Economy - overview Since independence in 1976, per capita output in this Indian Ocean archipelago has expanded to roughly seven times the old near-subsistence level. Growth has been led by the tourist sector, which employs about 30% of the labor force and provides more than 70% of hard currency earnings, and by tuna fishing. In recent years the government has encouraged foreign investment in order to upgrade hotels and other services. At the same time, the government has moved to reduce the dependence on tourism by promoting the development of farming, fishing, and small-scale manufacturing. The vulnerability of the tourist sector was illustrated by the sharp drop in 1991-92 due largely to the Gulf war and once again following the 11 September 2001 terrorist attacks on the US. Other issues facing the government are the curbing of the budget deficit, including the containment of social welfare costs, and further privatization of public enterprises. Growth slowed in 1998-2001, due to sluggish tourist and tuna sectors. Also, tight controls on exchange rates and the scarcity of foreign exchange have impaired short-term economic prospects. The black market value of the Seychelles rupee is half the official exchange rate; without a devaluation of the currency the tourist sector should remain sluggish as vacationers seek cheaper destinations such as Comoros, Mauritius, and Madagascar.

GDP purchasing power parity - $605 million (2001 est.)

GDP - real growth rate 1.5% (2001 est.)

GDP - per capita purchasing power parity - $7,600 (2001 est.)

GDP - composition by sector
agriculture: 3.1%
industry: 26.3%
services: 70.6% (1999)

Population below poverty line NA%

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

Inflation rate (consumer prices) 6.1% (2001 est.)

Labor force 30,900 (1996)

Labor force - by occupation industry 19%, services 71%, agriculture 10% (1989)

Unemployment rate NA%

Budget
revenues: $249 million
expenditures: $262 million, including capital expenditures of $NA (1998 est.)

Industries fishing; tourism; processing of coconuts and vanilla, coir (coconut fiber) rope, boat building, printing, furniture; beverages

Industrial production growth rate NA%

Electricity - production 160 million kWh (2000)

Electricity - production by source
fossil fuel: 100%
hydro: 0%
other: 0% (2000)
nuclear: 0%

Electricity - consumption 148.8 million kWh (2000)

Electricity - exports 0 kWh (2000)

Electricity - imports 0 kWh (2000)

Agriculture - products coconuts, cinnamon, vanilla, sweet potatoes, cassava (tapioca), bananas; broiler chickens; tuna fish

Exports $182.6 million (f.o.b., 2001)

Exports - commodities canned tuna, cinnamon bark, copra, petroleum products (reexports)

Exports - partners UK 48.1%, Italy 23.1%, France 14.8%, Netherlands 2.7% (1999)

Imports $360.2 million (f.o.b., 2001)

Imports - commodities machinery and equipment, foodstuffs, petroleum products, chemicals

Imports - partners Italy 13.3%, South Africa 10.7%, France 9.9%, UK 8.0%, Singapore 7.7% (1999)

Debt - external $240 million (1999 est.)

Economic aid - recipient $16.4 million (1995)

Currency Seychelles rupee (SCR)

Currency code SCR

Exchange rates Seychelles rupees per US dollar - 5.7458 (January 2002), 5.8575 (2001), 5.7138 (2000), 5.3426 (1999), 5.2622 (1998), 5.0263 (1997)

Fiscal year calendar year

NOTE: The information regarding Seychelles 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 Seychelles Economy 2002 information contained here. All suggestions for corrections of any errors about Seychelles Economy 2002 should be addressed to the CIA.