Kuwait/Economy

Economy - overview: Kuwait is a small, relatively open economy with proved crude oil reserves of about 94 billion barrels - 10% of world reserves. Petroleum accounts for nearly half of GDP, 90% of export revenues, and 75% of government income. Kuwait lacks water and has practically no arable land, thus preventing development of agriculture. With the exception of fish, it depends almost wholly on food imports. About 75% of potable water must be distilled or imported. Higher oil prices reduced the budget deficit from $5.5 billion to $3 billion in 1999, and prices are expected to remain relatively strong throughout 2000. The government is proceeding slowly with reforms. It inaugurated Kuwait's first free-trade zone in 1999 and will continue discussions with foreign oil companies to develop fields in the northern part of the country.

GDP: purchasing power parity - $44.8 billion (1999 est.)

GDP - real growth rate: 1.1% (1999 est.)

GDP - per capita: purchasing power parity - $22,500 (1999 est.)

GDP - composition by sector:
agriculture: 0%
industry: 55%
services: 45% (1996)

Population below poverty line: NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices): 2% (1999 est.)

Labor force: 1.3 million (1998 est.)
note: 68% of the population in the 15-64 age group is non-national (July 1998 est.)

Labor force - by occupation: government and social services 50%, services 40%, industry and agriculture 10% (1996 est.)

Unemployment rate: 1.8% (official 1996 est.)

Budget:
revenues: $10 billion
expenditures: $13 billion, including capital expenditures of $NA (1999 est.)

Industries: petroleum, petrochemicals, desalination, food processing, construction materials, salt, construction

Industrial production growth rate: 1% (1997 est.)

Electricity - production: 26.995 billion kWh (1998)

Electricity - production by source:
fossil fuel: 100%
hydro: 0%
nuclear: 0%
other: 0% (1998)

Electricity - consumption: 25.105 billion kWh (1998)

Electricity - exports: 0 kWh (1998)

Electricity - imports: 0 kWh (1998)

Agriculture - products: practically no crops; fish

Exports: $13.5 billion (f.o.b., 1999 est.)

Exports - commodities: oil and refined products, fertilizers

Exports - partners: Japan 24%, India 16%, US 13%, South Korea 11%, Singapore 8% (1997)

Imports: $8.1 billion (f.o.b., 1999 est.)

Imports - commodities: food, construction materials, vehicles and parts, clothing

Imports - partners: US 22%, Japan 15%, UK 13%, Germany 8%, Italy 6% (1997)

Debt - external: $9.27 billion (1998 est.)

Economic aid - recipient: $27.6 million (1995)

Currency: 1 Kuwaiti dinar (KD) = 1,000 fils

Exchange rates: Kuwaiti dinars (KD) per US$1 - 0.3042 (January 2000), 0.3044 (1999), 0.3047 (1998), 0.3033 (1997), 0.2994 (1996), 0.2984 (1995)

Fiscal year: 1 July - 30 June