Belgium: Economy

The World Factbook 1993: Belgium Economy

Overview: This small private enterprise economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the populous Flemish area in the north, although the government is encouraging reinvestment in the southern region of Walloon. With few natural resources Belgium must import essential raw materials, making its economy closely dependent on the state of world markets. Over 70% of trade is with other EC countries. The economy grew at a strong 4% pace during the period 1988-90, but economic growth slowed to a 1% pace in 1991-92. The economy is expected to turn in another sluggish 1% performance in 1993. Belgium's public debt remains high at 120% of GDP and the government is trying to control its expenditures to bring the figure more into line with other industrialized countries.

National product: GDP - purchasing power equivalent - $177.9 billion (1992)

National product real growth rate: 0.8% (1992)

National product per capita: $17,800 (1992)

Inflation rate (consumer prices): 2.6% (1992 est.)

Unemployment rate: 9.8% (end 1992)

Budget: revenues $97.8 billion; expenditures $109.3 billion, including capital expenditures of $NA (1989)

Exports: $118 billion (f.o.b., 1991) Belgium-Luxembourg Economic Union commodities: iron and steel, transportation equipment, tractors, diamonds, petroleum products partners: EC 75.5%, US 3.7%, former Communist countries 1.4% (1991) Imports: $121 billion (c.i.f., 1991) Belgium-Luxembourg Economic Union commodities: fuels, grains, chemicals, foodstuffs partners: EC 73%, US 4.8%, oil-exporting less developed countries 4%, former Communist countries 1.8% (1991)

External debt: $31.3 billion (1992 est.)

Industrial production: growth rate 1.6% (1992 est.)

Electricity: 17,500,000 kW capacity; 68,000 million kWh produced, 6,790 kWh per capita (1992)

Industries: engineering and metal products, motor vehicle assembly, processed food and beverages, chemicals, basic metals, textiles, glass, petroleum, coal

Agriculture: accounts for 2.3% of GDP; emphasis on livestock production - beef, veal, pork, milk; major crops are sugar beets, fresh vegetables, fruits, grain, tobacco; net importer of farm products

Illicit drugs: source of precursor chemicals for South American cocaine processors; increasingly important gateway country for cocaine entering the European market

Economic aid: donor - ODA and OOF commitments (1970-89), $5.8 billion

Currency: 1 Belgian franc (BF)=100 centimes

Exchange rates: Belgian francs (BF) per US$1 - 33.256 (January 1993), 32.150 (1992), 34.148 (1991), 33.418 (1990), 39.404 (1989), 36.768 (1988)

Fiscal year: calendar year