Greenland Economy 2007

Economy - overview:
The economy remains critically dependent on exports of fish and substantial support from the Danish Government, which supplies about half of government revenues. The public sector, including publicly-owned enterprises and the municipalities, plays the dominant role in the economy. Several interesting hydrocarbon and mineral exploration activities are ongoing. Press reports in early 2007 indicated that two international aluminum companies were considering building smelters in Greenland to take advantage of local hydropower potential. Tourism is the only sector offering any near-term potential, and even this is limited due to a short season and high costs. Air Greenland announced plans to begin summer-season direct flights to the U.S. east coast in May 2007 potentially opening a major new tourism market.

GDP (purchasing power parity):
$1.1 billion (2001 est.)

GDP (official exchange rate):
$1.7 billion (2005)

GDP - real growth rate:
2% (2005 est.)

GDP - per capita (PPP):
$20,000 (2001 est.)

GDP - composition by sector:
agriculture: NA%
industry: NA%
services: NA%

Labor force:
32,120 (2004)

Unemployment rate:
9.3% (2005 est.)

Population below poverty line:
NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices):
1% (2005 est.)

Budget:
revenues: $1.36 billion
expenditures: $1.27 billion (2005)

Agriculture - products:
forage crops, garden and greenhouse vegetables; sheep, reindeer; fish

Industries:
fish processing (mainly shrimp and Greenland halibut); gold, niobium, tantalite, uranium, iron and diamond mining; handicrafts, hides and skins, small shipyards

Industrial production growth rate:
NA%

Electricity - production:
300 million kWh (2005)

Electricity - consumption:
279 million kWh (2005)

Electricity - exports:
0 kWh (2005)

Electricity - imports:
0 kWh (2005)

Oil - production:
0 bbl/day (2004 est.)

Oil - consumption:
3,860 bbl/day (2004 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
0 bbl (1 January 2006)

Natural gas - production:
0 cu m (2005 est.)

Natural gas - consumption:
0 cu m (2005 est.)

Exports:
$404 million f.o.b. (2005 est.)

Exports - commodities:
fish and fish products 94% (prawns 63%)

Exports - partners:
Denmark 67.8%, Japan 11.9%, China 5.5% (2006)

Imports:
$599 million c.i.f. (2005 est.)

Imports - commodities:
machinery and transport equipment, manufactured goods, food, petroleum products

Imports - partners:
Denmark 69.9%, Sweden 16.3%, Norway 3.7% (2006)

Economic aid - recipient:
$512 million; note - subsidy from Denmark (2005)

Debt - external:
$25 million (1999)

Currency (code):
Danish krone (DKK)

Exchange rates:
Danish kroner per US dollar - 5.9468 (2006), 5.9969 (2005), 5.9911 (2004), 6.5877 (2003), 7.8947 (2002)