Экваториальная Гвинея

Equatorial Guinea Economic Profile

Equatorial Guinea is a small country located in west-central Africa, classified as an upper-middle-income country. With a limited population of approximately 1.3 million, it is endowed with abundant oil and natural gas resources, which have significantly influenced its economy.

Regarding the economic overview, the dominant sector in Equatorial Guinea's economy is oil and gas. Government revenues depend on oil exports for approximately 80-90%, and GDP growth is extremely dependent on resource prices. From the 2000s through the early 2010s, the country recorded high economic growth driven by an oil boom, but economic diversification has not progressed, with limited development in agriculture and manufacturing. Small-scale timber and fishing industries also exist.

Recent economic trends present a severe situation. Since the international oil price collapse in 2014, the economy has been in contraction, with continued weakness through 2020-2023. The 2022 GDP is estimated at around $10 billion. Government finances have been squeezed by declining oil revenues, limiting infrastructure investment, while domestic inflation rates remain elevated.

There are multiple notable points. First, as a typical example of the resource curse, the unequal distribution of oil wealth and corruption issues are severe. Second, economic diversification away from oil is urgent, but low educational levels and investment environment challenges present barriers. Third, while political stability has been relatively maintained, improving governance transparency remains an international concern. In the future, adapting to declining oil production and achieving sustainable economic structural transformation are important challenges.