Seychelles, with a population of 119,878, is ranked 174th in population size, just behind Grenada. Located in the Indian Ocean, it covers 460 square kilometers, ranking 173rd in total area, slightly smaller than Andorra.
Seychelles, a small island nation in the Indian Ocean, has a GDP of $1,588,438,144.37 in 2022, ranking 175th globally. It is closely behind Solomon Islands, with a GDP of $1,597,204,340.63. The GDP per capita in Seychelles is $13,250.46, placing it at the 66th position worldwide. It lags behind Costa Rica, with a GDP per capita of $13,365.36.
Despite its size, Seychelles has a stable economy driven by tourism, fishing, and offshore financial services, contributing to its relatively high GDP per capita. The country continues to focus on sustainable development and diversification to maintain its economic position in the global market.
What are the economic activities of Seychelles?
- Primary activities: 2.5% of GDP.
- Secondary activities: 13.8% of GDP.
- Tertiary activities: 83.7% of GDP.
Primary Sector of Seychelles
Seychelles’ primary sector, mainly agriculture, thrives due to its tropical climate and abundant natural resources. With 3.37% of the land dedicated to agriculture, the country produces a variety of products, including coconuts, vegetables, bananas, eggs, chicken, pork, fruits, tomatoes, tropical fruits, and cassava.
Despite contributing only 2.5% to the GDP, agriculture plays a crucial role in Seychelles’ economy, providing food security and employment. The diverse range of crops and animal products highlights the sector’s significance, showcasing the country’s self-sufficiency and agricultural potential.
The country’s geological diversity contributes to a rich array of natural resources. Fish from the abundant marine life, coconuts for copra production, and cinnamon trees for spice trade are vital to the economy, supporting industries like fishing, agriculture, and exports.
Secondary Sector of Seychelles
What is the secondary sector or what are secondary activities?
The secondary sector encompasses industries that transform raw materials from primary activities into finished products for consumption. In Seychelles, the main industrial products include beverages and construction materials. These products are manufactured for domestic consumption and export, contributing to the country’s economy and trade.
Manufactures in Seychelles’ total exports only account for 7.93% in 2023, indicating their relatively low significance in driving the country’s export economy.
Tertiary sector of Seychelles
What is the tertiary sector or what are tertiary activities?
The tertiary sector in Seychelles encompasses various services that enhance productivity and cater to needs. Key activities include restaurants, healthcare, education, banking, communication, media, tourism, transportation, telecommunications, and security services. These sectors contribute significantly to the country’s economy by providing essential services and promoting growth.
Among these, Seychelles’ economy heavily relies on tourism, with 428,000 annual arrivals, representing 3.57 tourists per capita. Pristine beaches like Anse Source d’Argent and the Vallée de Mai Nature Reserve, a UNESCO World Heritage Site, attract visitors, making tourism a crucial economic pillar for this island nation.
Another example of tertiary economic activity is the mobile cellular economic sector, which boasts around 205,000 subscriptions, facilitating communication and supporting the growth of technological activities across various industries.
Military Activities and Economic Sectors of Seychelles
The military is a good example of many economic activities working together. In the primary sector, resources are extracted for military use. The secondary sector includes the manufacturing of military equipment. The tertiary sector covers services provided by the military, while the quaternary sector focuses on military research and development. Finally, the quinary sector involves high-level military decision-making and strategy.
In Seychelles, the military expenditure for 2023 is 35.9 million US dollars, which is 1.38% of the country’s GDP. The active military force has 420 personnel, resulting in about 4.4 active military members for every 1,000 people in the country.
International Trade of Seychelles
Import Activities of Seychelles
The import activities of Seychelles are crucial, accounting for 121.61% of GDP, reflecting a high dependency on foreign goods.
Seychelles imports a variety of commodities including ships, refined petroleum, fish, plastic products, and cars. Its main import partners are the UAE (22%), Netherlands (14%), Cayman Islands (7%), France (6%), and China (6%).
Exports Activities of Seychelles
In Seychelles, exports totaled $1,770,419,069.40 in 2023, accounting for 111.46% of the GDP. This high percentage underscores the critical importance of export activities to the country’s economy.
Seychelles primarily exports fish, refined petroleum, ships, aircraft, and animal meal. Its top export partners include the UAE (18%), France (17%), UK (9%), Mauritius (9%), and Japan (8%), indicating a diverse export market.
Seychelles economy challenges in 2024
In 2024, Seychelles faces challenges balancing economic growth with environmental preservation. The country’s reliance on tourism and tuna exports is threatened by environmental fragility and rising sea levels. Efforts to mitigate ocean rise and combat corruption are ongoing, while the discovery of offshore oil presents both opportunities and risks for the future.
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