representation from the US: none (self-governing overseas
administrative division of Denmark)

Flag description: white with a red cross outlined in blue extending to
the edges of the flag; the vertical part of the cross is shifted toward
the hoist side in the style of the Dannebrog (Danish flag)

Economy Faroe Islands

Economy - overview: The Faroese economy has had a strong performance
since 1994, mostly as a result of increasing fish landings and high and
stable export prices. Unemployment is falling and there are signs of
labor shortages in several sectors. The positive economic development
has helped the Faroese Home Rule Government produce increasing budget
surpluses which in turn help to reduce the large public debt, most of
it owed to Denmark. However, the total dependence on fishing makes the
Faroese economy extremely vulnerable, and the present fishing efforts
appear in excess of what is a sustainable level of fishing in the long
term. Oil finds close to the Faroese area give hope for deposits in the
immediate Faroese area, which may eventually lay the basis for a more
diversified economy and thus lessen dependence on Denmark and Danish
economic assistance. Aided by a substantial annual subsidy (15% of GDP)
from Denmark, the Faroese have a standard of living not far below the
Danes and other Scandinavians.

GDP: purchasing power parity - $910 million (2000 est.)

GDP - real growth rate: 5% (2000 est.)

GDP - per capita: purchasing power parity - $20,000 (2000 est.)

GDP - composition by sector: agriculture: 27% industry: 11% services:
62% (1999)

Population below poverty line: NA%

Household income or consumption by percentage share: lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices): 5.1% (1999)

Labor force: 24,250 (October 2000)

Labor force - by occupation: fishing, fish processing, and manufacturing
33%, construction and private services 33%, public services 34%

Unemployment rate: 1% (October 2000)

Budget: revenues: $488 million expenditures: $484 million, including
capital expenditures of $21 million (1999)

Industries: fishing, fish processing, shipbuilding, construction,
handicrafts

Industrial production growth rate: 8% (1999 est.)

Electricity - production: 165 million kWh (2000)

Electricity - production by source: fossil fuel: 60.61% hydro: 39.39%
other: 0% (2000) nuclear: 0%

Electricity - consumption: 153.45 million kWh (2000)

Electr