Economy of Niger
Encyclopedia
The economy of Niger
is based largely upon internal markets, subsistence agriculture, and the export of raw commodities: food stuffs to neighbors and raw minerals to world markets. Niger
, is a landlocked Sub-Sahara African nation, and over the past two decades has consistently been ranked near or at the bottom of worldwide indexes of the Human development index
, GDP, and percapita income. Economic activity centres on subsistence agriculture, animal husbandry, re-export trade, and export of uranium
. The 50% devaluation of the West African CFA franc
in January 1994 boosted exports of livestock
, cowpea
s, onion
s, and the products of Niger's small cotton
industry. Exports of cattle to neighboring Nigeria
, as well as Groundnuts and their oil remain the primary non-mineral exports. The government relies on bilateral and multilateral aid - which was suspended briefly following coup d'états in 1996 and 1999 - for operating expenses and public investment. Short-term prospects depend continued World Bank
and IMF debt relief
and extended aid. The post 1999 government has broadly adhered to privatisation and market deregulation plans instituted by these funders.
Mean wages were $0.37 per manhour in 2009.
Niger's economy is based largely on subsistence crops, livestock, and some of the world's largest uranium deposits. Drought
cycles, desertification
, a 3.4% population growth rate and the drop in world demand for uranium have undercut an already marginal economy. Traditional subsistence farming, herding, small trading, and informal markets dominate an economy that generates few formal sector jobs. Between 1988 and 1995 28% to 30% of the total economy of Niger was in the unregulated Informal sector, including small and even large scale rural and urban production, transport and services.
in the far north of the country. Ore is partially processed on site by foreign mining corporations and transported by truck to Benin
. Fluctuation of GDP can be mapped to changes in international uranium price, as well as price negations with the main mining company, France
's Areva NC
. Price rises in the mid 1970s were followed by a collapse in the market price through much of the 1980s and 1990s. Thus the GDP per capita has little direct impact on the average Nigerien, although uranium funds much government operation. The 2006 Human Development Index
ranked Niger sixth from worst in the world, with a HDI of 0.370: 174 of 179 nations.
Niger's agricultural and livestock sectors are the mainstay of all but 18% of the population. Fourteen percent of Niger's GDP is generated by livestock production (camels, goats, sheep and cattle), said to support 29% of the population. The 15% of Niger's land that is arable is found mainly along its southern border with Nigeria. Rainfall varies and when insufficient, Niger has difficulty feeding its population and must rely on grain purchases and food aid to meet food requirements. Although the rains in 2000 were not good, those in 2001 were plentiful and well distributed. Pearl millet
, sorghum, and cassava are Niger's principal rain-fed subsistence crops. Irrigated rice for internal consumption, while expensive, has, since the devaluation of the CFA franc, sold for below the price of imported rice, encouraging additional production. Cowpeas and onions are grown for commercial export, as are small quantities of garlic, peppers, potatoes, and wheat. Groundnuts, and to a lesser degree Cotton
, introduced by former colonial power France in in the 1930s and 1950s respectively, account for most of the world market for Nigerien industrial agriculture
. Prior to the mass exploitation of uranium in the early 1970s, groundnut oil was the largest Nigerien export by worth.
The majority of Niger's population are rural residents engaged in agriculture, mostly in the south centre and south west of the nation. While these people are dependent on the agricultural market portions of their production and consumption, much of Nigerien farming is subsistence agriculture
outside of the marketplace.
. When the uranium-led boom ended in the early 1980s, however, the economy stagnated and new investment since then has been limited. Niger's two uranium mines (SOMAIR's open pit mine and COMINAK's underground mine) are owned by a French-led consortium and operated by French interests.
Exploitable deposits of gold are known to exist in Niger in the region between the Niger River
and the border with Burkina Faso
. Substantial deposits of phosphate
s, coal
, iron, limestone
, and gypsum
also have been found. Numerous foreign companies, including American firms, have taken out exploration licenses for concessions in the gold seam in western Niger, which also contains deposits of other minerals.
Several oil companies explored for petroleum since 1992 in the Djado plateau in north-eastern Niger and the Agadem basin, north of Lake Chad but made no discoveries worth developing at the time. In June 2007, however, China National Petroleum Corporation
(state-owned by the People's Republic of China) signed a US$
5 billion agreement to extract oil in the Agadem block, as well as build a 20000 barrels (3,179.7 m³) per day oil refinery
and a 2,000 km oil pipeline
in the country; production is expected to start in 2009.
Niger's known coal reserves, with low energy and high ash content, cannot compete against higher quality coal on the world market. However, the parastatal SONICHAR (Société nigérienne de charbon) in Tchirozerine (north of Agadez
) extracts coal from an open pit and fuels an electricity generating plant that supplies energy to the uranium mines.
promulgated revisions to the investment code (1997 and 2000), petroleum code (1992), and mining code (1993), all with attractive terms for investors. The present government actively seeks foreign private investment and considers it key to restoring economic growth and development. With the assistance of the United Nations Development Programme
(UNDP), it has undertaken a concerted effort to revitalize the private sector.
, and a common central bank, the Central Bank of West African States
(BCEAO), with six other members of the West African Monetary Union. The Treasury of the Government of France supplements the BCEAO's international reserves in order to maintain a fixed rate of 100 CFA (Communauté financière africaine) to the French franc (to the euro
as of January 1, 2002).
program for Highly Indebted Poor Countries and concluded an agreement with the Fund on a Poverty Reduction and Growth Facility
(PRGF).
In addition to changes in the budgetary process and public finances, the new government has pursued economic restructuring towards the IMF promoted privatization
model. This has included the privatization of water distribution and telecommunications and the removal of price protections for petroleum products, allowing prices to be set by world market prices. Further privatizations of public enterprises are in the works. In its effort comply with the IMF's Poverty Reduction and Growth Facility
plan, the government also is taking actions to reduce corruption and, as the result of a participatory process encompassing civil society, has devised a Poverty Reduction Strategy Plan that focuses on improving health, primary education
, rural infrastructure, and judicial
restructuring.
, the European Union
, the World Bank
, the IMF and other United Nations agencies (UNDP, UNICEF, FAO
, WFP, and UNFPA). Other principal donors include the United States
, Belgium
, Germany
, Switzerland
, Canada
, and Saudi Arabia
. While USAID does not have an office in Niger, the United States is a major donor, contributing nearly $10 million each year to Niger’s development. The U.S. also is a major partner in policy coordination in such areas as food security and HIV
/AIDS
. The importance of external support for Niger's development is demonstrated by the fact that about 45% of the government's FY 2002 budget, including 80% of its capital budget, derives from donor resources.
In 2005 the UN drew attention to the increased need for foreign aid given severe problems with drought
and locusts resulting in a famine
endangering the lives around a million people.
:
purchasing power parity - $9.6 billion (9.6 G$) (1999 est.)
GDP - real growth rate:
2% (1999 est.)
GDP - per capita:
purchasing power parity - $1,000 (1999 est.)
GDP - composition by sector:
agriculture:
40%
industry:
18%
services:
42% (1998)
Population below poverty line:
63%
Household income or consumption by percentage share:
lowest 10%:
3%
highest 10%:
29.3% (1992)
Inflation rate (consumer prices):
4.8% (1999)
Labour force:
70,000 receive regular wages or salaries
Labour force - by occupation:
agriculture 90%, industry and commerce 6%, government 4%
Unemployment rate:
NA%
Budget:
revenues:
$377 million, including $146 million from foreign sources
expenditures:
$377 million, including capital expenditures of $105 million (1999 est.)
Industries:
uranium
mining, cement
, brick, textiles, food processing, chemicals, slaughterhouses
Industrial production growth rate:
5.1% (2003 est.)
Electricity - production:
180 GWh (1998)
Electricity - production by source:
fossil fuel:
100%
hydro:
0%
nuclear:
0%
other:
0% (1998)
Electricity - consumption:
363 GWh (1998)
Electricity - exports:
0 kWh (1998)
Electricity - imports:
196 GWh (1998)
Agriculture - products:
cowpea
s, cotton
, peanut
s, pearl millet
, sorghum
, cassava
(tapioca
), rice
; cattle
, sheep
, goats, camel
s, donkey
s, horse
s, poultry
Exports:
$269 million (f.o.b., 1997)
Exports - commodities:
uranium ore 65%, livestock products, cowpeas, onions (1998 est.)
Exports - partners:
US
, Greece
, Japan
, France
, Nigeria
, Benin
Imports:
$295 million (c.i.f., 1997)
Imports - commodities:
consumer goods, primary materials, machinery, vehicles and parts, petroleum
, cereals
Imports - partners:
France, Côte d'Ivoire
, US, Benelux
, Nigeria
Debt - external:
$1.3 billion (1999 est.)
Economic aid - recipient:
$222 million (1995)
Currency:
1 Communauté financière africaine franc (CFAF) = 100 centimes
Exchange rates:
Communauté financière africaine francs (CFAF) per US$1 – 670 (January 2000), 560.01 (January 1999), 589.95 (1998), 583.67 (1997), 511.55 (1996), 499.15 (1995)
note:
since 1 January 1999, the CFAF is pegged to the euro
at a rate of 655.957 CFA francs per euro
Fiscal year:
calendar year
Niger
Niger , officially named the Republic of Niger, is a landlocked country in Western Africa, named after the Niger River. It borders Nigeria and Benin to the south, Burkina Faso and Mali to the west, Algeria and Libya to the north and Chad to the east...
is based largely upon internal markets, subsistence agriculture, and the export of raw commodities: food stuffs to neighbors and raw minerals to world markets. Niger
Niger
Niger , officially named the Republic of Niger, is a landlocked country in Western Africa, named after the Niger River. It borders Nigeria and Benin to the south, Burkina Faso and Mali to the west, Algeria and Libya to the north and Chad to the east...
, is a landlocked Sub-Sahara African nation, and over the past two decades has consistently been ranked near or at the bottom of worldwide indexes of the Human development index
Human Development Index
The Human Development Index is a composite statistic used to rank countries by level of "human development" and separate "very high human development", "high human development", "medium human development", and "low human development" countries...
, GDP, and percapita income. Economic activity centres on subsistence agriculture, animal husbandry, re-export trade, and export of uranium
Uranium
Uranium is a silvery-white metallic chemical element in the actinide series of the periodic table, with atomic number 92. It is assigned the chemical symbol U. A uranium atom has 92 protons and 92 electrons, of which 6 are valence electrons...
. The 50% devaluation of the West African CFA franc
West African CFA franc
The West African CFA franc is the currency of eight independent states in West Africa: Benin, Burkina Faso, Côte d'Ivoire, Guinea-Bissau, Mali, Niger, Sénégal and Togo. The acronym CFA stands for Communauté financière d'Afrique...
in January 1994 boosted exports of livestock
Livestock
Livestock refers to one or more domesticated animals raised in an agricultural setting to produce commodities such as food, fiber and labor. The term "livestock" as used in this article does not include poultry or farmed fish; however the inclusion of these, especially poultry, within the meaning...
, cowpea
Cowpea
The Cowpea is one of several species of the widely cultivated genus Vigna. Four cultivated subspecies are recognised:*Vigna unguiculata subsp. cylindrica Catjang...
s, onion
Onion
The onion , also known as the bulb onion, common onion and garden onion, is the most widely cultivated species of the genus Allium. The genus Allium also contains a number of other species variously referred to as onions and cultivated for food, such as the Japanese bunching onion The onion...
s, and the products of Niger's small cotton
Cotton
Cotton is a soft, fluffy staple fiber that grows in a boll, or protective capsule, around the seeds of cotton plants of the genus Gossypium. The fiber is almost pure cellulose. The botanical purpose of cotton fiber is to aid in seed dispersal....
industry. Exports of cattle to neighboring Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...
, as well as Groundnuts and their oil remain the primary non-mineral exports. The government relies on bilateral and multilateral aid - which was suspended briefly following coup d'états in 1996 and 1999 - for operating expenses and public investment. Short-term prospects depend continued World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
and IMF debt relief
Debt relief
Debt relief is the partial or total forgiveness of debt, or the slowing or stopping of debt growth, owed by individuals, corporations, or nations. From antiquity through the 19th century, it refers to domestic debts, in particular agricultural debts and freeing of debt slaves...
and extended aid. The post 1999 government has broadly adhered to privatisation and market deregulation plans instituted by these funders.
Macro-economic trend
This is a chart of trend of gross domestic product of Niger at market prices estimated by the International Monetary Fund with figures in millions of CFA Francs.| Year | Gross Domestic Product | US Dollar Exchange | Inflation Index (2000=100) |
|---|---|---|---|
| 1980 | 530,000 | 211.23 CFA Francs | 46 |
| 1985 | 647,100 | 449.37 CFA Francs | 69 |
| 1990 | 675,223 | 272.26 CFA Francs | 61 |
| 1995 | 938,800 | 499.09 CFA Francs | 87 |
| 2000 | 1,280,372 | 710.13 CFA Francs | 100 |
| 2005 | 1,841,244 | 527.12 CFA Francs | 113 |
Mean wages were $0.37 per manhour in 2009.
Overall
Drought
A drought is an extended period of months or years when a region notes a deficiency in its water supply. Generally, this occurs when a region receives consistently below average precipitation. It can have a substantial impact on the ecosystem and agriculture of the affected region...
cycles, desertification
Desertification
Desertification is the degradation of land in drylands. Caused by a variety of factors, such as climate change and human activities, desertification is one of the most significant global environmental problems.-Definitions:...
, a 3.4% population growth rate and the drop in world demand for uranium have undercut an already marginal economy. Traditional subsistence farming, herding, small trading, and informal markets dominate an economy that generates few formal sector jobs. Between 1988 and 1995 28% to 30% of the total economy of Niger was in the unregulated Informal sector, including small and even large scale rural and urban production, transport and services.
GDP per capita
Current GDP per capita of Niger grew 10% in the Sixties reaching a peak growth of 187% in the Seventies. But this proved unsustainable and it consequently shrank by 27% in the Eighties and a further 48% in the Nineties. Much of this GDP is explained through the exploitation of uranium at ArlitArlit
Arlit is an industrial town and capital of the Arlit Department of the Agadez Region of northern-central Niger, built between the Sahara desert and the eastern edge of the Aïr mountains. It is 200 km south by road from the border with Algeria...
in the far north of the country. Ore is partially processed on site by foreign mining corporations and transported by truck to Benin
Benin
Benin , officially the Republic of Benin, is a country in West Africa. It borders Togo to the west, Nigeria to the east and Burkina Faso and Niger to the north. Its small southern coastline on the Bight of Benin is where a majority of the population is located...
. Fluctuation of GDP can be mapped to changes in international uranium price, as well as price negations with the main mining company, France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
's Areva NC
Areva NC
Areva NC, formerly Cogema is a French company, created in 1976 from the production division of the French government's CEA It is an industrial group active in all stages of the uranium fuel cycle, including uranium mining, conversion, enrichment, spent fuel reprocessing, and recycling...
. Price rises in the mid 1970s were followed by a collapse in the market price through much of the 1980s and 1990s. Thus the GDP per capita has little direct impact on the average Nigerien, although uranium funds much government operation. The 2006 Human Development Index
Human Development Index
The Human Development Index is a composite statistic used to rank countries by level of "human development" and separate "very high human development", "high human development", "medium human development", and "low human development" countries...
ranked Niger sixth from worst in the world, with a HDI of 0.370: 174 of 179 nations.
Agriculture
Niger's agricultural and livestock sectors are the mainstay of all but 18% of the population. Fourteen percent of Niger's GDP is generated by livestock production (camels, goats, sheep and cattle), said to support 29% of the population. The 15% of Niger's land that is arable is found mainly along its southern border with Nigeria. Rainfall varies and when insufficient, Niger has difficulty feeding its population and must rely on grain purchases and food aid to meet food requirements. Although the rains in 2000 were not good, those in 2001 were plentiful and well distributed. Pearl millet
Pearl millet
Pearl millet is the most widely grown type of millet. Grown in Africa and the Indian subcontinent since prehistoric times, it is generally accepted that pearl millet originated in Africa and was subsequently introduced into India. The center of diversity, and suggested area of domestication, for...
, sorghum, and cassava are Niger's principal rain-fed subsistence crops. Irrigated rice for internal consumption, while expensive, has, since the devaluation of the CFA franc, sold for below the price of imported rice, encouraging additional production. Cowpeas and onions are grown for commercial export, as are small quantities of garlic, peppers, potatoes, and wheat. Groundnuts, and to a lesser degree Cotton
Cotton
Cotton is a soft, fluffy staple fiber that grows in a boll, or protective capsule, around the seeds of cotton plants of the genus Gossypium. The fiber is almost pure cellulose. The botanical purpose of cotton fiber is to aid in seed dispersal....
, introduced by former colonial power France in in the 1930s and 1950s respectively, account for most of the world market for Nigerien industrial agriculture
Industrial agriculture
Industrial farming is a form of modern farming that refers to the industrialized production of livestock, poultry, fish, and crops. The methods of industrial agriculture are technoscientific, economic, and political...
. Prior to the mass exploitation of uranium in the early 1970s, groundnut oil was the largest Nigerien export by worth.
The majority of Niger's population are rural residents engaged in agriculture, mostly in the south centre and south west of the nation. While these people are dependent on the agricultural market portions of their production and consumption, much of Nigerien farming is subsistence agriculture
Subsistence agriculture
Subsistence agriculture is self-sufficiency farming in which the farmers focus on growing enough food to feed their families. The typical subsistence farm has a range of crops and animals needed by the family to eat and clothe themselves during the year. Planting decisions are made with an eye...
outside of the marketplace.
External trade and investment
Of Niger's exports, foreign exchange earnings from livestock, although impossible to quantify, are second only to those from uranium. Actual exports far exceed official statistics, which often fail to detect large herds of animals informally crossing into Nigeria. Some hides and skins are exported and some are transformed into handicrafts.Mining
The persistent uranium price slump has brought lower revenues for Niger's uranium sector, although uranium still provides 72% of national export proceeds. The nation enjoyed substantial export earnings and rapid economic growth during the 1960s and 1970s after the opening of two large uranium mines near the northern town of ArlitArlit
Arlit is an industrial town and capital of the Arlit Department of the Agadez Region of northern-central Niger, built between the Sahara desert and the eastern edge of the Aïr mountains. It is 200 km south by road from the border with Algeria...
. When the uranium-led boom ended in the early 1980s, however, the economy stagnated and new investment since then has been limited. Niger's two uranium mines (SOMAIR's open pit mine and COMINAK's underground mine) are owned by a French-led consortium and operated by French interests.
Niger River
The Niger River is the principal river of western Africa, extending about . Its drainage basin is in area. Its source is in the Guinea Highlands in southeastern Guinea...
and the border with Burkina Faso
Burkina Faso
Burkina Faso – also known by its short-form name Burkina – is a landlocked country in west Africa. It is surrounded by six countries: Mali to the north, Niger to the east, Benin to the southeast, Togo and Ghana to the south, and Côte d'Ivoire to the southwest.Its size is with an estimated...
. Substantial deposits of phosphate
Phosphate
A phosphate, an inorganic chemical, is a salt of phosphoric acid. In organic chemistry, a phosphate, or organophosphate, is an ester of phosphoric acid. Organic phosphates are important in biochemistry and biogeochemistry or ecology. Inorganic phosphates are mined to obtain phosphorus for use in...
s, coal
Coal
Coal is a combustible black or brownish-black sedimentary rock usually occurring in rock strata in layers or veins called coal beds or coal seams. The harder forms, such as anthracite coal, can be regarded as metamorphic rock because of later exposure to elevated temperature and pressure...
, iron, limestone
Limestone
Limestone is a sedimentary rock composed largely of the minerals calcite and aragonite, which are different crystal forms of calcium carbonate . Many limestones are composed from skeletal fragments of marine organisms such as coral or foraminifera....
, and gypsum
Gypsum
Gypsum is a very soft sulfate mineral composed of calcium sulfate dihydrate, with the chemical formula CaSO4·2H2O. It is found in alabaster, a decorative stone used in Ancient Egypt. It is the second softest mineral on the Mohs Hardness Scale...
also have been found. Numerous foreign companies, including American firms, have taken out exploration licenses for concessions in the gold seam in western Niger, which also contains deposits of other minerals.
Several oil companies explored for petroleum since 1992 in the Djado plateau in north-eastern Niger and the Agadem basin, north of Lake Chad but made no discoveries worth developing at the time. In June 2007, however, China National Petroleum Corporation
China National Petroleum Corporation
China National Petroleum Corporation is a state-owned fuel-producing corporation and the largest integrated oil and gas company in the People's Republic of China...
(state-owned by the People's Republic of China) signed a US$
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
5 billion agreement to extract oil in the Agadem block, as well as build a 20000 barrels (3,179.7 m³) per day oil refinery
Oil refinery
An oil refinery or petroleum refinery is an industrial process plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosene, and liquefied petroleum gas...
and a 2,000 km oil pipeline
Pipeline transport
Pipeline transport is the transportation of goods through a pipe. Most commonly, liquids and gases are sent, but pneumatic tubes that transport solid capsules using compressed air are also used....
in the country; production is expected to start in 2009.
Niger's known coal reserves, with low energy and high ash content, cannot compete against higher quality coal on the world market. However, the parastatal SONICHAR (Société nigérienne de charbon) in Tchirozerine (north of Agadez
Agadez
-Sources:* Aboubacar Adamou. "Agadez et sa région. Contribution à l'étude du Sahel et du Sahara nigériens", Études nigériennes, n°44, , 358 p.* Julien Brachet. Migrations transsahariennes. Vers un désert cosmopolite et morcelé . Paris: Le Croquant, , 324 p. ISBN : 978-2-91496865-2.*. Saudi Aaramco...
) extracts coal from an open pit and fuels an electricity generating plant that supplies energy to the uranium mines.
Economic growth
]] contributed to an annual average economic growth of 3.5% throughout the mid-1990s, the economy stagnated due the sharp reduction in foreign aid in 1999, which gradually resumed in 2000, and poor rains in 2000. Reflecting the importance of the agricultural sector, the return of good rains was the primary factor underlying a projected growth of 4.5% for 2001.Foreign investment
In recent years, the Government of NigerPolitics of Niger
Politics of Niger takes place in a framework of a semi-presidential representative democratic republic, whereby the President of Niger is head of state and the Prime Minister of Niger head of government, and of a multi-party system. Executive power is exercised by the government...
promulgated revisions to the investment code (1997 and 2000), petroleum code (1992), and mining code (1993), all with attractive terms for investors. The present government actively seeks foreign private investment and considers it key to restoring economic growth and development. With the assistance of the United Nations Development Programme
United Nations Development Programme
The United Nations Development Programme is the United Nations' global development network. It advocates for change and connects countries to knowledge, experience and resources to help people build a better life. UNDP operates in 177 countries, working with nations on their own solutions to...
(UNDP), it has undertaken a concerted effort to revitalize the private sector.
Currency
Niger shares a common currency, the CFA francCFA franc
The CFA franc is the name of two currencies used in Africa which are guaranteed by the French treasury. The two CFA franc currencies are the West African CFA franc and the Central African CFA franc...
, and a common central bank, the Central Bank of West African States
Central Bank of West African States
The Central Bank of West African States is a central bank serving the eight west African countries which comprise the West African Economic and Monetary Union:*Benin*Burkina Faso*Cote d'Ivoire*Guinea Bissau*Mali*Niger*Senegal*Togo-See also:...
(BCEAO), with six other members of the West African Monetary Union. The Treasury of the Government of France supplements the BCEAO's international reserves in order to maintain a fixed rate of 100 CFA (Communauté financière africaine) to the French franc (to the euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
as of January 1, 2002).
Government restructuring
In January 2000, Niger's newly elected government inherited serious financial and economic problems including a virtually empty treasury, past-due salaries (11 months of arrears) and scholarship payments, increased debt, reduced revenue performance, and lower public investment. In December 2000, Niger qualified for enhanced debt relief under the International Monetary FundInternational Monetary Fund
The International Monetary Fund is an organization of 187 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world...
program for Highly Indebted Poor Countries and concluded an agreement with the Fund on a Poverty Reduction and Growth Facility
Poverty Reduction and Growth Facility
The Poverty Reduction and Growth Facility is an arm of the International Monetary Fund which lends to the world's poorest countries. It was created in September 1999, replacing the Enhanced Structural Adjustment Facility....
(PRGF).
In addition to changes in the budgetary process and public finances, the new government has pursued economic restructuring towards the IMF promoted privatization
Privatization
Privatization is the incidence or process of transferring ownership of a business, enterprise, agency or public service from the public sector to the private sector or to private non-profit organizations...
model. This has included the privatization of water distribution and telecommunications and the removal of price protections for petroleum products, allowing prices to be set by world market prices. Further privatizations of public enterprises are in the works. In its effort comply with the IMF's Poverty Reduction and Growth Facility
Poverty Reduction and Growth Facility
The Poverty Reduction and Growth Facility is an arm of the International Monetary Fund which lends to the world's poorest countries. It was created in September 1999, replacing the Enhanced Structural Adjustment Facility....
plan, the government also is taking actions to reduce corruption and, as the result of a participatory process encompassing civil society, has devised a Poverty Reduction Strategy Plan that focuses on improving health, primary education
Education in Niger
Education in Niger like that of other developing nations, particularly in the Sahelian region of Africa, faces challenges from poverty and poor access to schools. Niger has one of the lowest literacy rates in the world.-Primary education:...
, rural infrastructure, and judicial
Judiciary of Niger
The current Judiciary of Niger was established with the creation of the Fourth Republic in 1999. The constitution of December 1992 was revised by national referendum on 12 May 1996 and, again, by referendum, revised to the current version on 18 July 1999...
restructuring.
Foreign Aid
The most important donors in Niger are FranceFrance
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
, the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...
, the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
, the IMF and other United Nations agencies (UNDP, UNICEF, FAO
Fão
Fão is a town in Esposende Municipality in Portugal....
, WFP, and UNFPA). Other principal donors include the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, Belgium
Belgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...
, Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
, Switzerland
Switzerland
Switzerland name of one of the Swiss cantons. ; ; ; or ), in its full name the Swiss Confederation , is a federal republic consisting of 26 cantons, with Bern as the seat of the federal authorities. The country is situated in Western Europe,Or Central Europe depending on the definition....
, Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
, and Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...
. While USAID does not have an office in Niger, the United States is a major donor, contributing nearly $10 million each year to Niger’s development. The U.S. also is a major partner in policy coordination in such areas as food security and HIV
HIV
Human immunodeficiency virus is a lentivirus that causes acquired immunodeficiency syndrome , a condition in humans in which progressive failure of the immune system allows life-threatening opportunistic infections and cancers to thrive...
/AIDS
AIDS
Acquired immune deficiency syndrome or acquired immunodeficiency syndrome is a disease of the human immune system caused by the human immunodeficiency virus...
. The importance of external support for Niger's development is demonstrated by the fact that about 45% of the government's FY 2002 budget, including 80% of its capital budget, derives from donor resources.
In 2005 the UN drew attention to the increased need for foreign aid given severe problems with drought
Drought
A drought is an extended period of months or years when a region notes a deficiency in its water supply. Generally, this occurs when a region receives consistently below average precipitation. It can have a substantial impact on the ecosystem and agriculture of the affected region...
and locusts resulting in a famine
Famine
A famine is a widespread scarcity of food, caused by several factors including crop failure, overpopulation, or government policies. This phenomenon is usually accompanied or followed by regional malnutrition, starvation, epidemic, and increased mortality. Every continent in the world has...
endangering the lives around a million people.
Statistics
GDPGross domestic product
Gross domestic product refers to the market value of all final goods and services produced within a country in a given period. GDP per capita is often considered an indicator of a country's standard of living....
:
purchasing power parity - $9.6 billion (9.6 G$) (1999 est.)
GDP - real growth rate:
2% (1999 est.)
GDP - per capita:
purchasing power parity - $1,000 (1999 est.)
GDP - composition by sector:
agriculture:
40%
industry:
18%
services:
42% (1998)
Population below poverty line:
63%
Household income or consumption by percentage share:
lowest 10%:
3%
highest 10%:
29.3% (1992)
Inflation rate (consumer prices):
4.8% (1999)
Labour force:
70,000 receive regular wages or salaries
Labour force - by occupation:
agriculture 90%, industry and commerce 6%, government 4%
Unemployment rate:
NA%
Budget:
revenues:
$377 million, including $146 million from foreign sources
expenditures:
$377 million, including capital expenditures of $105 million (1999 est.)
Industries:
uranium
Uranium
Uranium is a silvery-white metallic chemical element in the actinide series of the periodic table, with atomic number 92. It is assigned the chemical symbol U. A uranium atom has 92 protons and 92 electrons, of which 6 are valence electrons...
mining, cement
Cement
In the most general sense of the word, a cement is a binder, a substance that sets and hardens independently, and can bind other materials together. The word "cement" traces to the Romans, who used the term opus caementicium to describe masonry resembling modern concrete that was made from crushed...
, brick, textiles, food processing, chemicals, slaughterhouses
Industrial production growth rate:
5.1% (2003 est.)
Electricity - production:
180 GWh (1998)
Electricity - production by source:
fossil fuel:
100%
hydro:
0%
nuclear:
0%
other:
0% (1998)
Electricity - consumption:
363 GWh (1998)
Electricity - exports:
0 kWh (1998)
Electricity - imports:
196 GWh (1998)
Agriculture - products:
cowpea
Cowpea
The Cowpea is one of several species of the widely cultivated genus Vigna. Four cultivated subspecies are recognised:*Vigna unguiculata subsp. cylindrica Catjang...
s, cotton
Cotton
Cotton is a soft, fluffy staple fiber that grows in a boll, or protective capsule, around the seeds of cotton plants of the genus Gossypium. The fiber is almost pure cellulose. The botanical purpose of cotton fiber is to aid in seed dispersal....
, peanut
Peanut
The peanut, or groundnut , is a species in the legume or "bean" family , so it is not a nut. The peanut was probably first cultivated in the valleys of Peru. It is an annual herbaceous plant growing tall...
s, pearl millet
Pearl millet
Pearl millet is the most widely grown type of millet. Grown in Africa and the Indian subcontinent since prehistoric times, it is generally accepted that pearl millet originated in Africa and was subsequently introduced into India. The center of diversity, and suggested area of domestication, for...
, sorghum
Sorghum
Sorghum is a genus of numerous species of grasses, one of which is raised for grain and many of which are used as fodder plants either cultivated or as part of pasture. The plants are cultivated in warmer climates worldwide. Species are native to tropical and subtropical regions of all continents...
, cassava
Cassava
Cassava , also called yuca or manioc, a woody shrub of the Euphorbiaceae native to South America, is extensively cultivated as an annual crop in tropical and subtropical regions for its edible starchy tuberous root, a major source of carbohydrates...
(tapioca
Tapioca
Tapioca is a starch extracted Manihot esculenta. This species, native to the Amazon, Brazil, Colombia, Venezuela, Cuba, Puerto Rico, Haiti, the Dominican Republic, Honduras, and most of the West Indies, is now cultivated worldwide and has many names, including cassava, manioc, aipim,...
), rice
Rice
Rice is the seed of the monocot plants Oryza sativa or Oryza glaberrima . As a cereal grain, it is the most important staple food for a large part of the world's human population, especially in East Asia, Southeast Asia, South Asia, the Middle East, and the West Indies...
; cattle
Cattle
Cattle are the most common type of large domesticated ungulates. They are a prominent modern member of the subfamily Bovinae, are the most widespread species of the genus Bos, and are most commonly classified collectively as Bos primigenius...
, sheep
Domestic sheep
Sheep are quadrupedal, ruminant mammals typically kept as livestock. Like all ruminants, sheep are members of the order Artiodactyla, the even-toed ungulates. Although the name "sheep" applies to many species in the genus Ovis, in everyday usage it almost always refers to Ovis aries...
, goats, camel
Camel
A camel is an even-toed ungulate within the genus Camelus, bearing distinctive fatty deposits known as humps on its back. There are two species of camels: the dromedary or Arabian camel has a single hump, and the bactrian has two humps. Dromedaries are native to the dry desert areas of West Asia,...
s, donkey
Donkey
The donkey or ass, Equus africanus asinus, is a domesticated member of the Equidae or horse family. The wild ancestor of the donkey is the African Wild Ass, E...
s, horse
Horse
The horse is one of two extant subspecies of Equus ferus, or the wild horse. It is a single-hooved mammal belonging to the taxonomic family Equidae. The horse has evolved over the past 45 to 55 million years from a small multi-toed creature into the large, single-toed animal of today...
s, poultry
Poultry
Poultry are domesticated birds kept by humans for the purpose of producing eggs, meat, and/or feathers. These most typically are members of the superorder Galloanserae , especially the order Galliformes and the family Anatidae , commonly known as "waterfowl"...
Exports:
$269 million (f.o.b., 1997)
Exports - commodities:
uranium ore 65%, livestock products, cowpeas, onions (1998 est.)
Exports - partners:
US
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, Greece
Greece
Greece , officially the Hellenic Republic , and historically Hellas or the Republic of Greece in English, is a country in southeastern Europe....
, Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
, France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
, Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...
, Benin
Benin
Benin , officially the Republic of Benin, is a country in West Africa. It borders Togo to the west, Nigeria to the east and Burkina Faso and Niger to the north. Its small southern coastline on the Bight of Benin is where a majority of the population is located...
Imports:
$295 million (c.i.f., 1997)
Imports - commodities:
consumer goods, primary materials, machinery, vehicles and parts, petroleum
Petroleum
Petroleum or crude oil is a naturally occurring, flammable liquid consisting of a complex mixture of hydrocarbons of various molecular weights and other liquid organic compounds, that are found in geologic formations beneath the Earth's surface. Petroleum is recovered mostly through oil drilling...
, cereals
Imports - partners:
France, Côte d'Ivoire
Côte d'Ivoire
The Republic of Côte d'Ivoire or Ivory Coast is a country in West Africa. It has an area of , and borders the countries Liberia, Guinea, Mali, Burkina Faso and Ghana; its southern boundary is along the Gulf of Guinea. The country's population was 15,366,672 in 1998 and was estimated to be...
, US, Benelux
Benelux
The Benelux is an economic union in Western Europe comprising three neighbouring countries, Belgium, the Netherlands, and Luxembourg. These countries are located in northwestern Europe between France and Germany...
, Nigeria
Debt - external:
$1.3 billion (1999 est.)
Economic aid - recipient:
$222 million (1995)
Currency:
1 Communauté financière africaine franc (CFAF) = 100 centimes
Exchange rates:
Communauté financière africaine francs (CFAF) per US$1 – 670 (January 2000), 560.01 (January 1999), 589.95 (1998), 583.67 (1997), 511.55 (1996), 499.15 (1995)
note:
since 1 January 1999, the CFAF is pegged to the euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
at a rate of 655.957 CFA francs per euro
Fiscal year:
calendar year
See also
- List of countries by percentage of population living in poverty
- List of countries by Human Development Index
- List of countries by GDP (nominal)
- List of countries by GDP (nominal) per capita
- List of countries by GDP (PPP)
- List of countries by GDP (PPP) per capita
- List of countries by GNI (nominal) per capita
- List of countries by GDP growth
- List of countries by industrial production growth rate
External links
- Invest in Niger: Centre de Promotion des Investissements Sis à la Chambre de Commerce d'Agriculture, d'Industrie et d'Atisanat du Niger.
- http://www.niger-tourisme.com: Ministère du tourisme et de l'artisanat nigérien.
- Niger latest trade data on ITC Trade Map
- The MBendi website, Niger: A South Africa based business research group. Is especially useful for tracking government mining consessions.
- LA MAISON DE L'AFRIQUE: Niger. Franco-African business group.
- Institut de Recherche pour le Développement au Niger: French government development office in Niger.
- United Kingdom Department of International Development:Niger.
- Canadian International Development Agency:Niger.
- World Trade Organization MEMBER INFORMATION: Niger.
- The World Bank, Niger overview and resources.
- International Monetary Fund: Article IV Executive Board Consultation reports regarding Niger.
- IMF. Niger: Financial Position in the Fund as of January 31, 2008.
- IMF. Niger: Transactions with the Fund from May 01, 1984 to January 31, 2008.
- Estruscan Mining (Canada): corporate report on their Samira Hill Gold Mine, on the Benin border.
- West African Agricultural Market Observer/Observatoire du Marché Agricole (RESIMAO), a project of the West-African Market Information Network (WAMIS-NET), provides live market and commodity prices from fifty seven regional and local public agricultural markets across Benin, Burkina Faso, Côte d'Ivoire, Guinea, Niger, Mali, Senegal, Togo, and Nigeria. Sixty commodities are tracked weekly. The project is run by the Benin Ministry of Agriculture, and a number of European, African, and United Nations agencies.