Overview: Greenland's economic situation at present is difficult. Unemployment is increasing, and prospects for economic growth in the immediate future are dim. Following the closing of the Black Angel lead and zinc mine in 1989, Greenland became almost completely dependent on fishing and fish processing, the sector accounting for 95% of exports. Prospects for fisheries are not bright, as the important shrimp catches will at best stabilize and cod catches have dropped. Resumption of mining and hydrocarbon activities is not around the corner, thus leaving only tourism with some potential for the near future. The public sector in Greenland, i.e., the central government and its commercial entities and the municipalities, plays a dominant role in Greenland accounting for about two-thirds of total employment. About half the government's revenues come from grants from the Danish Government.

National product: GNP - purchasing power equivalent - $500 million (1988)

National product real growth rate: -10% (1990)

National product per capita: $9,000 (1988)

Inflation rate (consumer prices): 1.6% (1991)

Unemployment rate: 9% (1990 est.)

Budget:
revenues: $381 million
expenditures: $381 million, including capital expenditures of $36 million (1989)

Exports: $340.6 million (f.o.b., 1991)
commodities: fish and fish products 95%
partners: Denmark 79%, Benelux 9%, Germany 5%

Imports: $403 million (c.i.f., 1991)
commodities: manufactured goods 28%, machinery and transport equipment 24%, food and live animals 12.4%, petroleum products 12%
partners: Denmark 65%, Norway 8.8%, US 4.6%, Germany 3.8%, Japan 3.8%, Sweden 2.4%

External debt: $480 million (1990 est.)

Industrial production: growth rate NA%

Electricity:
capacity: 84,000 kW
production: 176 million kWh
consumption per capita: 3,060 kWh (1992)

Industries: fish processing (mainly shrimp), lead and zinc mining, handicrafts, some small shipyards, potential for platinum and gold mining

Agriculture: sector dominated by fishing and sheep raising; crops limited to forage and small garden vegetables; 1988 fish catch of 133,500 metric tons

Economic aid: none

Currency: 1 Danish krone (DKr) = 100 oere
Exchange rates: Danish kroner (DKr) per US$1 - 6.771 (January 1994), 6.484 (1993), 6.036 (1992), 6.396 (1991), 6.189 (1990), 7.310 (1989)

Fiscal year: calendar year

NOTE: The information regarding Greenland on this page is re-published from the 1995 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Greenland Economy 1995 information contained here. All suggestions for corrections of any errors about Greenland Economy 1995 should be addressed to the CIA.