Part 278

Political parties and leaders: NA

International organization participation: ICFTU

Diplomatic representation in the US: none (dependent territory of the UK)

Diplomatic representation from the US: none (dependent territory of the UK)

Flag description: blue with the flag of the UK in the upper hoist-side quadrant and the Falkland Island coat of arms in a white disk centered on the outer half of the flag; the coat of arms contains a white ram (sheep raising is the major economic activity) above the sailing ship Desire (whose crew discovered the islands) with a scroll at the bottom bearing the motto DESIRE THE RIGHT

Economy

Economy - overview: The economy was formerly based on agriculture, mainly sheep farming, which directly or indirectly employs most of the work force. Dairy farming supports domestic consumption; crops furnish winter fodder. Exports feature shipments of high-grade wool to the UK and the sale of postage stamps and coins. Rich stocks of fish in the surrounding waters are not presently exploited by the islanders. So far, efforts to establish a domestic fishing industry have been unsuccessful. The economy has diversified since 1987, when the government began selling fishing licenses to foreign trawlers operating within the Falklands exclusive fishing zone. These license fees total more than $40 million per year and support the island's health, education, and welfare system. To encourage tourism, the Falkland Islands Development Corporation has built three lodges for visitors attracted by the abundant wildlife and trout fishing. The islands are now self-financing except for defense. The British Geological Survey announced a 200-mile oil exploration zone around the islands in 1993, and early seismic surveys suggest substantial reserves capable of producing 500,000 barrels per day. An agreement between Argentina and the United Kingdom in 1995 seeks to defuse licensing and sovereignty conflicts that would dampen foreign interest in exploiting potential oil reserves.

GDP: purchasing power parity - $NA

GDP - real growth rate: NA%

GDP - per capita: purchasing power parity - $NA

GDP - composition by sector: agriculture: NA% industry: NA% services: NA%

Inflation rate - consumer price index: NA%

Labor force: total: 1,100 (est.) by occupation: agriculture 95% (mostly sheepherding)

Unemployment rate: NA%; labor shortage

Budget: revenues: $53.4 million expenditures: $53.1 million, including capital expenditures of $NA (1994-95 est.)

Industries: wool and fish processing

Industrial production growth rate: NA%

Electricity - capacity: NA kW

Electricity - production: NA kWh

Electricity - consumption per capita: NA kWh

Agriculture - products: fodder and vegetable crops; sheep farming, small dairy herds

Exports: total value: $7.6 million (1995) commodities: wool, hides, meat partners: UK, Netherlands, Japan (1992)

Imports: total value : $24.7 million (1995) commodities: food, clothing, timber, and machinery partners : UK, Netherlands Antilles (Curacao), Japan (1992)

Debt - external: $NA

Economic aid: recipient: ODA, $NA note: UK, ODA and OOF bilateral commitments totaled $18 million (1993-94)

Currency: 1 Falkland pound (£F) = 100 pence

Exchange rates: Falkland pound (£F) per US$1 - 0.6023 (January 1997), 0.6403 (1996), 0.6335 (1995), 0.6529 (1994), 0.6658 (1993), 0.5664 (1992); note - the Falkland pound is at par with the British pound

Fiscal year: 1 April - 31 March