Cuba Economy - 2005

Economy - overview:
The government continues to balance the need for economic loosening against a desire for firm political control. It has undertaken limited reforms to increase enterprise efficiency and alleviate serious shortages of food, consumer goods, and services. A major feature of the economy is the dichotomy between relatively efficient export enclaves and inefficient domestic sectors. The average Cuban's standard of living remains at a lower level than before the depression of the 1990s, which was caused by the loss of Soviet aid and domestic inefficiencies. The government in 2004 strengthened its controls over dollars coming into the economy from tourism, remittances, and trade.

GDP:
purchasing power parity - $33.92 billion (2004 est.)

GDP - real growth rate:
3% (2004 est.)

GDP - per capita:
purchasing power parity - $3,000 (2004 est.)

GDP - composition by sector:
agriculture: 6.6%
industry: 25.5%
services: 67.9% (2004 est.)

Labor force:
4.55 million
note: state sector 78%, non-state sector 22% (2004 est.)

Labor force - by occupation:
agriculture 24%, industry 25%, services 51% (1999)

Unemployment rate:
2.5% (2004 est.)

Population below poverty line:
NA

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

Inflation rate (consumer prices):
3.1% (2004 est.)

Investment (gross fixed):
11.2% of GDP (2004 est.)

Budget:
revenues: $18.01 billion
expenditures: $19.06 billion, including capital expenditures of NA (2004 est.)

Agriculture - products:
sugar, tobacco, citrus, coffee, rice, potatoes, beans; livestock

Industries:
sugar, petroleum, tobacco, construction, nickel, steel, cement, agricultural machinery, pharmaceuticals

Industrial production growth rate:
1.4% (2004 est.)

Electricity - production:
14.41 billion kWh (2002)

Electricity - consumption:
13.4 billion kWh (2002)

Electricity - exports:
0 kWh (2002)

Electricity - imports:
0 kWh (2002)

Oil - production:
77,900 bbl/day (2004 est.)

Oil - consumption:
163,000 bbl/day (2001 est.)

Oil - exports:
NA

Oil - imports:
NA

Oil - proved reserves:
532 million bbl (1 January 2002)

Natural gas - production:
600 million cu m (2001 est.)

Natural gas - consumption:
600 million cu m (2001 est.)

Natural gas - exports:
0 cu m (2001 est.)

Natural gas - imports:
0 cu m (2001 est.)

Natural gas - proved reserves:
42.62 billion cu m (1 January 2002)

Current account balance:
$-185.1 million (2004 est.)

Exports:
$2.104 billion f.o.b. (2004 est.)

Exports - commodities:
sugar, nickel, tobacco, fish, medical products, citrus, coffee

Exports - partners:
Netherlands 23.5%, Canada 21.9%, China 8.3%, Russia 7.8%, Spain 6.6% (2004)

Imports:
$5.296 billion f.o.b. (2004 est.)

Imports - commodities:
petroleum, food, machinery and equipment, chemicals

Imports - partners:
Spain 15.4%, Venezuela 13.7%, US 11.5%, China 8%, Canada 6.6%, Italy 6.5%, Mexico 4.9%, Germany 4.2% (2004)

Reserves of foreign exchange and gold:
$738.6 million (2004 est.)

Debt - external:
$12.09 billion (convertible currency); another $15-20 billion owed to Russia (2004 est.)

Economic aid - recipient:
$68.2 million (1997 est.)

Currency (code):
Cuban peso (CUP) and Convertible peso (CUC)

Exchange rates:
Convertible pesos per US dollar - 0.93
note: Cuba has three currencies in circulation: the Cuban peso (CUP), the convertible peso (CUC), and the US dollar (USD), although the dollar is being withdrawn from circulation; in April 2005 the official exchange rate changed from $1 per CUC to $1.08 per CUC (0.93 CUC per $1), both for individuals and enterprises; individuals can buy 24 Cuban pesos (CUP) for each CUC sold, or sell 25 Cuban pesos for each CUC bought; enterprises, however, must exchange CUP and CUC at a 1:1 ratio.