Micronesia, Federated States of

With travel and mobility restrictions stifling the economy, GDP shrank by 1.2% in fiscal year 2021 (FY2021, ended 30 September 2021). Despite the challenges in getting people vaccinated, $75 million in government stimulus packages helped reduce the economic contraction by an estimated 1.9 percentage points. As fuel prices increased and supply chains disrupted, inflation grew to 2.0% in FY2021. Lackluster tourism receipts shrank. The current account surplus fell to 0.5% of GDP as a result of the drop in tourism, while the fiscal surplus narrowed to 6.3% of GDP due to COVID-19 stimulus. In FY2022, GDP is forecast to bounce back, growing by 2.2%, assuming that travel restrictions ease by mid-year and the hospitality and transport sectors normalize.  

Source: Asian Development Outlook 2022.
Latest Month-Ago Year-Ago
Headline Inflation Rate 1 6.9 (Dec22)5.4
Merchandise Export Growth 1 29.5 (May23)29.5 193.2
Exchange Rate Index 2 100.0 (Aug23)100.0 100.0
1 y-o-y, %.
2 Monthly average, January 2006 = 100, $/local currency.
Source: .

Initiatives / FTAs