Kiribati: A Fragile Economy
Key points: Kiribati is an economically challenged nation. The largest export is dried coconut. Foreign aid accounts for up to 25% of the nation’s GDP, and the roughly 4,000 foreign tourists generate another 25% annually.
The economy of Kiribati is small, and is largely agriculture and service based. Of the 223 nations in the world, the GDP of Kiribati ($698 Million) ranks 212th, and is less than 1/3 of that of Djibouti or Liberia, and only 5% of that of Haiti. The GDP per capita is $6400, or 146th in the world, and is less than Namibia, Suriname, Mexico, or Gabon. Sixty-five percent of those of working age are unemployed or simply not in the labor force.
The exports of Kiribati have been estimated at $7.1 Million/year (215th in the world). Exports are largely revenue from copra (dried coconut) which provides 62% of the total, as well as coconuts, seaweed, and fish.
Almost half of the GDP of Kiribati comes from overseas sources. Kiribati receives development aid from the European Union, Australia, New Zealand, Japan, Canada, USA, the Asian Development Bank, UN agencies and Taiwan. In recent years, these aid sources account for 20-25% of Kiribati's GDP. Foreigners contribute to the economy through tourism as well. Although small in numbers (estimated 4,000 travellers/year visit Kiribati – second to last in terms of world rank), they contribute an estimated ~25% of the GDP, and provide for 21% of the total employment (directly and indirectly). Beyond foreign support, many I-Kiribati families rely heavily on fishing revenue and remittances from I-Kiribati employed abroad, mainly seafarers (contributing an average of ~10% of GDP in recent years).
Energy production in the nation is roughly 25 Million kWh/year, which places it at 213th in the world.
A World Bank summary can be found HERE.
The economy of Kiribati is small, and is largely agriculture and service based. Of the 223 nations in the world, the GDP of Kiribati ($698 Million) ranks 212th, and is less than 1/3 of that of Djibouti or Liberia, and only 5% of that of Haiti. The GDP per capita is $6400, or 146th in the world, and is less than Namibia, Suriname, Mexico, or Gabon. Sixty-five percent of those of working age are unemployed or simply not in the labor force.
The exports of Kiribati have been estimated at $7.1 Million/year (215th in the world). Exports are largely revenue from copra (dried coconut) which provides 62% of the total, as well as coconuts, seaweed, and fish.
Almost half of the GDP of Kiribati comes from overseas sources. Kiribati receives development aid from the European Union, Australia, New Zealand, Japan, Canada, USA, the Asian Development Bank, UN agencies and Taiwan. In recent years, these aid sources account for 20-25% of Kiribati's GDP. Foreigners contribute to the economy through tourism as well. Although small in numbers (estimated 4,000 travellers/year visit Kiribati – second to last in terms of world rank), they contribute an estimated ~25% of the GDP, and provide for 21% of the total employment (directly and indirectly). Beyond foreign support, many I-Kiribati families rely heavily on fishing revenue and remittances from I-Kiribati employed abroad, mainly seafarers (contributing an average of ~10% of GDP in recent years).
Energy production in the nation is roughly 25 Million kWh/year, which places it at 213th in the world.
A World Bank summary can be found HERE.