Colombia Economy - 2006

Economy - overview:
Colombia's economy has been on a recovery trend during the past two years despite a serious armed conflict. The economy continues to improve thanks to austere government budgets, focused efforts to reduce public debt levels, an export-oriented growth strategy, and an improved security situation in the country. Ongoing economic problems facing President URIBE range from reforming the pension system to reducing high unemployment. New exploration is needed to offset declining oil production. On the positive side, several international financial institutions have praised the economic reforms introduced by URIBE, which succeeded in reducing the public-sector deficit below 1.5% of GDP. The government's economic policy and democratic security strategy have engendered a growing sense of confidence in the economy, particularly within the business sector. Coffee prices have recovered from previous lows as the Colombian coffee industry pursues greater market shares in developed countries such as the United States.

GDP (purchasing power parity):
$303.7 billion (2005 est.)

GDP (official exchange rate):
$98.47 billion (2005 est.)

GDP - real growth rate:
4.3% (2005 est.)

GDP - per capita (PPP):
$7,100 (2005 est.)

GDP - composition by sector:
agriculture: 11.9%
industry: 50.4%
services: 37.7% (2005 est.)

Labor force:
20.52 million (2005)

Labor force - by occupation:
agriculture: 22.7%
industry: 18.7%
services: 58.5% (2000 est.)

Unemployment rate:
10.2% (2005)

Population below poverty line:
49.2% (2005)

Household income or consumption by percentage share:
lowest 10%: 7.9%
highest 10%: 34.3% (2004)

Distribution of family income - Gini index:
53.8 (2005)

Inflation rate (consumer prices):
4.9% (2005)

Investment (gross fixed):
19.1% of GDP (2005)

Budget:
revenues: $46.82 billion
expenditures: $48.77 billion; including capital expenditures of $NA (2005 est.)

Public debt:
44.2% of GDP (2005)

Agriculture - products:
coffee, cut flowers, bananas, rice, tobacco, corn, sugarcane, cocoa beans, oilseed, vegetables; forest products; shrimp

Industries:
textiles, food processing, oil, clothing and footwear, beverages, chemicals, cement; gold, coal, emeralds

Industrial production growth rate:
3% (2005 est.)

Electricity - production:
50.43 billion kWh (2003)

Electricity - consumption:
48.83 billion kWh (2003)

Electricity - exports:
1.082 billion kWh (2003)

Electricity - imports:
48.4 million kWh (2003)

Oil - production:
512,400 bbl/day (2005 est.)

Oil - consumption:
270,000 bbl/day (2003 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
1.492 billion bbl (2005 est.)

Natural gas - production:
6.08 billion cu m (2003 est.)

Natural gas - consumption:
6.08 billion cu m (2003 est.)

Natural gas - exports:
0 cu m (2004 est.)

Natural gas - imports:
0 cu m (2004 est.)

Natural gas - proved reserves:
127.6 billion cu m (2005)

Current account balance:
$1.3 billion (2005)

Exports:
$19.3 billion f.o.b. (2005 est.)

Exports - commodities:
petroleum, coffee, coal, apparel, bananas, cut flowers

Exports - partners:
US 42.1%, Venezuela 9.7%, Ecuador 6% (2004)

Imports:
$18 billion f.o.b. (2005 est.)

Imports - commodities:
industrial equipment, transportation equipment, consumer goods, chemicals, paper products, fuels, electricity

Imports - partners:
US 29.1%, Venezuela 6.5%, China 6.4%, Mexico 6.2%, Brazil 5.8% (2004)

Reserves of foreign exchange and gold:
$14.95 billion (2005)

Debt - external:
$37.06 billion (30 June 2005 est.)

Economic aid - recipient:
$NA

Currency (code):
Colombian peso (COP)

Exchange rates:
Colombian pesos per US dollar - 2,320.75 (2005), 2,628.61 (2004), 2,877.65 (2003), 2,504.24 (2002), 2,299.63 (2001)