Burkina Faso Economy 2008

Economy - overview:
One of the poorest countries in the world, landlocked Burkina Faso 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 and the government has joined with three other cotton producing countries in the region - Mali, Niger, and Chad - to lobby for improved access to Western markets. GDP growth has largely been driven by increases in world cotton prices. Industry remains dominated by unprofitable government-controlled corporations. Following the CFA franc currency devaluation in January 1994, the government updated its development program in conjunction with international agencies; exports and economic growth have increased. The government devolved macroeconomic policy and inflation targeting to the West African regional central bank (BCEAO), but maintains control over fiscal and microeconomic policies, including implementing reforms to encourage private investment. The bitter internal crisis in neighboring Cote d'Ivoire continues to hurt trade and industrial prospects and deepens the need for international assistance. Burkina Faso is eligible for a Millennium Challenge Account grant, which would increase investment in the country's human capital.

GDP (purchasing power parity):
$17.5 billion (2007 est.)

GDP (official exchange rate):
$6.363 billion (2007 est.)

GDP - real growth rate:
5.6% (2007 est.)

GDP - per capita (PPP):
$1,200 (2007 est.)

GDP - composition by sector:
agriculture: 29.4%
industry: 19%
services: 51.7% (2007 est.)

Labor force:
5 million
note: a large part of the male labor force migrates annually to neighboring countries for seasonal employment (2003)

Labor force - by occupation:
agriculture: 90%
industry and services: 10% (2000 est.)

Unemployment rate:
NA%

Population below poverty line:
46.4% (2003)

Household income or consumption by percentage share:
lowest 10%: 2.8%
highest 10%: 32.2% (2003)

Distribution of family income - Gini index:
39.5 (2003)

Inflation rate (consumer prices):
1.2% (2007 est.)

Investment (gross fixed):
20.6% of GDP (2007 est.)

Budget:
revenues: $1.311 billion
expenditures: $1.764 billion (2007 est.)

Agriculture - products:
cotton, peanuts, shea nuts, sesame, sorghum, millet, corn, rice; livestock

Industries:
cotton lint, beverages, agricultural processing, soap, cigarettes, textiles, gold

Industrial production growth rate:
5.2% (2007 est.)

Electricity - production:
516.2 million kWh (2005)

Electricity - consumption:
480.1 million kWh (2005)

Electricity - exports:
0 kWh (2005)

Electricity - imports:
0 kWh (2005)

Oil - production:
0 bbl/day (2005)

Oil - consumption:
8,300 bbl/day (2005 est.)

Oil - exports:
0 bbl/day (2004)

Oil - imports:
8,158 bbl/day (2004)

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

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

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

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

natural gas - imports:
0 cu m (2005)

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

Current account balance:
-$710 million (2007 est.)

Exports:
$683 million f.o.b. (2007 est.)

Exports - commodities:
cotton, livestock, gold

Exports - partners:
China 41.9%, Singapore 14.4%, Ghana 5.9%, Thailand 4.9%, Niger 4.4% (2006)

Imports:
$1.347 billion f.o.b. (2007 est.)

Imports - partners:
Cote d'Ivoire 22.9%, France 20.1%, Zimbabwe 11.4%, Togo 6.3% (2006)

Economic aid - recipient:
$659.6 million (2005)

Reserves of foreign exchange and gold:
$897 million (31 December 2007 est.)

Debt - external:
$1.85 billion (2003)

Market value of publicly traded shares:
$NA

Currency (code):
Communaute Financiere Africaine franc (XOF); note - responsible authority is the Central Bank of the West African States

Exchange rates:
Communaute Financiere Africaine francs (XOF) per US dollar - 493.51 (2007), 522.59 (2006), 527.47 (2005), 528.29 (2004), 581.2 (2003)