Agriculture:
Around 71% of the total labor force of Kiribati is employed in the agricultural sector. The primary food crops produced here comprise fruits and vegetable like bananas, mangoes, potatoes, tomatoes, coconuts etc. Copra is cultivated and exported as a commercial crop. In fact, in terms of value, fish and mangoes are considered to be among the largest agricultural exports, generating $10.7 million income in the country. Kiribati agriculture contributes 14 percent to the national GDP.Industries:
There are a handful of small industries in Kiribati. Clothing and seafood are primary among them. Among numerous other industries, there are biscuit factory, boat-building shops, soft-drink plant, construction companies, furniture factories, laundries, bakeries and repair garages. The government also promotes the occupation of local handicrafts extensively. Moreover, a pilot project on Kiribati was set up in 1985, to produce solar-evaporated salt.But,the project experienced some severe slow down in 1999-2000.The construction companies of the country contributed 2.7% of Kiribati GDP in 2000, which decreased abruptly from 4.6% in 1999.
At present, the economy of Kiribati is largely dependent on the export of fish and Copra or dried coconut. Fishing is a very important occupation in Kiribati, and programs have been developed to improve the conditions of the existing fisheries. There are also plans to generate more income through the development of seaweed farming.
The per capita GDP of Kiribati is below U.S. $700, which is one of the lowest in the world economic scenario. The poor economic condition of the country is aggravated by lack of skilled laborers, weak infrastructural facilities and remote geographical location of the country.
However, at present the financial sector of Kiribati is passing through a vital stage of development through the expansive programs taken up by the private sector. Till the time that the Kiribati Economy attains overall self-sufficiency, Foreign Financial Aids mainly from the UK and Japan provide great support to the economy as these aids contribute almost 25%-50% of National GDP in present years.
