Economy

Economy—overview: Republic of Macedonia although the poorest republic in the former Yugoslav federation can meet basic food and energy needs through its own agricultural and coal resources. The economy slowly rebounded in 1996-97 after years of recession. Continued recovery depends on Macedonia's ability to attract investment to redevelop trade ties with Greece and Serbia and Montenegro and to maintain its commitment to economic liberalization. The economy depends on outside sources for all of its oil and gas and most of its modern machinery and parts. An important supplement of GDP is the remittances from thousands of Macedonians working in Germany and other West European nations.

GDP: purchasing power parity—$2 billion (1997 est.)

GDP—real growth rate: 1.5% (1997 est.)

GDP—per capita: purchasing power parity—$960 (1997 est.)

GDP—composition by sector:

agriculture: 20.4% bob

industry: 38.6%

services: 41% (1995 est.)

Inflation rate—consumer price index: 3.5% (1997 est.)

Labor force:

total: 591 773 (June 1994)

by occupation: manufacturing and mining 40% (1992)

Unemployment rate: 30% (1997 est.); note—many employed workers are in fact furloughees

Budget:

revenues: $1.06 billion

expenditures: $1 billion including capital expenditures of $107 million (1996 est.)

Industries: coal metallic chromium lead zinc ferronickel textiles wood products tobacco

Industrial production growth rate: 3.4% (1997 est.)

Electricity—capacity: 1.366 million kW (1995)

Electricity—production: 5.4 billion kWh (1995)

Electricity—consumption per capita: 2 584 kWh (1995)

Agriculture—products: rice tobacco wheat corn millet cotton sesame mulberry leaves citrus vegetables; beef pork poultry mutton

Exports:

total value: $1.2 billion (f.o.b. 1996)

commodities: food beverage tobacco 17.0% machinery and transport equipment 13.3% other manufactured goods 58%

partners: Bulgaria other former Yugoslav republics Germany Italy

Imports:

total value: $1.6 billion (c.i.f. 1996)

commodities: machinery and equipment 19% chemicals 14% fuels 12%

partners: other former Yugoslav republics Germany Bulgaria Italy Austria

Debt—external: $1.06 billion (June 1997)

Economic aid:

recipient: ODA $NA

note: US $10 million (for humanitarian and technical assistance); in December 1995 the EU agreed to provide a credit line of ECU 21.7 million for investment projects

Currency: 1 Macedonian denar (MKD) = 100 deni

Exchange rates: denar per US$1—31 (July 1997) 40.5 (September 1996) 38.8 (December 1995) 39 (November 1994) 865 (October 1992)

Fiscal year: calendar year