Economy Nauru
Economy - overview:
Revenues of this tiny island have traditionally come from exports
of phosphates, now significantly depleted. An Australian company in
2005 entered into an agreement intended to exploit remaining
supplies. Few other resources exist with most necessities being
imported, mainly from Australia, its former occupier and later major
source of support. The rehabilitation of mined land and the
replacement of income from phosphates are serious long-term
problems. In anticipation of the exhaustion of Nauru's phosphate
deposits, substantial amounts of phosphate income were invested in
trust funds to help cushion the transition and provide for Nauru's
economic future. As a result of heavy spending from the trust funds,
the government faces virtual bankruptcy. To cut costs the government
has frozen wages and reduced overstaffed public service departments.
In 2005, the deterioration in housing, hospitals, and other capital
plant continued, and the cost to Australia of keeping the government
and economy afloat continued to climb. Few comprehensive statistics
on the Nauru economy exist, with estimates of Nauru's GDP varying
widely.
GDP (purchasing power parity):
$60 million (2005 est.)
GDP (official exchange rate):
NA
GDP - real growth rate:
NA%
GDP - per capita (PPP):
$5,000 (2005 est.)
GDP - composition by sector: agriculture: NA% industry: NA% services: NA%
Labor force - by occupation: note: 0.1% employed in mining phosphates, public administration, education, and transportation
Unemployment rate:
90% (2004 est.)
Population below poverty line:
NA%