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Cote dIvoire    Economy Back to Top

The economy of Côte d’Ivoire is primarily agricultural, with 60 % of the total labor force employed in farming and forestry. the government is attempting to diversify the economy to avoid dependence on a small number of export crops. Annual budget figures show around $2.4 billion in revenues and $2.6 billion in expenditures. Côte d'Ivoire has a good financial reputation, which it maintained in the 1980s when the government agreed to reschedule its debt over a time from 1993 to 2002, including sums that had benefited from earlier agreements. Ivoirian policy is fundamentally liberal, and investments are welcomed through tax exemptions and legal protection against nationalization. Increased privatization became government policy in the mid-1980s, mainly owing to the fact that the government had participated in too many specialized undertakings in trying to diversify the economy. Previous plans have been revised with the aim of securing self-sufficiency in food and obtaining equipment in exchange for exports rather than by borrowing. In the long run, success will depend on avoiding luxuries and expanding the local market.

Cote d'Ivoire is among the world's largest producers and exporters of coffee, cocoa beans, and palm oil. accordingly, the economy is highly sensitive to fluctuations in international prices for these products and to weather conditions. contempt government attempts to diversify the economy, it is still largely dependent on agriculture and related activities, which engage roughly 68% of the population. After several years of lagging performance, the Ivorian economy began a comeback in 1994, due to the 50% devaluation of the CFA franc and improved prices for cocoa and coffee, growth in nonorthodox primary exports such as pineapples and rubber, limited trade and banking liberalization, offshore oil and gas discoveries, and generous external financing and debt rescheduling by multilateral lenders and France. Moreover, government attachment to donor-mandated reforms led to a jump in growth to 6% annually in 1996-99. Growth was negative in 2000 because of the difficulty of meeting the conditions of international donors, continued low prices of key exports, and post-coup instability. In 2001-02, a moderate rebound in the cocoa market could boost growth back above 3%; political instability could impede growth again.




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