The basis of the economy of Burkina Faso is agriculture, primarily for subsistence consumption. Although economic assistance, chiefly from the European Union, has subsidized Burkina Faso since freedom, the nation remains one of the world’s poorest. The national budget for 1993 included $467 million in revenues and $471 million in expenditures.

Most of the population is engaged in subsistence agriculture or stock raising. Difficult economic conditions, made worse by severe intermittent droughts, have provoked considerable migration from rural to urban areas within Burkina Faso and to neighbouring countries such as Côte d'Ivoire and Ghana. As many as 1.5 million people, or almost one-third of the nation's labour force, are abroad at any given time.

One of the poorest countries in the world, landlocked Burkina Faso has a high population density, few natural resources, and a fragile soil. About 90% of the population is engaged in (mainly subsistence) agriculture which is highly vulnerable to variations in rainfall. Industry remains controlled by unprofitable government-controlled corporations. Following the African franc currency devaluation in January 1994 the government updated its development program in conjunction with international agencies, and exports and economic growth have increased. Maintenance of its macroeconomic progress in 2001-02 depends on continued low inflation, reduction in the trade deficit, and reforms designed to promote private investment.