Côte D'ivoire 

Côte D'ivoire country policy

Policy established 07 November 2000

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Country class: 7

Côte D'ivoire country facts

Atradius DSB Economic Research
Country Report last updated :  17 September 2007
Country :  COTE D'IVOIRE

Political Situation
A New Peace Agreement Signed

Head of state
Laurent Gbagbo (FPI, inaugurated on the 26th October 2000).

Form of government
Officially a republic, multiparty presidential regime.

Internal Economic Situation
Deep Impact Crisis On Economy

General situation
Economic growth has been modest for years. This year economic growth is estimated at 1.4%, slightly higher then last year (1.2%). The crisis had a deep impact on the economy and an economic recovery will be very modest. Cote d’Ivoire is dependent on the cocoa and petroleum sector as it main source of revenues. Problems, especially the low domestic prices for cocoa, which have encouraged smuggling into neighbouring countries, have undermined activity in the cocoa sector. Major constraints for this economy are the division of the country in two, lack of investment and lack of donor support. Also there is little to no progress on structural reforms. The outlook remains precarious and is dependent on the peace progress. Inflation was relatively modest due to tight monetary policy of the regional central bank and widespread availability of food.

External Economic Situation
Still Payment Problems For Government

Main sources of foreign exchange
Cocoa, coffee, timber, petroleum, cotton, tropical woods, bananas, pineapples, palm oil, fish and re-exports to neighbouring countries.

Main foreign markets
EU (particularly France (24%) and Netherlands (11%)), US (10%) and Nigeria (8%).

Main expenses of foreign exchange
Food, consumer goods, capital goods, fuel and transport equipment.
 
Balance of payments 
Higher oil production and oil prices have boosted export revenues in 2006. Imports remain high as basic goods need to be imported.