The economy contracted by 4.3% in 2020 due to the COVID-19 pandemic and lower oil production, reversing 2019 growth of 2.5%. On the supply side, industry fell by 5.6% as mining declined by 7.4%. Construction fell by 8.7% in 2020, worse than the 2.8% decline in 2019. Manufacturing grew by 10.4%. Agriculture slowed to 1.9% growth after rising by 7.3% in 2019. Inflation inched up to 2.8% from 2.6% in 2019. On the demand side, private consumption and investment fell while net exports plunged due to lower hydrocarbon exports. Fiscal stimulus widened the budget deficit to 2.4% of GDP from 0.3% in 2019. With most banks well-capitalized and inflation within its target band, monetary policy remained accommodative. As domestic and external demand improves and consumer confidence returns, the economy is expected to grow by 1.9% in 2021 and 2.5% in 2022.
|Headline Inflation Rate 1||5.9 (Jul21)||4.7||2.7|
|Industrial/ Manufacturing Production Growth Rate 1||-0.6 (Jul21)||-0.8||0.2|
|Merchandise Export Growth 1||93.7 (Jun21)||93.7||59.7|
|Exchange Rate Index 2||184.3 (Aug21)||184.3||184.7|
|1 y-o-y, %.|
2 Monthly average, January 2006 = 100, $/local currency.
|Source: CEIC database.|
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