Suriname 

Suriname country policy

Policy established 02 February 2009

• The country ceiling is 30 mln euro
• Early warning signal 30 mln euro
• Private buyers: SIF facility

Country class: 7

Suriname country facts

Atradius Dutch State Business Economic Research
Country Report last updated 18 May 2011
Country :  SURINAME  

Political Situation

Disputed Presidency

Head of state
President Desi Bouterse.

Form of government
A coalition of MEGA (headed by Bouterse’s NDP), the A-Combinatie and the Volksalliantie.

Internal Economic Situation
Weak Structure

General situation
Moderate economic growth based on increased mineral output and high prices (bauxite, gold, oil), public sector construction and the informal sector boosting private consumption. Risen oil and food prices have propelled inflation to >10% p.a. in Dec 2010 and possibly higher in 2011. Bureaucracy, weak investor protection and poor contractual enforcement are cloudening Suriname’s business climate. The economy continues to be highly dollarised and the banking sector weak by international standards.  
 
External Economic Situation
Improved But Still Rather Weak

Main sources of foreign exchange
Minerals (gold, bauxite, oil, nickel, silver), remittances from the Netherlands.

Main foreign markets
Canada (24%), EU (21%), Norway (20%), USA (9%).

Main expenses of foreign exchange
Capital goods, consumer goods.

Balance of payments 
Risen export revenues (more output, high prices for alumina, gold and oil) and more FDI have benefitted Suriname’s external position, leading to balance of payments-surpluses and an accumulation of reserves until mid-2010. In Jan 2011 the exchange rate of the Sur$ (2.75 /US$) was brought into line with the free market exchange rate (3.35/US$), de facto a devaluation.