Seychelles
Type of Government: Republic
Independence: 1976 from the UK
Head of State: President James Alix Michel (since April 14, 2004)
2007/2008 UN Development Index ranking (out of 177 countries): 50
2007 TI Corruption Perception Index (out of 179): 57
Political Development: Socialist rule was brought to a close with a new constitution and free elections in 1993. President France-Albert Rene, who had served since 1977, was re-elected in 2001, but stepped down in 2004. Vice President James Michel took over the presidency and in July 2006 was elected to a new five-year term.
Adult HIV Rate: N/A
Life Expectancy: 72.34
GDP: $712 million
Inflation: -0.4%
Poverty: N/A
Petroleum: N/A
Leading Export Partner: UK (25.5%)
Economic Note: Since independence in 1976, per capita output in this Indian Ocean archipelago has expanded to roughly seven times the old near-subsistence level. Growth has been led by the tourist sector, which employs about 30% of the labor force and provides more than 70% of hard currency earnings, and by tuna fishing. In recent years, the government has encouraged foreign investment to upgrade hotels and other services. At the same time, the government has moved to reduce the dependence on tourism by promoting the development of farming, fishing, and small-scale manufacturing. Tight controls on exchange rates and the scarcity of foreign exchange have impaired short-term economic prospects. The black-market value of the Seychelles rupee is half the official exchange rate; without a devaluation of the currency, the tourist sector may remain sluggish as vacationers seek cheaper destinations such as Comoros, Mauritius, and Madagascar.
