Part 535

Country name: conventional long form: Republic of the Marshall Islands conventional short form : Marshall Islands former: Marshall Islands District (Trust Territory of the Pacific Islands)

Data code: RM

Government type: constitutional government in free association with the US; the Compact of Free Association entered into force 21 October 1986

National capital: Majuro

Administrative divisions: none

Independence: 21 October 1986 (from the US-administered UN trusteeship)

National holiday: Proclamation of the Republic of the Marshall Islands, 1 May (1979)

Constitution: 1 May 1979

Legal system: based on adapted Trust Territory laws, acts of the legislature, municipal, common, and customary laws

Suffrage: 18 years of age; universal

Executive branch: chief of state: President Imata KABUA (since 14 January 1997); note - the president is both the chief of state and head of government head of government: President Imata KABUA (since 14 January 1997); note - the president is both the chief of state and head of government cabinet: Cabinet selected by the president from among the members of Parliament elections: president elected by Parliament from among its own members for a four-year term; election last held 14 January 1997 (next to be held NA January 2000); note - Imata KABUA elected to succeed and complete the term of the late President Amata KABUA election results : Imata KABUA elected president; percent of Parliament vote - 63%

Legislative branch: unicameral Parliament or Nitijela (33 seats; members elected by popular vote to serve four-year terms) elections : last held 14 January 1997 (next to be held NA 2000; note - new elections will be held upon the completion of the term of the late President Amata KABUA) election results: percent of vote by party - NA; seats by party - NA note : the Council of Chiefs is a 12-member body that advises on matters affecting customary law and practice

Judicial branch: Supreme Court; High Court

Political parties and leaders: traditionally there have been no formally organized political parties; what has existed more closely resembles factions or interest groups because they do not have party headquarters, formal platforms, or party structures; the following two "groupings" have competed in legislative balloting in recent years - Our Islands Party, leader NA, and Ralik/Ratak Democratic Party (RRDP), Ramsey REIMERS

International organization participation: AsDB, ESCAP, G-77, IAEA, IBRD, ICAO, IDA, IFC, IMF, Intelsat (nonsignatory user), Interpol, ITU, Sparteca, SPC, SPF, UN, UNCTAD, UNESCO, WHO

Diplomatic representation in the US: chief of mission : Ambassador Banny DE BRUM chancery: 2433 Massachusetts Avenue NW, Washington, DC 20008 telephone: (202) 234-5414 FAX: (202) 232-3236 consulate(s) general : Honolulu

Diplomatic representation from the US: chief of mission: Ambassador Joan M. PLAISTED embassy: Oceanside, Long Island, Majuro mailing address: P. O. Box 1379, Majuro, Republic of the Marshall Islands 96960-1379; Majuro, 20521-4380 (pouch) telephone : 247-4011 FAX: 247-4012

Flag description: blue with two stripes radiating from the lower hoist-side corner - orange (top) and white; there is a white star with four large rays and 20 small rays on the hoist side above the two stripes

Economy

Economy - overview: Agriculture and tourism are the mainstays of the economy. Agricultural production is concentrated on small farms, and the most important commercial crops are coconuts, tomatoes, melons, and breadfruit. Small-scale industry is limited to handicrafts, fish processing, and copra. The tourist industry is the primary source of foreign exchange, employs about 10% of the labor force, and remains the best hope for future added income. The islands have few natural resources, and imports far exceed exports. The government is drafting economic reforms designed to increase revenue and compensate for reductions in US Government grants - in 1994, the US Government provided grants of $50 million, equal to 55% of the Marshall Islands' GDP. About 25% of the government's FY95/96 budget was devoted to debt repayment. In 1996, efforts to stabilize the economy included a 27% reduction in the government's work force and a 10% cut in the budget.

GDP: purchasing power parity - $94 million (1995 est.)

GDP - real growth rate: 1.5% (1995 est.)

GDP - per capita: purchasing power parity - $1,680 (1995 est.)

GDP - composition by sector: agriculture: 16% industry: 14% services : 70% (1994)

Inflation rate - consumer price index: 4% (1995 est.)

Labor force: total : 4,800 (1986) by occupation: NA

Unemployment rate: 16% (1991 est.)

Budget: revenues : $67.2 million expenditures: $79.6 million, including capital expenditures of $21.6 million (FY94/95 est.)