Economy

Slums in Djibouti[Photo/people.com.cn]

The UN has called Djibouti one of the least developed countries, with few resources, a harsh environment, and low economic growth. It is lacking behind in both industrial and agricultural development, with the economy relying heavily on foreign funds .

In 2013，its GDP was $ 2.505 billion, with an annual growth of 5 percent. Household spending accounts for 56.6 percent of GDP, government spending for 23.1 percent, capital investment, 35.7 percent, stock market, 0.5 percent, and exports, 35.2 percent, with imports at -51.1 percent. Services are a pillar industry, accounting for 79.7 percent. In 2007, the unemployment rate stood at 59 percent, and the portion of the population living below the poverty line was 18.8 percent

Transportation

Transportation and related industries form the core of the export business.

Animal husbandry and fisheries

Djibouti depends on livestock, while the amount of arable land covers 6,000 hectares. According to the African Development Bank Development Report for 1999, total value of agricultural output for 1997 was worth $16 million. The country mainly produces maize, vegetables, and fruits and suffers from severe food insufficiency. It gets 12,000 tons of food aid from the EU, France, Japan and other countries annually.

Maritime trade

Djibouti has had a free-port policy since 1949 and it has become an important transshipment site for Ethiopia. The port generally exports leather, coffee, salt, and livestock, and imports textiles, grains, steel, cement, machinery, equipment, electrical products and transport materials and handled 2.5 million tons of goods, in 1998.

Tourism

An increase in domestic consumption has led to a growth in the national average income, which has given a push to the tourism industry. The government considers tourism development to be very important and it receives 2.5 million tourists annually. The main scenic spots around Lake Assal include Abbe Lake, ancient Beit Al Karrka, the volcano, forests, Rhonda Hing Ben Falls, and the maritime park tower.