NAURU: ECONOMY OF NAURU

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ECONOMY OF NAURU
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. Reserves of phosphates may only last until 2010 at current mining rates. 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. Nauru lost further revenue in 2008 with the closure of Australia's refugee processing center, making it almost totally dependent on food imports and foreign aid. Housing, hospitals, and other capital plant is deteriorating, and the cost to Australia of keeping the government and economy afloat continues to climb. Few comprehensive statistics on the Nauru economy exist, with estimates of Nauru's GDP varying widely.
GDP (purchasing power parity):$60 million (2009 est.)
GDP (official exchange rate):$NA
GDP - real growth rate:NA%
GDP - per capita (PPP):$5,000 (2009 est.)
GDP - composition by sector:agriculture: NA%
industry: NA%
services: NA%
Labor force:
Labor force - by occupation:note: employed in mining phosphates, public administration, education, and transportation (1992)
Unemployment rate:90% (2009 est.)
Population below poverty line:NA%
Household income or consumption by percentage share:lowest 10%: NA%
highest 10%: NA%
Inflation rate (consumer prices):-3.6% (1993)
Budget:revenues: $13.5 million
expenditures: $13.5 million (2009)
Agriculture - products:coconuts
Industries:phosphate mining, offshore banking, coconut products
Industrial production growth rate:NA%
Electricity - production:31 million kWh (2009 est.)
Electricity - consumption:28.83 million kWh (2009 est.)
Electricity - exports:0 kWh (2009 est.)
Electricity - imports:0 kWh (2009 est.)
Oil - production:0 bbl/day (2009 est.)
Oil - consumption:1,070 bbl/day (2009 est.)
Oil - exports:0 bbl/day (2009)
Oil - imports:1,049 bbl/day (2009)
Oil - proved reserves:0 bbl (1 January 2009 est.)
Natural gas - production:0 cu m (2009 est.)
Natural gas - consumption:0 cu m (2009 est.)
Natural gas - exports:0 cu m (2009 est.)
Natural gas - imports:0 cu m (2009 est.)
Natural gas - proved reserves:0 cu m (1 January 2009 est.)
Exports:$87,000 f.o.b. (2009 est.)
Exports - commodities:phosphates
Imports:$21 million c.i.f. (2009 est.)
Imports - commodities:food, fuel, manufactures, building materials, machinery
Debt - external:$25.3 million (2009)
Currency (code):Australian dollar (AUD)
Exchange rates:Australian dollars (AUD) per US dollar - 1.2059 (2009 est.), 1.2137 (2008), 1.3285 (2007), 1.3095 (2006), 1.3598 (2005)
Fiscal year:1 July - 30 June