Haiti is a free market economy that enjoys the advantages of low labor costs and tariff-free access to the US for many of its exports. Poverty, corruption, and poor access to education for much of the population are among Haiti’s most serious disadvantages. Over the longer term, Haiti needs to create jobs for its young workforce and to build institutional capacity. Haiti’s economy suffered a severe setback when a 7.0 magnitude earthquake destroyed much of its capital city, Port-au-Prince, and neighboring areas in January 2010. Already the poorest country in the Western Hemisphere with 80% of the population living under the poverty line and 54% in abject poverty, the damage to Port-au-Prince caused the country’s GDP to contract an estimated 5.1% in 2010. Two-thirds of all Haitians depend on the agricultural sector, mainly small-scale subsistence farming, and remain vulnerable to damage from frequent natural disasters, exacerbated by the country’s widespread deforestation. US economic engagement under the Haitian Hemispheric Opportunity through Partnership Encouragement (HOPE) Act, passed in December 2006, has boosted apparel exports and investment by providing duty-free access to the US. Congress voted in 2010 to extend the legislation until 2020 under the Haitian Economic Lift Act (HELP); the apparel sector accounts for three-quarters of Haitian exports and nearly one-tenth of GDP. Remittances are the primary source of foreign exchange, equaling nearly 20% of GDP and more than twice the earnings from exports. Haiti suffers from a lack of investment, partly because of limited infrastructure and a lack of security. In 2005, Haiti paid its arrears to the World Bank, paving the way for reengagement with the Bank. Haiti received debt forgiveness for over $1 billion through the Highly-Indebted Poor Country (HIPC) initiative in mis-2009. The remainder of its outstanding external debt was cancelled by donor countries in early 2010 but has since risen to about $400 million. The government relies on formal international economic assistance for fiscal sustainability, with over half of its annual budget coming from outside sources.

GDP (purchasing power parity):

$11.48 billion (2010 est.)

$12.09 billion (2009 est.)

$11.75 billion (2008 est.)

note: data are in 2010 US dollars

GDP (official exchange rate):

$6.632 billion (2010 est.)

GDP – real growth rate:

-5.1% (2010 est.)

2.9% (2009 est.)

0.8% (2008 est.)

GDP – per capita (PPP):

$1,200 (2010 est.)

$1,200 (2009 est.)

$1,200 (2008 est.)

note: data are in 2010 US dollars

GDP – composition by sector:

agriculture: 25%

industry: 16%

services: 59% (2010 est.)

Labor force:

4.81 million

note: shortage of skilled labor, unskilled labor abundant (2010 est.)

Labor force – by occupation:

agriculture: 38.1%

industry: 11.5%

services: 50.4% (2010)

Unemployment rate:

40.6% (2010 est.)

note: widespread unemployment and underemployment; more than two-thirds of the labor force do not have formal jobs

Population below poverty line:

80% (2003 est.)

Household income or consumption by percentage share:

lowest 10%: 0.7%

highest 10%: 47.7% (2001)

Distribution of family income – Gini index:

59.2 (2001)

Investment (gross fixed):

25% of GDP (2010 est.)

Budget:

revenues: $900 million

expenditures: $2.6 billion (2010 est.)

Inflation rate (consumer prices):

4.7% (2010 est.)

-4.7% (2009 est.)

Commercial bank prime lending rate:

8% (31 December 2010 est.)

8% (31 December 2009 est.)

Stock of narrow money:

$970 million (31 December 2010 est.)

$709 million (31 December 2009 est.)

Stock of broad money:

$3.249 billion (31 December 2009)

$2.49 billion (31 December 2008)

Stock of domestic credit:

$960.1 million (31 December 2010 est.)

$1.273 billion (31 December 2009 est.)

Market value of publicly traded shares:

$NA

Agriculture – products:

coffee, mangoes, sugarcane, rice, corn, sorghum; wood

Industries:

textiles, sugar refining, flour milling, cement, light assembly based on imported parts

Industrial production growth rate:

-4.8% (2010 est.)

Electricity – production:

650 million kWh (2010 est.)

Electricity – consumption:

309 million kWh (2010 est.)

Electricity – exports:

NA kWh (2010 est.)

Electricity – imports:

0 kWh (2010 est.)

Oil – production:

0 bbl/day (2009 est.)

Oil – consumption:

12,000 bbl/day (2009 est.)

Oil – exports:

0 bbl/day (2007 est.)

Oil – imports:

12,280 bbl/day (2007 est.)

Oil – proved reserves:

0 bbl (1 January 2010 est.)

Natural gas – production:

0 cu m (2008 est.)

Natural gas – consumption:

0 cu m (2008 est.)

Natural gas – exports:

0 cu m (2008 est.)

Natural gas – imports:

0 cu m (2008 est.)

Natural gas – proved reserves:

0 cu m (1 January 2010 est.)

Current account balance:

$-781 million (2010 est.)

$-627 million (2009 est.)

Exports:

$530.2 million (2010 est.)

$550 million (2009 est.)

Exports – commodities:

apparel, manufactures, oils, cocoa, mangoes, coffee

Exports – partners:

US 79.76%, Dominican Republic 7.24%, Canada 2.96% (2009)

Imports:

$2.727 billion (2010 est.)

$1.996 billion (2009 est.)

Imports – commodities:

food, manufactured goods, machinery and transport equipment, fuels, raw materials

Imports – partners:

US 33.11%, Dominican Republic 23.53%, Netherlands Antilles 10.75%, China 5.36% (2009)

Reserves of foreign exchange and gold:

$1.587 billion (31 December 2010 est.)

$615 million (31 December 2009 est.)

Debt – external:

$350 million (31 December 2010 est.)

$1.362 billion (31 December 2009 est.)

Exchange rates:

gourdes (HTG) per US dollar -

40.15 (2010)

42.02 (2009)

39.216 (2008)

37.138 (2007)

40.232 (2006)