CFI - invest in Haiti
Haiti is open for Business
CENTER FOR FACILITATION OF INVESTMENTS - CFI-HAITI
Economy

Overview

Haiti is a market-oriented economy where private individuals and business firms make most of the decisions. Haiti's economy is still recovering from the massive earthquake in January 2010. Haitian officials have indicated their commitment to economic reform through the implementation of sound fiscal and monetary policies. Haiti has a Gross Domestic Product of US 11.73 billion with an average growth 6.1%, and an inflation rate of 9.3%

Haiti's international trade amounted to 3.36 billion or 28.6% in relation to its overall GDP. It has remained relatively stagnant over the last 5 years, haunted by a continuous trade deficit, due to importation of basic food and raw materials imports. Haiti's balance of current account stood at -2249.42 million in 2010, as compared to -2583.12 million in 2009.

The United States is Haiti's main trading partner with 70% in import and 34% in exports. The Dominican Republic also plays an important economic role, importing 23% and exporting 9%. Other trading partners include Canada, Netherlands Antilles and China.

The major items exported by Haiti include apparel, oil, cocoa, coffee and mangoes. Nearly 70% of these exports are destined to the United States due to its economic engagement under the Haitian Hemispheric Opportunity through Partnership Encouragement (HOPE) Act. This provided tariff free access to the US market for certain types of Haitian made apparel and other articles. The HOPE act has been extended to 2020 by the Help Act.

Key sectors

Haiti has undergone major reforms and is pursuing a strategy to facilitate business registration, regulations and customs procedure to be on par and competitive with the rest of Latin America.

Private, domestic and foreign investment has been slow to return to Haiti. Since the return of constitutional rule, assembly sector employment has gradually recovered and now employs 20,000 Haitians. Haiti's services sector constituted 59 percent of the country's gross domestic product in 2010 and employed 25 percent of the labor force.

Haiti's Central Bank, Banque de la République d'Haïti, oversees ten (10) commercial banks and two foreign banks operating in the country. Although this sector has been slow to develop, due to the present reform and economic urgency to accelerate growth, it is beginning to play a greater role in the economy.

Tourism played an important role in the past and is in the forefront of the present economic revival. It has drawn an average of 500,000 visitors annually in the past five years. The Caribbean Tourism Organization (CTO) has joined the Haitian government in an effort to restore the island's image as a tourist destination. Marriott just launched a $45 million project to build a 173 room hotel in Port-au-Prince. Best Western is building a hotel in Petion-Ville.

The leading industries in Haiti produce beverages, butter, cement, detergent, edible oils, flour, refined sugar, soap, and textiles. In 2010 industry accounted for about 16 percent of the gross domestic product (GDP), and less than 12 percent of the labor force worked in industrial production. Private home building and construction appear to be one subsector with positive prospects for growth.

For further economic, financial information and statistics please visit Central Bank website , Ministry of Economy and Finance website and National Institute of Statistics and InformationTechnology. 

 

General Indicators

  2010 2011

Real GDP growth

-5.10%

5.60%

Inflation

4.10% 6.40%

GDP/Capita (PPP)

1200$ (est)  

Contributions by sector

Fiscal Year 2010/2011 % of total

Agriculture and fisheries

23.76

Commerce, hotels and Restaurants

26.9

Government services

11.27

Manufacturing

7.67

Others

30.40
Total 100

Trade in goods (US$ m)

Main Exports (FOB) 2009/2010 Main Imports (FOB) 2009/2010
Assembly industry products 186.9 Manufactured goods 576.1
Essential oils 11.1 Food 540.6
Cocoa 6.5 Oil and Derivatives 531.5
Mangoes 3.4 Other manufactured goods 397.4
Coffe  2.9 Machinery and transport material

264.4

Destinations of exports % of total Main origins of imports % of total
US 69 US 43.8
Dominican Republic  10.2 China  5.4
Canada 3 Brazil 4.1
Mexico 2.8 Colombia 2.9

(Sources: IMF, CIA Factbook, Banque de la Republique d'Haiti, Global Trade Atlas)