Economy - overview Tourism, Maldives largest industry, accounts for about 18% of GDP and more than 60% of the Maldives' foreign exchange receipts. Over 90% of government tax revenue comes from import duties and tourism-related taxes. About 350,000 tourists visited the islands in 1997. Fishing is a second leading growth sector. The Maldivian Government began an economic reform program in 1989 initially by lifting import quotas and opening some exports to the private sector. Subsequently, it has liberalized regulations to allow more foreign investment. Agriculture and manufacturing continue to play a minor role in the economy, constrained by the limited availability of cultivable land and the shortage of domestic labor. Most staple foods must be imported. Industry, which consists mainly of garment production, boat building, and handicrafts, accounts for about 15% of GDP. Maldivian authorities worry about the impact of erosion and possible global warming on their low-lying country; 80% of the area is three feet or less above sea level.

GDP purchasing power parity - $500 million (1997 est.)

GDP - real growth rate 6.2% (1997 est.)

GDP - per capita purchasing power parity - $1,800 (1997 est.)

GDP - composition by sector
agriculture: 22%
industry: 15%
services: 63% (1994 est.)

Inflation rate - consumer price index 6.3% (1996)

Labor force
total: 56,435 (1990 est.)
by occupation: fishing industry and agriculture 25%, services 21%, manufacturing and construction 21%, trade, restaurants, and hotels 16%, transportation and communication 10%, other 7%

Unemployment rate NEGL%

Budget
revenues: $88 million (excluding foreign grants)
expenditures: $141 million, including capital expenditures of $NA (1995 est.)

Industries fish processing, tourism, shipping, boat building, coconut processing, garments, woven mats, rope, handicrafts, coral and sand mining

Industrial production growth rate 6.3% (1994 est.)

Electricity - capacity 14,000 kW (1995)

Electricity - production 50 million kWh (1995)

Electricity - consumption per capita 191 kWh (1995)

Agriculture - products coconuts, corn, sweet potatoes; fishing

Exports
total value: $59 million (f.o.b., 1996)
commodities: fish, clothing
partners: Sri Lanka, US, Germany, Singapore, UK

Imports
total value: $302 million (f.o.b., 1996)
commodities: consumer goods, intermediate and capital goods, petroleum products
partners: Singapore, India, Sri Lanka, Hong Kong, Japan, Thailand

Debt - external $179 million (1996 est.)

Economic aid
recipient: ODA, $NA

Currency 1 rufiyaa (Rf) = 100 laari

Exchange rates rufiyaa (Rf) per US$1 - 11.770 (1995-January 1998), 11.586 (1994), 10.957 (1993)

Fiscal year calendar year

NOTE: The information regarding Maldives 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 Maldives Economy 1998 information contained here. All suggestions for corrections of any errors about Maldives Economy 1998 should be addressed to the CIA.