Economy—overview: In January 1994, Senegal undertook a bold and ambitious economic reform program with the support of the international donor community. This reform began with a 50% devaluation of Senegal's currency, the CFA franc, which is linked at a fixed rate to the French franc. Government price controls and subsidies have been steadily dismantled. After seeing its economy contract by 2.1% in 1993, Senegal made an important turnaround, thanks to the reform program, with real growth in GDP averaging 5% annually in 1995-98. Annual inflation has been pushed below 2%, and the fiscal deficit has been cut to less than 1.5% of GDP. Investment rose steadily from 13.8% of GDP in 1993 to 16.5% in 1997. As a member of the West African Economic and Monetary Union (UEMOA), Senegal is working toward greater regional integration with a unified external tariff. Senegal also realized full Internet connectivity in 1996, creating a miniboom in information technology-based services. Private activity now accounts for 82% of GDP. On the negative side, Senegal faces deep-seated urban problems of chronic unemployment, juvenile delinquency, and drug addiction. Forecasters predict growth will continue in the 5% range in 1999-2000.
GDP: purchasing power parity—$15.6 billion (1998 est.)
GDP—real growth rate: 5.7% (1998 est.)
GDP—per capita: purchasing power parity?$1,600 (1998 est.)
GDP—composition by sector: agriculture: 19% industry: 17% services: 64% (1996 est.)
Population below poverty line: NA%
Household income or consumption by percentage share: lowest 10%: 1.4% highest 10%: 42.8% (1991)
Inflation rate (consumer prices): 1.8% (1998 est.)
Labor force: NA
Labor force—by occupation: agriculture 60%