Economy Madagascar
Economy - overview: Madagascar faces problems of chronic malnutrition, underfunded health and education facilities, a roughly 3% annual population growth rate, and severe loss of forest cover, accompanied by erosion. Agriculture, including fishing and forestry, is the mainstay of the economy, accounting for one-third of GDP and contributing more than 70% to export earnings. Industry features textile manufacturing and the processing of agricultural products. Growth in output in 1992-97 averaged less than the growth rate of the population. Growth has been held back by antigovernment strikes and demonstrations, a decline in world coffee prices, and the erratic commitment of the government to economic reform. The extent of government reforms, outside financial aid, and foreign investment will be key determinants of future growth.
GDP: purchasing power parity - $14 billion (2001 est.)
GDP - real growth rate: 5% (2001 est.)
GDP - per capita: purchasing power parity - $870 (2001 est.)
GDP - composition by sector: agriculture: 34% industry: 11% services: 55% (1999 est.)
Population below poverty line: 70% (1994 est.)
Household income or consumption by percentage share: lowest 10%: 2.2% highest 10%: 37.3% (1997)
Distribution of family income - Gini index: 46 (1997)
Inflation rate (consumer prices): 7% (2001 est.)