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Home >> Economies in Top >>Sierra Leone Economy

Sierra Leone Economy

Introduction to the Economy of Sierra Leone

Deeply affected by the Civil War that extended from 1991 to 2002 and caused the death of thousands of people, the Sierra Leone Economy is marked by a glaring inequality in the distribution of wealth. Around half of the working population is involved in subsistence farming while mining of diamond contributes the lion's share of revenues earned by Sierra Leone as it accounts for nearly half of the total exports.

With a reduction of nearly 10 percent in its GDP from the preceding fiscal (2006), the present real growth rate of the GDP of Sierra Leone Economy is close to 7 percent.

Sierra Leone Economy : Sectoral Overview

Agriculture comprises nearly half of the GDP of Sierra Leone with industries accounting for around 30 percent and services the remaining.

Alluvial diamond mining is the single largest industry of the Sierra Leone Economy and its major foreign revenue earner. Small-scale manufacturing industries such as beverages, textiles, cigarettes, and footwear are the other constituents of the minimal industrial sector of Sierra Leone.

Rice, coffee, cocoa, palm oil and kernels, and peanuts are the main agricultural products. In addition the cultivation of livestock including poultry, cattle, sheep and fishes are carried out.

Market Performance of the Economy of Sierra Leone

With a per capita GDP (PPP) that is hovering around the $900 mark Sierra Leone Economy has undergone around 13 percent change over the preceding financial year. A low inflation rate of nearly 1 percent has however not helped to make the market a profitable place.

Export and Import : Sierra Leone Economy

In this fiscal the exports of Sierra Leone totaled close to $185 Millions, an 8 percent increase on nearly the $171 Millions earned in the previous financial year. However, Sierra Leone Economy is ranked a dismal 179th in the world in terms of exports, which includes diamonds besides rutile, cocoa, coffee, and fish mainly exported mainly to Belgium accounting for nearly 70 percent of its total exports, in addition to Germany, and the US.

Sierra Leone Economy mainly imports foodstuffs, machinery and equipments, fuels and lubricants, and chemicals from Germany, Cote d'Ivoire, UK, USA, China, and Netherlands. The gross imports of the Economy of Sierra Leone was fixed at nearly $531 Millions.

Sierra Leone Economy : Balance of Payments

The external debts of the Economy of Sierra Leone is amounting up to nearly $2 Billions. The Official Development Finance (ODF), in other words, the economic aid received by Sierra Leone Economy from the World Bank, the IMF, and other international financial organizations totaled close to $300 Millions.

International Relations of the Economy of Sierra Leone

The UNAMSIL, that is, the UN Mission in Sierra Leone has kept much more than 4,000 peace keepers in the nation from 1999 onwards to handle the problem of Civil War within the nation in addition to the numerous refugees belonging to Cote d'Ivoire, Guinea, and Liberia who are sheltered in and around the international border regions of the country.

For more information on Sierra Leone Economy one may log on to indexmundi.com, mbendi.co.za .