Overview: The economy's base is agriculture, which employs about 70% of the labor force and contributes 50% to GDP. Coconuts, bananas, and vanilla beans are the main crops and make up two-thirds of exports. The country must import a high proportion of its food, mainly from New Zealand. The manufacturing sector accounts for only 10% of GDP. Tourism is the primary source of hard currency earnings, but the island remains dependent on external aid and remittances to sustain its trade deficit.

GDP: $65.8 million, per capita $670; real growth rate 3.0% (FY87)

Inflation rate (consumer prices): 8.2% (FY87)

Unemployment rate: NA%

Budget: revenues $35.6 million; expenditures $36 million, including capital expenditures of $16 million (FY88)

Exports: $5.9 million (f.o.b., FY87); @m5commodities--coconut oil, desiccated coconut, copra, bananas, taro, vanilla beans, fruits, vegetables, fish; @m5partners--NZ 54%, Australia 30%, US 8%, Fiji 5%

Imports: $46.2 million (c.i.f., FY87); @m5commodities--food products, beverages and tobacco, fuels, machinery and transport equipment, chemicals, building materials; @m5partners--NZ 39%, Australia 25%, Japan 9%, US 6%, EC 5%

External debt: $31.8 million (1987)

Industrial production: growth rate 15% (FY86)

Electricity: 5,000 kW capacity; 8 million kWh produced, 80 kWh per capita (1988)

Industries: tourism, fishing

Agriculture: dominated by coconut, copra, and banana production; vanilla beans, cocoa, coffee, ginger, black pepper

Aid: Western (non-US) countries, ODA and OOF bilateral commitments $6.2 million (1985 est.)

Currency: pa'anga (plural--pa'anga); 1 pa'anga (T$) = 100 seniti

Exchange rates: pa'anga (T$) per US$1--1.419 (April 1987), NA (1987), 1.504 (1986), 1.469 (1985)

Fiscal year: 1 July-30 June

NOTE: The information regarding Tonga on this page is re-published from the 1989 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Tonga Economy 1989 information contained here. All suggestions for corrections of any errors about Tonga Economy 1989 should be addressed to the CIA.