Economy (Tonga)
===============


     Overview:
         The economy's base is agriculture, which employs about 70% of the labor
         force and contributes 50% to GDP. Coconuts, bananas, and vanilla beans are
         the main crops and make up two-thirds of exports. The country must import a
         high proportion of its food, mainly from New Zealand. The manufacturing
         sector accounts for only 11% of GDP. Tourism is the primary source of hard
         currency earnings, but the island remains dependent on sizable external aid
         and remittances to offset its trade deficit.
     GDP:
         exchange rate conversion - $92 million, per capita $900; real growth rate
         2.5% (FY90 est.)
     Inflation rate (consumer prices):
         8.9% (third quarter 1991)
     Unemployment rate:
         NA%
     Budget:
         revenues $30.6 million; expenditures $48.9 million, including capital
         expenditures of $22.5 million (FY89 est.)
     Exports:
         $9.6 million (f.o.b., FY90 est.)
       commodities:
         coconut oil, desiccated coconut, copra, bananas, taro, vanilla beans,
         fruits, vegetables, fish
       partners:
         NZ 35%, Australia 22%, US 13%, Fiji 5% (FY90)
     Imports:
         $59.9 million (c.i.f., FY90 est.)
       commodities:
         food products, machinery and transport equipment, manufactures, fuels,
         chemicals
       partners:
         NZ 30%, Australia 23%, US 12%, Japan 7% (FY90)
     External debt:
         $42.0 million (FY89)
     Industrial production:
         growth rate 15% (FY86); accounts for 11% of GDP
     Electricity:
         6,000 kW capacity; 8 million kWh produced, 80 kWh per capita (1990)
     Industries:
         tourism, fishing
     Agriculture:
         dominated by coconut, copra, and banana production; vanilla beans, cocoa,
         coffee, ginger, black pepper
     Economic aid:
         US commitments, including Ex-Im (FY70-89), $16 million; Western (non-US)
         countries, ODA and OOF bilateral commitments (1970-89), $258 million
     Currency:
         pa'anga (plural - pa'anga); 1 pa'anga (T$) = 100 seniti
     Exchange rates:
         pa'anga (T$) per US$1 - 1.2987 (January 1992), 1.2961 (1991), 1.2809 (1990),
         1.2637 (1989), 1.2799 (1988), 1.4282 (1987)
     Fiscal year:
         1 July-30 June