Yemen flag

The Economy of Yemen

Yemeni Economy

Yemen's map

Economy - overview: Yemen, one of the poorest countries in the Arab world, reported average annual growth in the range of 3-4% from 2000 through 2007. In 2008, growth dropped below 3% as the price of oil declined and the slowing global economy reduced demand for oil. Yemen's economic fortunes depend mostly on declining oil resources, but the country is trying to diversify its earnings. In 2006 Yemen began an economic reform program designed to bolster non-oil sectors of the economy and foreign investment. As a result of the program, international donors pledged about $5 billion for development projects. A liquefied natural gas facility is scheduled to open in 2009. Yemen has limited exposure to the international financial system and no capital markets, however, the global financial crisis probably will reduce international aid in 2009.

GDP:

GDP - real growth rate: 3.2% (2008 est.) 3.5% (2007 est.) 3.2% (2006 est.)

GDP - per capita:

GDP - composition by sector: agriculture: 9.4% industry: 52.4% services: 38.1% (2008 est.)

Population below poverty line:

Household income or consumption by percentage share: lowest 10%: 3% highest 10%: 25.9% (2003)

Distribution of family income - Gini index: 37.7 (2005)

Inflation rate (consumer prices):

Labor force: 6.494 million (2008 est.)

Labor force - by occupation: note: most people are employed in agriculture and herding; services, construction, industry, and commerce account for less than one-fourth of the labor force

Unemployment rate: 35% (2003 est.)

Budget: revenues: $9.097 billion expenditures: $10.55 billion (2008 est.)

Industries: crude oil production and petroleum refining; small-scale production of cotton textiles and leather goods; food processing; handicrafts; small aluminum products factory; cement; commercial ship repair

Industrial production growth rate: 2.5% (2008 est.)

Electricity - production: 5.017 billion kWh (2006 est.)

Electricity - production by source:

Electricity - consumption: 3.804 billion kWh (2006 est.)

Electricity - exports: 0 kWh (2007 est.)

Electricity - imports: 0 kWh (2007 est.)

Oil - production: 320,600 bbl/day (2007 est.)

Oil - consumption: 135,400 bbl/day (2006 est.)

Oil - exports: 336,600 bbl/day (2005)

Oil - imports: 62,850 bbl/day (2005)

Oil - proved reserves: 3 billion bbl (1 January 2008 est.)

Natural gas - production: 0 cu m (2007 est.)

Natural gas - consumption: 0 cu m (2007 est.)

Natural gas - exports: 0 cu m (2007 est.)

Natural gas - imports: 0 cu m (2007 est.)

Natural gas - proved reserves: 478.5 billion cu m (1 January 2008 est.)

Agriculture - products: grain, fruits, vegetables, pulses, qat, coffee, cotton; dairy products, livestock (sheep, goats, cattle, camels), poultry; fish

Exports: $9.234 billion f.o.b. (2008 est.)

Exports - commodities: crude oil, coffee, dried and salted fish

Exports - partners: China 23.3%, India 20.4%, Thailand 19.1%, Japan 7.2%, UAE 5%, US 4.2% (2007)

Imports: $9.215 billion f.o.b. (2008 est.)

Imports - commodities: food and live animals, machinery and equipment, chemicals

Imports - partners: UAE 15.1%, China 11.6%, US 7.8%, Saudi Arabia 7.1%, Kuwait 5.3%, Germany 4.8% (2007)

Debt - external: $6.472 billion (31 December 2008 est.)

Economic aid - recipient:

Currency:

Currency code:

Exchange rates: Yemeni rials (YER) per US dollar - 199.76 (2008 est.), 199.14 (2007), 197.18 (2006), 192.67 (2005), 184.78 (2004)

Fiscal year: