or Kenneth N. PELTIER; Embassy at address NA, Moroni
(mailing address B. P. 1318, Moroni); telephone 73-22-03, 73-29-22

_#_Flag: green with a white crescent placed diagonally (closed side of
the crescent points to the upper hoist-side corner of the flag); there
are four white five-pointed stars placed in a line between the points of
the crescent; the crescent, stars, and color green are traditional
symbols of Islam; the four stars represent the four main islands of the
archipelago--Mwali, Njazidja, Nzwani, and Mayotte (which is a territorial
collectivity of France, but claimed by the Comoros)

_*_Economy
_#_Overview: One of the world's poorest countries, Comoros is made
up of several islands that have poor transportation links, a young and
rapidly increasing population, and few natural resources. The low
educational level of the labor force contributes to a low level of
economic activity, high unemployment, and a heavy dependence on foreign
grants and technical assistance. Agriculture, including fishing and
forestry, is the leading sector of the economy. It contributes about 40%
to GDP, employs 80% of the labor force, and provides most of the exports.
The country is not self-sufficient in food production, and rice, the main
staple, accounts for 90% of imports. During the period 1982-86 the
industrial sector grew at an annual average rate of 5.3%, but its
contribution to GDP was only 5% in 1988. Despite major investment in the
tourist industry, which accounts for about 25% of GDP, growth has
stagnated since 1983. A sluggish growth rate of 1.5% during 1985-90 has
led to large budget deficits, declining incomes, and balance-of-payments
difficulties.

_#_GDP: $245 million, per capita $530; real growth rate 1.5% (1990
est.)

_#_Inflation rate (consumer prices): 2.9% (1989)

_#_Unemployment rate: over 16% (1988 est.)

_#_Budget: revenues $88 million; expenditures $92 million,
including capital expenditures of $13 million (1990 est.)

_#_Exports: $16 million (f.o.b., 1990 est.);

commodities--vanilla, cloves, perfume oil, copra;

partners--US 53%, France 41%, Africa 4%, FRG 2% (1988)

_#_Imports: $41 million (f.o.b., 1990 est.);

commodities--rice and other foodstuffs, cement, petroleum products,
consumer goods;

partners--Europe 62% (France 22%, other 40%), Africa 5%, Pakistan,
China (1988)

_#_External debt: $242 million (December 1990)

_#_Industrial production: growth rate 3.4% (1988