Economic activity consists largely of subsistence farming and fishing, and government, which employs two-thirds of the adult working population and receives funding largely - 58% in 2013 – from Compact of Free Association assistance provided by the US. The islands have few commercially valuable mineral deposits. The potential for tourism is limited by isolation, lack of adequate facilities, and limited internal air and water transportation.
Under the terms of the original Compact, the US provided $1.3 billion in grants and aid from 1986 to 2001. The US and the Federated States of Micronesia (FSM) negotiated a second (amended) Compact agreement in 2002-03 that took effect in 2004. The amended Compact runs for a 20-year period to 2023; during which the US will provide roughly $2.1 billion to the FSM. The amended Compact also develops a trust fund for the FSM that will provide a comparable income stream beyond 2024 when Compact grants end.
The country's medium-term economic outlook appears fragile because of dependence on US assistance and lackluster performance of its small and stagnant private sector.
2% (2017 est.)
2.9% (2016 est.)
3.9% (2015 est.)
0.5% (2017 est.)
0.5% (2016 est.)
$390 million (2018 est.)
$348 million (2017 est.)
$389 million (2017 est.)
note: data are in 2017 dollars
$328 million (2017 est.)
$3,464 (2018 est.)
$3,493 (2017 est.)
$3,200 (2015 est.)
note: data are in 2017 dollars
agriculture: 26.3% (2013 est.)
industry: 18.9% (2013 est.)
services: 54.8% (2013 est.)
household consumption: 83.5% (2013 est.)
government consumption: 48.4% (2016 est.)
investment in fixed capital: 29.5% (2016 est.)
investment in inventories: 1.9% (2016 est.)
exports of goods and services: 27.5% (2016 est.)
imports of goods and services: -77% (2016 est.)
Overall score: 48.1 (2020)
Starting a Business score: 69.6 (2020)
Trading score: 84 (2020)
Enforcement score: 29.4 (2020)
coconuts, cassava, vegetables, sweet potatoes, bananas, pork, plantains, fruit, eggs, beef
tourism, construction; specialized aquaculture, craft items (shell and wood)
N/A
37,920 (2010 est.)
agriculture: 0.9%
industry: 5.2%
services: 93.9% (2013 est.)
note: two-thirds of the labor force are government employees
16.2% (2010 est.)
41.2% (2013 est.)
40.1 (2013 est.)
lowest 10%: NA
highest 10%: NA
revenues: 213.8 million (FY12/13 est.)
expenditures: 192.1 million (FY12/13 est.)
65.2% (of GDP) (FY12/13 est.)
6.6% (of GDP) (FY12/13 est.)
24.5% of GDP (2017 est.)
25.3% of GDP (2016 est.)
1 October - 30 September
$12 million (2017 est.)
$11 million (2016 est.)
$88.3 million (2013 est.)
Thailand 73%, Japan 10%, China 9% (2019)
fish and fish products, coral/shells, scrap metals, mollusks, office machinery/parts (2019)
$167.8 million (2015 est.)
$258.5 million (2013 est.)
United States 32%, China 16%, Japan 14%, Taiwan 9%, Philippines 6%, South Korea 6% (2019)
poultry meats, netting, broadcasting equipment, various meats, fish products (2019)
$203.7 million (31 December 2017 est.)
$135.1 million (31 December 2015 est.)
$93.6 million (2013 est.)
$93.5 million (2012 est.)
the US dollar is used
NOTE: The information regarding Micronesia Federated States of on this page is re-published from the 2021 World Fact Book of the United States Central Intelligence Agency and other sources. No claims are made regarding the accuracy of Micronesia Federated States of 2021 information contained here. All suggestions for corrections of any errors about Micronesia Federated States of 2021 should be addressed to the CIA or the source cited on each page.
This page was last modified 16 Dec 23, Copyright © 2023 ITA all rights reserved.