Economy
Like the economies of many other African nations, the economy is largely based on subsistence agriculture, with 65% of the population involved in farming and herding. Drought has often created trouble in the farming areas.
The Real GDP (2009 est.): $4.4 billion, and the annual growth rate (2009 est.): 3.6%.
The Eritrean-Ethiopian War severely hurt Eritrea's economy. GDP growth in 1999 fell to less than 1%, and GDP decreased by 8.2% in 2000. In May 2000, the war resulted in some $600 million in property damage and loss, including losses of $225 million in livestock and 55,000 homes. The war also prevented the planting of crops in Eritrea's most productive region, causing food production to drop by 62%.
Even during the war, Eritrea developed its transportation infrastructure by asphalting new roads, improving its ports, and repairing war-damaged roads and bridges as a part of the Warsay Yika'alo Program. The most significant of these projects was the building of a coastal highway of more than 500 km connecting Massawa with Asseb as well as the rehabilitation of the Eritrean Railway. The rail line now runs between the Port of Massawa and the capital Asmara.
Read more about this topic: Eritrea
Famous quotes containing the word economy:
“It enhances our sense of the grand security and serenity of nature to observe the still undisturbed economy and content of the fishes of this century, their happiness a regular fruit of the summer.”
—Henry David Thoreau (1817–1862)
“The aim of the laborer should be, not to get his living, to get “a good job,” but to perform well a certain work; and, even in a pecuniary sense, it would be economy for a town to pay its laborers so well that they would not feel that they were working for low ends, as for a livelihood merely, but for scientific, or even moral ends. Do not hire a man who does your work for money, but him who does it for love of it.”
—Henry David Thoreau (1817–1862)