Belgium Economy 2008

Economy - overview:
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 must import substantial quantities of raw materials and export a large volume of manufactures, making its economy unusually dependent on the state of world markets. Roughly three-quarters of its trade is with other EU countries. Public debt is more than 85% of GDP. On the positive side, the government has succeeded in balancing its budget, and income distribution is relatively equal. Belgium began circulating the euro currency in January 2002. Economic growth in 2001-03 dropped sharply because of the global economic slowdown, with moderate recovery in 2004-07. Credit tightening, falling consumer and business confidence, and uncertainty surrounding delays in government formation could slow growth and reduce foreign investment in 2008.

GDP (purchasing power parity):
$378.9 billion (2007 est.)

GDP (official exchange rate):
$388.4 billion (2007 est.)

GDP - real growth rate:
2.7% (2007 est.)

GDP - per capita (PPP):
$36,500 (2007 est.)

GDP - composition by sector:
agriculture: 1%
industry: 24.4%
services: 74.6% (2007 est.)

Labor force:
5.03 million (2007 est.)

Labor force - by occupation:
agriculture: 1.3%
industry: 24.5%
services: 74.2% (2003 est.)

Unemployment rate:
7.6% (2007 est.)

Population below poverty line:
15% (2007 est.)

Household income or consumption by percentage share:
lowest 10%: 3.4%
highest 10%: 28.1% (2000)

Distribution of family income - Gini index:
28 (2005)

Inflation rate (consumer prices):
1.7% (2007 est.)

Investment (gross fixed):
21.4% of GDP (2007 est.)

Budget:
revenues: $217 billion
expenditures: $217.4 billion (2007 est.)

Public debt:
86.1% of GDP (2007 est.)

Agriculture - products:
sugar beets, fresh vegetables, fruits, grain, tobacco; beef, veal, pork, milk

Industries:
engineering and metal products, motor vehicle assembly, transportation equipment, scientific instruments, processed food and beverages, chemicals, basic metals, textiles, glass, petroleum

Industrial production growth rate:
3% (2007 est.)

Electricity - production:
80.84 billion kWh (2005)

Electricity - consumption:
82.99 billion kWh (2005)

Electricity - exports:
8.024 billion kWh (2005)

Electricity - imports:
14.33 billion kWh (2005)

Oil - production:
8,671 bbl/day (2005)

Oil - consumption:
564,000 bbl/day (2005 est.)

Oil - exports:
523,400 bbl/day (2004)

Oil - imports:
1.109 million bbl/day (2004)

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

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

natural gas - consumption:
16.61 billion cu m (2005 est.)

natural gas - exports:
0 cu m (2005 est.)

natural gas - imports:
17.27 billion cu m (2005)

natural gas - proved reserves:
0 cu m (1 January 2006)

Current account balance:
$11.04 billion (2007 est.)

Exports:
$328.1 billion f.o.b. (2007 est.)

Exports - commodities:
machinery and equipment, chemicals, diamonds, metals and metal products, foodstuffs

Exports - partners:
Germany 19.7%, France 16.9%, Netherlands 12%, UK 7.9%, US 6.2%, Italy 5.2% (2006)

Imports:
$320.9 billion f.o.b. (2007 est.)

Imports - partners:
Netherlands 18.3%, Germany 17.3%, France 11.2%, UK 6.6%, Ireland 5.7%, US 5.4% (2006)

Economic aid - donor:
ODA, $1.072 billion (2002)

Reserves of foreign exchange and gold:
$13.44 billion (2006 est.)

Debt - external:
$1.313 trillion (30 June 2007)

Stock of direct foreign investment - at home:
$633.5 billion (2006 est.)

Stock of direct foreign investment - abroad:
$485.1 billion (2006 est.)

Market value of publicly traded shares:
$422.7 billion (2006)

Currency (code):
euro (EUR)
note: on 1 January 1999, the European Monetary Union introduced the euro as a common currency to be used by financial institutions of member countries; on 1 January 2002, the euro became the sole currency for everyday transactions within the member countries

Exchange rates:
euros per US dollar - 0.7345 (2007), 0.7964 (2006), 0.8041 (2005), 0.8054 (2004), 0.886 (2003)