Economy - overview:
In late 1999, about 70% of the economic infrastructure of East
Timor was laid waste by Indonesian troops and anti-independence
militias, and 300,000 people fled westward. Over the next three
years, however, a massive international program, manned by 5,000
peacekeepers (8,000 at peak) and 1,300 police officers, led to
substantial reconstruction in both urban and rural areas. By the end
of 2005, all refugees either returned or resettled in Indonesia.
Non-petroleum GDP growth was held back in 2003 by extensive drought
and the gradual winding down of the international presence but
recovered somewhat in 2004. The country faces great challenges in
continuing the rebuilding of infrastructure, strengthening the
infant civil administration, and generating jobs for young people
entering the work force. The development of oil and gas resources in
nearby waters has begun to supplement government revenues ahead of
schedule and above expectations - the result of high petroleum
prices - but the technology-intensive industry does little to create
jobs for the unemployed, because there are no production facilities
in Timor and the gas is piped to Australia. The parliament in June
2005 unanimously approved the creation of a Petroleum Fund to serve
as a repository for all petroleum revenues and preserve the value of
East Timor's petroleum wealth for future generations.
GDP (purchasing power parity):
$370 million (2004 est.)
GDP (official exchange rate):
$349 million
GDP - real growth rate:
1.8% (2005 est.)
GDP - per capita (PPP):
$800 (2005 est.)
GDP - composition by sector:
agriculture: 8.5%
industry: 23.1%
services: 68.4% (2001)
Labor force:
NA
Labor force - by occupation:
agriculture: NA%
industry: NA%
services: NA%
Unemployment rate:
50% estimated; note - unemployment in urban areas reached 20%; data
do not include underemployed (2001 est.)
Population below poverty line:
42% (2003 est.)