in part, on the strength of renewed export growth. In December 2010, Belarus, Russia and Kazakhstan signed an agreement to form a Common Economic Space and Russia removed all Belarusian oil duties.

Belgium This modern, private-enterprise economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the populous Flemish area in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries. In 2009 Belgian GDP contracted by 2.7%, the unemployment rate rose slightly, and the budget deficit worsened because of large-scale bail-outs in the financial sector. Belgium's budget deficit widened to 4.8% of GDP in 2010, while public debt was just over 100% of GDP. Belgian banks have been severely affected by the international financial crisis with three major banks receiving capital injections from the government. An ageing population and rising social expenditures are also increasing pressure on public finances, making it likely the government will need to implement unpopular austerity measures to assuage investor concerns about Belgium's ability to restore fiscal balance.

Belize In this small, essentially private-enterprise economy, tourism is the number one foreign exchange earner followed by exports of marine products, citrus, cane sugar, bananas, and garments. The government's expansionary monetary and fiscal policies, initiated in September 1998, led to sturdy GDP growth averaging nearly 4% in 1999-2007, though growth slipped to 3.8% in 2008, 0% in 2009, and 1.5% in 2010 as a result of the global slowdown, natural disasters, and the drop in the price of oil. Oil discoveries in 2006 bolstered economic growth. Exploration efforts continue and production increased a small amount in 2009. Major concerns continue to be the sizable trade deficit and heavy foreign debt burden. In February 2007, the government restructured nearly all of its public external commercial debt, which helped reduce interest payments and relieved some of the country's liquidity concerns. A key objective remains the reduction of poverty and inequality with the help of international donors.

Benin The economy of Benin remains underdeveloped and dependent on subsistence agriculture, cotton production, and regional trade. Growth in real output had averaged about 4% before the global recession, but fell to 2.5% in 2009 and 3% in 2010. Inflation has subsided over the past several years. In order to raise growth, Benin plans to attract more foreign investment, place more emphasis on tourism, facilitate the development of new food processing systems and agricultural products, and encourage new information and communication technology. Specific projects to improve the business climate by reforms to the land tenure system, the commercial justice system, and the financial sector were included in Benin's $307 million Millennium Challenge Account grant signed in February 2006. The 2001 privatization policy continues in telecommunications, water, electricity, and agriculture. As result of these reforms, Benin has become the most competitive country in the West African Economic and Monetary Union, according to the World Economic Forum. The Paris Club and bilateral creditors have eased the external debt situation, with Benin benefiting from a G-8 debt reduction announced in July 2005, while pressing for more rapid structural reforms. An insufficient electrical supply continues to adversely affect Benin's economic growth though the government recently has taken steps to increase domestic power production.

Bermuda Bermuda enjoys the third highest per capita income in the world, more than 50% higher than that of the US; the average cost of a house by the mid-2000s exceeded $1,000,000. Its economy is primarily based on providing financial services for international business and luxury facilities for tourists. A number of reinsurance companies relocated to the island following the 11 September 2001 attacks and again after Hurricane Katrina in August 2005 contributing to the expansion of an already robust international business sector. Bermuda's tourism industry - which derives over 80% of its visitors from the US - continues to struggle but remains the island's number two industry. Most capital equipment and food must be imported. Bermuda's industrial sector is largely focused on construction and agriculture is limited, with only 20% of the land being arable.

Bhutan The economy, one of the world's smallest and least developed, is based on agriculture and forestry, which provide the main livelihood for more than 60% of the population. Agriculture consists largely of subsistence farming and animal husbandry. Rugged mountains dominate the terrain and make the building of roads and other infrastructure difficult and expensive. The economy is closely aligned with India's through strong trade and monetary links and dependence on India's financial assistance. The industrial sector is technologically backward, with most production of the cottage industry type. Most development projects, such as road construction, rely on Indian migrant labor. Model education, social, and environment programs are underway with support from multilateral development organizations. Each economic program takes into account the government's desire to protect the country's environment and cultural traditions. For example, the government, in its cautious expansion of the tourist sector, encourages visits by upscale, environmentally conscientious tourists. Complicated controls and uncertain policies in areas such as industrial licensing, trade, labor, and finance continue to hamper foreign investment. Hydropower exports to India have boosted Bhutan's overall growth. New hydropower projects will be the driving force behind Bhutan's ability to create employment and sustain growth in the coming years.

Bolivia Bolivia is one of the poorest and least developed countries in Latin America. Following a disastrous economic crisis during the early 1980s, reforms spurred private investment, stimulated economic growth, and cut poverty rates in the 1990s. The period 2003-05 was characterized by political instability, racial tensions, and violent protests against plans - subsequently abandoned - to export Bolivia's newly discovered natural gas reserves to large northern hemisphere markets. In 2005, the government passed a controversial hydrocarbons law that imposed significantly higher royalties and required foreign firms then operating under risk-sharing contracts to surrender all production to the state energy company in exchange for a predetermined service fee. After higher prices for mining and hydrocarbons exports produced a fiscal surplus in 2008, the global recession in 2009 slowed growth. A decline in commodity prices that began in late 2008, a lack of foreign investment in the mining and hydrocarbon sectors, a poor infrastructure, and the suspension of trade benefits with the United States will pose challenges for the Bolivian economy.

Bosnia and Herzegovina The interethnic warfare in Bosnia and Herzegovina caused production to plummet by 80% from 1992 to 1995 and unemployment to soar. With an uneasy peace in place, output recovered in 1996-99 at high percentage rates from a low base; but output growth slowed in 2000-02. Part of the lag in output was made up in 2003-08 when GDP growth exceeded 5% per year. However, the country experienced negative GDP growth of almost 3% in 2009 due in large part to a reduction in exports caused by the global economic crisis. One of Bosnia's main economic challenges in 2010 has been to reduce spending on public sector wages and social benefits to meet the IMF's criteria for obtaining funding for budget shortfalls. Banking reform accelerated in 2001 as all the Communist-era payments bureaus were shut down; foreign banks, primarily from Austria and Italy, now control most of the banking sector. The konvertibilna marka (convertible mark or BAM)- the national currency introduced in 1998 - is pegged to the euro, and confidence in the currency and the banking sector has increased. Bosnia's private sector is growing and foreign investment is slowly increasing, but government spending, at roughly 50% of GDP, remains high because of redundant government offices at the state, entity and municipal level. Privatization of state enterprises, however, has been slow, particularly in the Federation where political division between ethnically-based political parties makes agreement on economic policy more difficult. A sizeable current account deficit and high unemployment rate remain the two most serious macroeconomic problems. Successful implementation of a value-added tax in 2006 provided a predictable source of revenue for the government and helped rein in gray market activity. National-level statistics have also improved over time but a large share of economic activity remains unofficial and unrecorded. Bosnia and Herzegovina became a full member of the Central European Free Trade Agreement in September 2007.

Botswana Botswana has maintained one of the world's highest economic growth rates since independence in 1966, though growth fell below 5% in 2007-08, and turned sharply negative in 2009, with industry falling nearly 30%. Through fiscal discipline and sound management, Botswana transformed itself from one of the poorest countries in the world to a middle-income country with a per capita GDP of $13,100 in 2010. Two major investment services rank Botswana as the best credit risk in Africa. Diamond mining has fueled much of the expansion and currently accounts for more than one-third of GDP, 70-80% of export earnings, and about half of the government's revenues. Botswana's heavy reliance on a single luxury export was a critical factor in the sharp economic contraction of 2009. Tourism, financial services, subsistence farming, and cattle raising are other key sectors. Although unemployment was 7.5% in 2007 according to official reports, unofficial estimates place it closer to 40%. The prevalence of HIV/AIDS is second highest in the world and threatens Botswana's impressive economic gains. An expected leveling off in diamond mining production within the next two decades overshadows long-term prospects.

Bouvet Island no economic activity; declared a nature reserve

Brazil Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, Brazil's economy outweighs that of all other South American countries, and Brazil is expanding its presence in world markets. Since 2003, Brazil has steadily improved its macroeconomic stability, building up foreign reserves, and reducing its debt profile by shifting its debt burden toward real denominated and domestically held instruments. In 2008, Brazil became a net external creditor and two ratings agencies awarded investment grade status to its debt. After record growth in 2007 and 2008, the onset of the global financial crisis hit Brazil in September 2008. Brazil experienced two quarters of recession, as global demand for Brazil's commodity-based exports dwindled and external credit dried up. However, Brazil was one of the first emerging markets to begin a recovery. Consumer and investor confidence revived and GDP growth returned to positive in 2010, boosted by an export recovery. Brazil's strong growth and high interest rates make it an attractive destination for foreign investors. Large capital inflows over the past year have contributed to the rapid appreciation of its currency and led the government to raise taxes on some foreign investments. President Dilma ROUSSEFF has pledged to retain the previous administration's commitment to inflation targeting by the Central Bank, a floating exchange rate, and fiscal restraint.

British Indian Ocean Territory All economic activity is concentrated on the largest island of Diego Garcia, where a joint UK-US military facility is located. Construction projects and various services needed to support the military installation are performed by military and contract employees from the UK, Mauritius, the Philippines, and the US. There are no industrial or agricultural activities on the islands. The territory earns foreign exchange by selling fishing licenses and postage stamps.

British Virgin Islands The economy, one of the most stable and prosperous in the Caribbean, is highly dependent on tourism generating an estimated 45% of the national income. More than 934,000 tourists, mainly from the US, visited the islands in 2008. In the mid-1980s, the government began offering offshore registration to companies wishing to incorporate in the islands, and incorporation fees now generate substantial revenues. Roughly 400,000 companies were on the offshore registry by yearend 2000. The adoption of a comprehensive insurance law in late 1994, which provides a blanket of confidentiality with regulated statutory gateways for investigation of criminal offenses, made the British Virgin Islands even more attractive to international business. Livestock raising is the most important agricultural activity; poor soils limit the islands' ability to meet domestic food requirements. Because of traditionally close links with the US Virgin Islands, the British Virgin Islands has used the US dollar as its currency since 1959.

Brunei Brunei has a small well-to-do economy that encompasses a mixture of foreign and domestic entrepreneurship, government regulation, welfare measures, and village tradition. Crude oil and natural gas production account for just over half of GDP and more than 90% of exports. Per capita GDP is among the highest in Asia, and substantial income from overseas investment supplements income from domestic production. The government provides for all medical services and free education through the university level and subsidizes rice and housing. A new monetary authority was established in January 2011 with responsibilities that include monetary policy, monitoring of financial institutions, and currency trading activities. Other plans for the future include upgrading the labor force, reducing unemployment, strengthening the banking and tourist sectors, increasing agricultural production, and, in general, further widening the economic base beyond oil and gas.

Bulgaria Bulgaria, a former Communist country that entered the EU on 1 January 2007, averaged more than 6% growth from 2004 to 2008, driven by significant amounts of foreign direct investment and consumption. Successive governments have demonstrated a commitment to economic reforms and responsible fiscal planning, but the global downturn sharply reduced domestic demand, exports, capital inflows, and industrial production. GDP contracted by approximately 5% in 2009, and stagnated in 2010, despite a significant recovery in exports. The economy is expected to grow modestly in 2011, however. Corruption in the public administration, a weak judiciary, and the presence of organized crime remain significant challenges.

Burkina Faso Burkina Faso is a poor, landlocked country that relies heavily on cotton and gold exports for revenue. The country has few natural resources and a weak industrial base. About 90% of the population is engaged in subsistence agriculture, which is vulnerable to periodic drought. Cotton is the main cash crop. Since 1998, Burkina Faso has embarked upon a gradual privatization of state-owned enterprises and in 2004 revised its investment code to attract foreign investment. As a result of this new code and other legislation favoring the mining sector, the country has seen an upswing in gold exploration and production. By 2010, gold had become the main source of export revenue.

Burma Burma, a resource-rich country, suffers from pervasive government controls, inefficient economic policies, corruption, and rural poverty. Despite Burma's emergence as a natural gas exporter, socio-economic conditions have deteriorated under the regime's mismanagement, leaving most of the public in poverty, while military leaders and their business cronies exploit the country's ample natural resources. The economy suffers from serious macroeconomic imbalances - including rising inflation, fiscal deficits, multiple official exchange rates that overvalue the Burmese kyat, a distorted interest rate regime, unreliable statistics, and an inability to reconcile national accounts to determine a realistic GDP figure. Burma's poor investment climate hampers the inflow of foreign investment; in recent years, foreign investors have shied away from nearly every sector except for natural gas, power generation, timber, and mining. The business climate is widely perceived as opaque, corrupt, and highly inefficient. Over 60% of the FY 2009-10 budget is allocated to state owned enterprises - most operating at a deficit. The government has recently privatized a number of state owned enterprises, but most of the benefits have accrued to regime insiders and cronies. The most productive sectors will continue to be in extractive industries - especially oil and gas, mining, and timber - with the latter two causing significant environmental degradation. Other areas, such as manufacturing, tourism and services, struggle in the face of inadequate infrastructure, unpredictable trade policies, neglected health and education systems, and endemic corruption. A major banking crisis in 2003 caused 20 private banks to close; private banks still operate under tight restrictions, limiting the private sector's access to credit. The United States, the European Union, Canada, and Australia have imposed financial and economic sanctions on Burma, prohibiting most financial transactions with Burmese entities, imposing travel bans on Burmese officials and others connected to the ruling regime, and banning imports of certain Burmese products. These sanctions affected the country's fledgling garment industry, isolated the struggling banking sector, and raised the costs of doing business with Burmese companies, particularly firms tied to Burmese regime leaders. The global crisis of 2008-09 caused exports and domestic consumer demand to drop. Remittances from overseas Burmese workers - who had provided significant financial support for their families - slowed or dried up as jobs were lost and migrant workers returned home. Though the Burmese government has good economic relations with its neighbors, better investment and business climates and an improved political situation are needed to promote serious foreign investment, exports, and tourism.

Burundi Burundi is a landlocked, resource-poor country with an underdeveloped manufacturing sector. The economy is predominantly agricultural which accounts for about 35% of GDP and employs more than 90% of the population. Burundi's primary exports are coffee and tea, which account for 90% of foreign exchange earnings, though exports are a relatively small share of GDP. Burundi's export earning - and its ability to pay for imports - rests primarily on weather conditions and international coffee and tea prices. The Tutsi minority, 14% of the population, dominates the coffee trade. An ethnic-based war that lasted for over a decade resulted in more than 200,000 deaths, forced more than 48,000 refugees into Tanzania, and displaced 140,000 others internally. Only one in two children go to school, and approximately one in 15 adults has HIV/AIDS. Food, medicine, and electricity remain in short supply. Burundi's GDP grew around 4% annually in 2006-09. Political stability and the end of the civil war have improved aid flows and economic activity has increased, but underlying weaknesses - a high poverty rate, poor education rates, a weak legal system, and low administrative capacity - risk undermining planned economic reforms. Burundi will continue to remain heavily dependent on aid from bilateral and multilateral donors; the delay of funds after a corruption scandal cut off bilateral aid in 2007 reduced government's revenues and its ability to pay salaries. Burundi joined the East African Community, which should boost Burundi's regional trade ties, and received $700 million in debt relief in 2009. Instability spilling over from eastern Congo-Kinshasa and the ban on minerals smuggled across Burundi's border will be the main challenges to economic growth.

Cambodia From 2004 to 2007, the economy grew about 10% per year, driven largely by an expansion in the garment sector, construction, agriculture, and tourism. GDP contracted 1.5% in 2009 as a result of the global economic slowdown, but climbed more than 4% in 1010, driven by renewed exports. With the January 2005 expiration of a WTO Agreement on Textiles and Clothing, Cambodian textile producers were forced to compete directly with lower-priced countries such as China, India, Vietnam, and Bangladesh. The garment industry currently employs more than 280,000 people - about 5% of the work force - and contributes more than 70% of Cambodia's exports. In 2005, exploitable oil deposits were found beneath Cambodia's territorial waters, representing a new revenue stream for the government if commercial extraction begins. Mining also is attracting significant investor interest, particularly in the northern parts of the country. The government has said opportunities exist for mining bauxite, gold, iron and gems. In 2006, a US-Cambodia bilateral Trade and Investment Framework Agreement (TIFA) was signed, and several rounds of discussions have been held since 2007. Rubber exports increased about 25% in 2009 due to rising global demand. The tourism industry has continued to grow rapidly, with foreign arrivals exceeding 2 million per year in 2007-08, however, economic troubles abroad dampened growth in 2009. The global financial crisis is weakening demand for Cambodian exports, and construction is declining due to a shortage of credit. The long-term development of the economy remains a daunting challenge. The Cambodian government is working with bilateral and multilateral donors, including the World Bank and IMF, to address the country's many pressing needs. The major economic challenge for Cambodia over the next decade will be fashioning an economic environment in which the private sector can create enough jobs to handle Cambodia's demographic imbalance. More than 50% of the population is less than 25 years old. The population lacks education and productive skills, particularly in the poverty-ridden countryside, which suffers from an almost total lack of basic infrastructure.

Cameroon Because of its modest oil resources and favorable agricultural conditions, Cameroon has one of the best-endowed primary commodity economies in sub-Saharan Africa. Still, it faces many of the serious problems facing other underdeveloped countries, such as stagnate per capita income, a relatively inequitable distribution of income, a top-heavy civil service, and a generally unfavorable climate for business enterprise. Since 1990, the government has embarked on various IMF and World Bank programs designed to spur business investment, increase efficiency in agriculture, improve trade, and recapitalize the nation's banks. The IMF is pressing for more reforms, including increased budget transparency, privatization, and poverty reduction programs. Weak prices for oil and cocoa led to the significant slowdown in growth in 2009. The government is under pressure to reduce its budget deficit, which by the government's own forecast will hit 2.8% of GDP, but the presidential election in 2011 may make fiscal austerity difficult.

Canada As an affluent, high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and affluent living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its great natural resources, skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the country's tradition of conservative lending practices and strong capitalization. During 2010, Canada's economy grew only 3%, because of weak exports.

Cape Verde This island economy suffers from a poor natural resource base, including serious water shortages exacerbated by cycles of long-term drought and poor soil for agriculture on several of the islands. The economy is service oriented with commerce, transport, tourism, and public services accounting for about three-fourths of GDP. Although nearly 70% of the population lives in rural areas, the share of food production in GDP is low. About 82% of food must be imported. The fishing potential, mostly lobster and tuna, is not fully exploited. Cape Verde annually runs a high trade deficit financed by foreign aid and remittances from its large pool of emigrants; remittances supplement GDP by more than 20%. Despite the lack of resources, sound economic management has produced steadily improving incomes. Continued economic reforms are aimed at developing the private sector and attracting foreign investment to diversify the economy. Future prospects depend heavily on the maintenance of aid flows, the encouragement of tourism, remittances, and the momentum of the government's development program. Cape Verde became a member of the WTO in July 2008.

Cayman Islands With no direct taxation, the islands are a thriving offshore financial center. More than 93,000 companies were registered in the Cayman Islands as of 2008, including almost 300 banks, 800 insurers, and 10,000 mutual funds. A stock exchange was opened in 1997. Tourism is also a mainstay, accounting for about 70% of GDP and 75% of foreign currency earnings. The tourist industry is aimed at the luxury market and caters mainly to visitors from North America. Total tourist arrivals exceeded 1.9 million in 2008, with about half from the US. About 90% of the islands' food and consumer goods must be imported. The Caymanians enjoy one of the highest outputs per capita and one of the highest standards of living in the world.

Central African Republic Subsistence agriculture, together with forestry, remains the backbone of the economy of the Central African Republic (CAR), with about 60% of the population living in outlying areas. The agricultural sector generates more than half of GDP. Timber has accounted for about 16% of export earnings and the diamond industry, for 40%. Important constraints to economic development include the CAR's landlocked position, a poor transportation system, a largely unskilled work force, and a legacy of misdirected macroeconomic policies. Factional fighting between the government and its opponents remains a drag on economic revitalization. Distribution of income is extraordinarily unequal. Grants from France and the international community can only partially meet humanitarian needs.

Chad Chad's primarily agricultural economy will continue to be boosted by major foreign direct investment projects in the oil sector that began in 2000. At least 80% of Chad's population relies on subsistence farming and livestock raising for its livelihood. Chad's economy has long been handicapped by its landlocked position, high energy costs, and a history of instability. Chad relies on foreign assistance and foreign capital for most public and private sector investment projects. A consortium led by two US companies has been investing $3.7 billion to develop oil reserves - estimated at 1 billion barrels - in southern Chad. Chinese companies are also expanding exploration efforts and are currently building a 300-km pipleline and the country's first refinery. The nation's total oil reserves are estimated at 1.5 billion barrels. Oil production came on stream in late 2003. Chad began to export oil in 2004. Cotton, cattle, and gum arabic provide the bulk of Chad's non-oil export earnings.

Chile Chile has a market-oriented economy characterized by a high level of foreign trade and a reputation for strong financial institutions and sound policy that have given it the strongest sovereign bond rating in South America. Exports account for more than one-fourth of GDP, with commodities making up some three-quarters of total exports. Copper alone provides one-third of government revenue. During the early 1990s, Chile's reputation as a role model for economic reform was strengthened when the democratic government of Patricio AYLWIN - which took over from the military in 1990 - deepened the economic reform initiated by the military government. Growth in real GDP averaged 8% during 1991-97, but fell to half that level in 1998 because of tight monetary policies implemented to keep the current account deficit in check and because of lower export earnings - the latter a product of the global financial crisis. A severe drought exacerbated the situation in 1999, reducing crop yields and causing hydroelectric shortfalls and electricity rationing, and Chile experienced negative economic growth for the first time in more than 15 years. In the years since then, growth has averaged 4% per year. Chile deepened its longstanding commitment to trade liberalization with the signing of a free trade agreement with the US, which took effect on 1 January 2004. Chile claims to have more bilateral or regional trade agreements than any other country. It has 57 such agreements (not all of them full free trade agreements), including with the European Union, Mercosur, China, India, South Korea, and Mexico. Over the past seven years, foreign direct investment inflows have quadrupled to some $15 billion in 2010, but FDI had dropped to about $7 billion in 2009 in the face of diminished investment throughout the world. The Chilean government conducts a rule-based countercyclical fiscal policy, accumulating surpluses in sovereign wealth funds during periods of high copper prices and economic growth, and allowing deficit spending only during periods of low copper prices and growth. As of September 2008, those sovereign wealth funds - kept mostly outside the country and separate from Central Bank reserves - amounted to more than $20 billion. Chile used $4 billion from this fund to finance a fiscal stimulus package to fend off recession. In December 2009, the OECD invited Chile to become a full member, after a two year period of compliance with organization mandates. The economy started to show signs of a rebound in the fourth quarter, 2009, and GDP grew more than 5% in 2010. The magnitude 8.8 earthquake that struck Chile in February 2010 was one of the top ten strongest earthquakes on record. It caused considerable damage near the epicenter, located about 70 miles from Concepcion - and about 200 miles southwest of Santiago.

China China's economy since the late 1970s has changed from a closed, centrally planned system to a more market-oriented one that plays a major role in the global economy - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, creation of a diversified banking system, development of stock markets, rapid growth of the private sector, and opening to foreign trade and investment. China generally has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors it considers important to "economic security," explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years, in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2010 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceeded those of the US, although China was second to the US in the value of services it produced. Still, per capita income is below the world average. The Chinese government faces numerous economic development challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and approximately 200 million rural laborers and their dependents have relocated to urban areas to find work. One demographic consequence of the "one child" policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the north - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. In 2009, the global economic downturn reduced foreign demand for Chinese exports for the first time in many years, but China rebounded quickly, outperforming all other major economies in 2010 with GDP growth around 10%. The economy appears set to remain on a strong growth trajectory in 2011, lending credibility to the stimulus policies the regime rolled out during the global financial crisis. The government vows to continue reforming the economy and emphasizes the need to increase domestic consumption in order to make the economy less dependent on exports for GDP growth in the future, but China likely will make only marginal progress toward these rebalancing goals in 2011. Two economic problems China currently faces are inflation - which, late in 2010, surpassed the government's target of 3% - and local government debt, which swelled as a result of stimulus policies, and is largely off-the-books and potentially low-quality.

Christmas Island Phosphate mining had been the only significant economic activity, but in December 1987 the Australian government closed the mine. In 1991, the mine was reopened. With the support of the government, a $34 million casino opened in 1993, but closed in 1998.

Clipperton Island Although 115 species of fish have been identified in the territorial waters of Clipperton Island, the only economic activity is tuna fishing.

Cocos (Keeling) Islands Coconuts, grown throughout the islands, are the sole cash crop. Small local gardens and fishing contribute to the food supply, but additional food and most other necessities must be imported from Australia. There is a small tourist industry.

Colombia Colombia experienced accelerating growth between 2002 and 2007, chiefly due to improvements in domestic security, rising commodity prices, and to President URIBE's promarket economic policies. Foreign direct investment reached a record $10 billion in 2008, and continues to flow in, especially in the oil sector. A series of policies enhanced Colombia's investment climate: pro-business reforms in the oil and gas sectors and export-led growth fueled mainly by the Andean Trade Promotion and Drug Eradication Act. Inequality, underemployment, and narcotrafficking remain significant challenges, and Colombia's infrastructure requires major improvements to sustain economic expansion. Because of the global financial crisis and weakening demand for Colombia's exports, Colombia's economy grew only 2.7% in 2008, and 0.8% in 2009 but rebounded to around 4.5% in 2010. The government has encouraged exporters to diversify their customer base beyond the United States and Venezuela, traditionally Colombia's largest trading partners; the SANTOS administration continues to pursue free trade agreements with Asian and South American partners and awaits the approval of a Canadian trade accord by Canada's and EU's parliaments. The business sector remains concerned about Venezuela's trade restrictions on Colombian exports, an appreciating domestic currency, and the pending US Congressional approval of the US-Colombia Trade Promotion Agreement.

Comoros One of the world's poorest countries, Comoros is made up of three islands that have inadequate transportation links, a young and rapidly increasing population, and few natural resources. The low educational level of the labor force contributes to a subsistence level of economic activity, high unemployment, and a heavy dependence on foreign grants and technical assistance. Agriculture, including fishing, hunting, and forestry, contributes 40% to GDP, employs 80% of the labor force, and provides most of the exports. Export income is heavily reliant on the three main crops of vanilla, cloves, and ylang-ylang and Comoros' export earnings are easily disrupted by disasters such as fires. The country is not self-sufficient in food production; rice, the main staple, accounts for the bulk of imports. The government - which is hampered by internal political disputes - lacks a comprehensive strategy to attract foreign investment and is struggling to upgrade education and technical training, privatize commercial and industrial enterprises, improve health services, diversify exports, promote tourism, and reduce the high population growth rate. Political problems have inhibited growth, which has averaged only about 1% in 2006-09. Remittances from 150,000 Comorans abroad help supplement GDP. In September 2009 the IMF approved Comoros for a three-year $21 million loan. The IMF gave generally positive reports of the country's program performance as of October 2010. The African Development Bank approved a $34.6 million debt-relief package loan for Comoros in September 2010, and Comoros will attempt to qualifry for debt relief in 2012 under the IMF and World Bank's Heavily Indebted Poor Countries (HIPC) initiative.

Congo, Democratic Republic of the The economy of the Democratic Republic of the Congo - a nation endowed with vast potential wealth - is slowly recovering from decades of decline. Systemic corruption since independence in 1960 and conflict that began in May 1997 has dramatically reduced national output and government revenue, increased external debt, and resulted in the deaths of more than 5 million people from violence, famine, and disease. Foreign businesses curtailed operations due to uncertainty about the outcome of the conflict, lack of infrastructure, and the difficult operating environment. Conditions began to improve in late 2002 with the withdrawal of a large portion of the invading foreign troops. The transitional government reopened relations with international financial institutions and international donors, and President KABILA began implementing reforms. Progress has been slow and the International Monetary Fund curtailed their program for the DRC at the end of March 2006 because of fiscal overruns. Much economic activity still occurs in the informal sector, and is not reflected in GDP data. Renewed activity in the mining sector, the source of most export income, boosted Kinshasa's fiscal position and GDP growth from 2006-2008, however, the government's review of mining contracts that began in 2006, combined with a fall in world market prices for the DRC's key mineral exports temporarily weakened output in 2009, leading to a balance of payments crisis. The recovery in mineral prices beginning in mid 2009 boosted mineral exports, and emergency funds from the IMF boosted foreign reserves. An uncertain legal framework, corruption, a lack of transparency in government policy are long-term problems for the mining sector and the economy as a whole. The global recession cut economic growth in 2009 to less than half its 2008 level, but growth returned to 3% in 2010. The DRC signed a Poverty Reduction and Growth Facility with the IMF in 2009 and received $12 billion in multilateral and bilateral debt relief in 2010.

Congo, Republic of the The economy is a mixture of subsistence agriculture, an industrial sector based largely on oil and support services, and government spending. Oil has supplanted forestry as the mainstay of the economy, providing a major share of government revenues and exports. In the early 1980s, rapidly rising oil revenues enabled the government to finance large-scale development projects with GDP growth averaging 5% annually, one of the highest rates in Africa. Characterized by budget problems and overstaffing, the government has mortgaged a substantial portion of its oil earnings through oil-backed loans that have contributed to a growing debt burden and chronic revenue shortfalls. Economic reform efforts have been undertaken with the support of international organizations, notably the World Bank and the IMF. However, the reform program came to a halt in June 1997 when civil war erupted. Denis SASSOU-NGUESSO, who returned to power when the war ended in October 1997, publicly expressed interest in moving forward on economic reforms and privatization and in renewing cooperation with international financial institutions. Economic progress was badly hurt by slumping oil prices and the resumption of armed conflict in December 1998, which worsened the republic's budget deficit. The current administration presides over an uneasy internal peace and faces difficult economic challenges of stimulating recovery and reducing poverty. The drop in oil prices during the global crisis reduced oil revenue by about 30%, but the subsequent recovery of oil prices has boosted the economy's GDP and near-term prospects. In March 2006, the World Bank and the International Monetary Fund (IMF) approved Heavily Indebted Poor Countries (HIPC) treatment for Congo, receiving $1.9 billion in debt relief under the program in 2010.

Cook Islands Like many other South Pacific island nations, the Cook Islands' economic development is hindered by the isolation of the country from foreign markets, the limited size of domestic markets, lack of natural resources, periodic devastation from natural disasters, and inadequate infrastructure. Agriculture, employing more than one-quarter of the working population, provides the economic base with major exports made up of copra and citrus fruit. Black pearls are the Cook Islands' leading export. Manufacturing activities are limited to fruit processing, clothing, and handicrafts. Trade deficits are offset by remittances from emigrants and by foreign aid overwhelmingly from New Zealand. In the 1980s and 1990s, the country lived beyond its means, maintaining a bloated public service and accumulating a large foreign debt. Subsequent reforms, including the sale of state assets, the strengthening of economic management, the encouragement of tourism, and a debt restructuring agreement, have rekindled investment and growth.

Coral Sea Islands no economic activity

Costa Rica Prior to the global economic crisis, Costa Rica enjoyed stable economic growth. The economy contracted 0.7% in 2009, but resumed growth at more than 3% in 2010. While the traditional agricultural exports of bananas, coffee, sugar, and beef are still the backbone of commodity export trade, a variety of industrial and specialized agricultural products have broadened export trade in recent years. High value added goods and services, including microchips, have further bolstered exports. Tourism continues to bring in foreign exchange, as Costa Rica's impressive biodiversity makes it a key destination for ecotourism. Foreign investors remain attracted by the country's political stability and relatively high education levels, as well as the fiscal incentives offered in the free-trade zones; and Costa Rica has attracted one of the highest levels of foreign direct investment per capita in Latin America. However, many business impediments, such as high levels of bureaucracy, difficulty of enforcing contracts, and weak investor protection, remain. Poverty has remained around 15-20% for nearly 20 years, and the strong social safety net that had been put into place by the government has eroded due to increased financial constraints on government expenditures. Unlike the rest of Central America, Costa Rica is not highly dependent on remittances as they only represent about 2% of GDP. Immigration from Nicaragua has increasingly become a concern for the government. The estimated 300,000-500,000 Nicaraguans in Costa Rica legally and illegally are an important source of - mostly unskilled - labor, but also place heavy demands on the social welfare system. The US-Central American-Dominican Republic Free Trade Agreement (CAFTA-DR) entered into force on 1 January 2009, after significant delays within the Costa Rican legislature. CAFTA-DR will likely lead to increased foreign direct investment in key sectors of the economy, including the insurance and telecommunications sectors recently opened to private investors. President CHINCHILLA is likely to push for fiscal reform in the coming year, seeking to boost revenue, possibly through revised tax legislation, to fund an increase in security services and education.