Economic Overview
One of the five poorest countries in the world, guinea-bissau depends mainly on farming and fishing. cashew crops have increased remarkably in recent years, and the country now ranks sixth in cashew production. guinea-bissau exports fish and seafood along with small amounts of peanuts, palm kernels, and timber. rice is the major crop and staple food. however, intermittent fighting between senegalese-backed government troops and a military junta destroyed much of the country's infrastructure and caused widespread damage to the economy in 1998; the civil war led to a 28% drop in gdp that year, with partial recovery in 1999-2002. before the war, trade reform and price liberalization were the most successful part of the country's structural adjustment program under imf sponsorship. the tightening of monetary policy and the development of the private sector had also begun to reinvigorate the economy. because of high costs, the development of petroleum, phosphate, and other mineral resources is not a near-term prospect. offshore oil prospecting is underway in several sectors but has not yet led to commercially viable crude deposits. the inequality of income distribution is one of the most extreme in the world. the government and international donors continue to work out plans to forward economic development from a lamentably low base. in december 2003, the world bank, imf, and undp were forced to step in to provide emergency budgetary support in the amount of $107 million for 2004, representing over 80% of the total national budget. government drift and indecision, however, resulted in continued low growth in 2002-06. higher raw material prices boosted growth to 3.7% in 2007.
Environmental Issues
Deforestation; soil erosion; overgrazing; overfishing
Government Type
Republic
Population
1,503,182 (july 2008 est.)
Location
Western africa, bordering the north atlantic ocean, between guinea and senegal
Area
Total: 36,120 sq km
land: 28,000 sq km
water: 8,120 sq km
Slightly less than three times the size of connecticut
Country Aliases
Conventional long form: republic of guinea-bissau
conventional short form: guinea-bissau
local long form: republica da guine-bissau
local short form: guine-bissau
former: portuguese guinea
Capital
Name: bissau
geographic coordinates: 11 51 n, 15 35 w
time difference: utc 0 (5 hours ahead of washington, dc during standard time)
Military Service
18 years of age for selective compulsory military service (2006)
International Disputes
In 2006, political instability within senegal's casamance region resulted in thousands of senegalese refugees, cross-border raids, and arms smuggling into guinea-bissau
Sources: Central Intelligence Agency (CIA)
