Economy - overview Subsistence agriculture, together with forestry, remains the backbone of the economy of the Central African Republic (CAR), with more than 70% of the population living in outlying areas. The agricultural sector generates half of GDP. Timber has accounted for about 16% of export earnings and the diamond industry for nearly 54%. 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. The 50% devaluation of the currencies of 14 Francophone African nations on 12 January 1994 had mixed effects on the CAR's economy. Diamond, timber, coffee, and cotton exports increased, leading an estimated rise of GDP of 7% in 1994 and nearly 5% in 1995. Military rebellions and social unrest in 1996 were accompanied by widespread destruction of property and a drop in GDP of 1%. Ongoing violence between the government and rebel military groups over pay issues, living conditions, and political representation has destroyed many businesses in the capital, reduced tax revenues for the government, and delayed negotiations for an IMF financial aid agreement.

GDP purchasing power parity - $3.3 billion (1997 est.)

GDP - real growth rate NA%

GDP - per capita purchasing power parity - $1,000 (1997 est.)

GDP - composition by sector
agriculture: 50%
industry: 14%
services: 36% (1994 est.)

Inflation rate - consumer price index 4% (1996 est.)

Labor force NA

Unemployment rate 6% (1993)

Budget
revenues: $638 million
expenditures: $1.9 billion, including capital expenditures of $888 million (1994 est.)

Industries diamond mining, sawmills, breweries, textiles, footwear, assembly of bicycles and motorcycles

Industrial production growth rate NA%

Electricity - capacity 43,000 kW (1995)

Electricity - production 100 million kWh (1995)

Electricity - consumption per capita 31 kWh (1995)

Agriculture - products cotton, coffee, tobacco, manioc (tapioca), yams, millet, corn, bananas; timber

Exports
total value: $171 million (f.o.b., 1995)
commodities: diamonds, timber, cotton, coffee, tobacco
partners: France 16%, Belgium-Luxembourg 40.1%, Italy, Japan, US, Spain, Iran, Democratic Republic of the Congo, Republic of the Congo

Imports
total value: $174 million (f.o.b., 1995)
commodities: food, textiles, petroleum products, machinery, electrical equipment, motor vehicles, chemicals, pharmaceuticals, consumer goods, industrial products
partners: France 37%, other EU countries, Japan 24%, Algeria, Cameroon, Namibia

Debt - external $890 million (1994 est.)

Economic aid
recipient: ODA, $NA; traditional budget subsidies from France

Currency 1 Communaute Financiere Africaine franc (CFAF) = 100 centimes

Exchange rates CFA francs (CFAF) per US$1 - 608.36 (January 1998), 583.67 (1997), 511.55 (1996), 499.15 (1995), 555.20 (1994), 283.16 (1993)
note: beginning 12 January 1994, the CFA franc was devalued to CFAF 100 per French franc from CFAF 50 at which it had been fixed since 1948

Fiscal year calendar year

NOTE: The information regarding Central African Republic on this page is re-published from the 1998 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Central African Republic Economy 1998 information contained here. All suggestions for corrections of any errors about Central African Republic Economy 1998 should be addressed to the CIA.