th a large subsistence sector. Sugar exports, remittances from
Fijians working abroad, and a growing tourist industry - with
400,000 to 500,000 tourists annually - are the major sources of
foreign exchange. Fiji's sugar has special access to European Union
markets, but will be harmed by the EU's decision to cut sugar
subsidies. Sugar processing makes up one-third of industrial
activity but is not efficient. Fiji's tourism industry was damaged
by the December 2006 coup and is facing an uncertain recovery time.
The coup has created a difficult business climate. Tourist arrivals
for 2007 are estimated to be down almost 6%, with substantial job
losses in the service sector. In July 2007 the Reserve Bank of Fiji
announced the economy was expected to contract by 3.1% in 2007.
Fiji's current account deficit reached 23% of GDP in 2006. The EU
has suspended all aid until the interim government takes steps
toward new elections. Long-term problems include low investment,
uncertain land ownership rights, and the government's inability to
manage its budget. Overseas remittances from Fijians working in
Kuwait and Iraq have decreased significantly.

Finland
Finland has a highly industrialized, largely free-market
economy with per capita output roughly that of the UK, France,
Germany, and Italy. Its key economic sector is manufacturing -
principally the wood, metals, engineering, telecommunications, and
electronics industries. Trade is important; exports equal nearly
two-fifths of GDP. Finland excels in high-tech exports, e.g., mobile
phones. Except for timber and several minerals, Finland depends on
imports of raw materials, energy, and some components for
manufactured goods. Because of the climate, agricultural development
is limited to maintaining self-sufficiency in basic products.
Forestry, an important export earner, provides a secondary
occupation for the rural population. High unemployment remains a
persistent problem. In 2007 Russia announced plans to impose high
tariffs on raw timber exported to Finland. The Finnish pulp and
paper industry will be threatened if these duties are put into place
in 2008 and 2009, and the matter is now being handled by the
European Union.

France
France is in the midst of transition from a well-to-do modern
economy that has featured extensive government ownership and
intervention to one that relies more on market mechan