Economy - overview The Bahamas is a stable, developing nation with an economy heavily dependent on tourism and offshore banking. Tourism alone accounts for more than 50% of GDP and directly or indirectly employs 40% of the archipelago's labor force. Moderate growth in tourism receipts and a boom in construction of new hotels, resorts, and residences led to an increase of the country's GDP by an estimated 3.5% in 1997. Manufacturing and agriculture together contribute less than 10% of GDP and show little growth despite government incentives aimed at those sectors. Overall growth prospects in the short run will depend heavily on the fortunes of the tourism sector and continued income growth in the US, which accounts for the majority of tourist visitors.

GDP purchasing power parity - $5.36 billion (1997 est.)

GDP - real growth rate 3.5% (1997 est.)

GDP - per capita purchasing power parity - $19,400 (1997 est.)

GDP - composition by sector
agriculture: 3%
industry: 5%
services: 92% (1997 est.)

Inflation rate - consumer price index 0.4% (1997)

Labor force
total: 146,600 (1996)
by occupation: government 30%, tourism 40%, business services 10%, agriculture 5% (1995 est.)

Unemployment rate 10% (1997 est.)

Budget
revenues: $687.5 million
expenditures: $827 million, including capital expenditures of $112 million (FY96/97 est.)

Industries tourism, banking, cement, oil refining and transshipment, salt production, rum, aragonite, pharmaceuticals, spiral-welded steel pipe

Industrial production growth rate NA%

Electricity - capacity 401,000 kW (1995)

Electricity - production 1.29 billion kWh (1996)

Electricity - consumption per capita 4,100 kWh (1996)

Agriculture - products citrus, vegetables; poultry

Exports
total value: $201.7 million (f.o.b., 1996)
commodities: pharmaceuticals, cement, rum, crawfish, refined petroleum products
partners: US 24%, Spain 14%, UK 7%, Norway 7%, France 6%, Italy 5% (1995 est.)

Imports
total value: $1.26 billion (c.i.f., 1996)
commodities: foodstuffs, manufactured goods, crude oil, vehicles, electronics
partners: US 29%, Finland 10%, Iran 10%, Denmark 8%

Debt - external $381.7 million (1997)

Economic aid $NA

Currency 1 Bahamian dollar (B$) = 100 cents

Exchange rates Bahamian dollar (B$) per US$1 - 1.000 (fixed rate pegged to the dollar)

Fiscal year 1 July - 30 June

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