Help


from Wikipedia
« »  
Asmara ’ s poor relations with neighboring countries have had a profoundly negative impact on the economy, one reason for the dire balance of payments situation.
Exports declined significantly during the border conflict with Ethiopia, a decline exacerbated by a subsequent break in trade relations with Sudan.
At the same time, imports — mostly of food aid, manufactures, and transportation equipment — continue to rise, and foreign reserves have declined to precarious levels.
According to the International Monetary Fund, in 2003 foreign reserves were just US $ 17. 2 million, sufficient to cover only two weeks of imports.
The balance of payments in 2000 was negative US $ 44. 7 million ; by 2003 it had improved to negative US $ 16. 4 million.
Remittances from Eritreans abroad and foreign aid form a significant portion of Eritrea ’ s income.
Of the two, remittances far exceed foreign aid and are estimated to have reached US $ 400 million per year in 1999, the last year for which figures are available.
In January 2005, the government halted all imports by businesses and the private sector because of the country ’ s shortfall in foreign currency.

1.899 seconds.