Economy - overview At independence in November 1991, Macedonia was the least developed of the Yugoslav republics, producing a mere 5% of the total federal output of goods and services. The collapse of Yugoslavia ended transfer payments from the center and eliminated advantages from inclusion in a de facto free trade area. An absence of infrastructure, UN sanctions on Yugoslavia, one of its largest markets, and a Greek economic embargo over a dispute about the country's constitutional name and flag hindered economic growth until 1996. GDP subsequently rose each year through 2000. However, the leadership's commitment to economic reform, free trade, and regional integration was undermined by the ethnic Albanian insurgency of 2001. The economy shrank about 4% because of decreased trade, intermittent border closures, increased deficit spending on security needs, and investor uncertainty. The international community hopes to restart growth with a donors' conference in 2002.

GDP purchasing power parity - $9 billion (2001 est.)

GDP - real growth rate -4% (2001 est.)

GDP - per capita purchasing power parity - $4,400 (2001 est.)

GDP - composition by sector
agriculture: 10%
industry: 32%
services: 58% (2001 est.)

Population below poverty line 24% (2001 est.)

Household income or consumption by percentage share
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices) 5.3% (2001 est.)

Labor force 1.1 million (2000 est.)

Labor force - by occupation agriculture NA%, industry NA%, services NA%

Unemployment rate 39% (2001 est.)

Budget
revenues: $850 million
expenditures: $950 million, including capital expenditures of $NA (2001 est.)

Industries coal, metallic chromium, lead, zinc, ferronickel, textiles, wood products, tobacco, food processing, buses

Industrial production growth rate -8% (2001 est.)

Electricity - production 6.395 billion kWh (1999)

Electricity - production by source
fossil fuel: 82.25%
hydro: 17.75%
other: 0% (1999)
nuclear: 0%

Electricity - consumption 5.992 billion kWh (1999)

Electricity - exports 30 million kWh (1999)

Electricity - imports 75 million kWh (1999)

Agriculture - products rice, tobacco, wheat, corn, millet, cotton, sesame, mulberry leaves, citrus, vegetables; beef, pork, poultry, mutton

Exports $1.2 billion (f.o.b., 2001 est.)

Exports - commodities food, beverages, tobacco; miscellaneous manufactures, iron and steel

Exports - partners Yugoslavia 25%, Germany 19%, US 13%, Italy 7%, Greece 6% (2000)

Imports $1.5 billion (f.o.b., 2001 est.)

Imports - commodities machinery and equipment, chemicals, fuels; food products

Imports - partners Germany 12%, Ukraine 10%, Greece 10%, Russia 9%, Yugoslavia 9% (2000)

Debt - external $1.3 billion (2001 est.)

Economic aid - recipient $150 million (2001 est.)

Currency Macedonian denar (MKD)

Currency code MKD

Exchange rates Macedonian denars per US dollar - 64.757 (January 2001), 65.904 (2000), 56.902 (1999), 54.462 (1998), 50.004 (1997)

Fiscal year calendar year

NOTE: The information regarding Macedonia, The Former Yugoslav Republic of on this page is re-published from the 2002 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Macedonia, The Former Yugoslav Republic of Economy 2002 information contained here. All suggestions for corrections of any errors about Macedonia, The Former Yugoslav Republic of Economy 2002 should be addressed to the CIA.