Chapter 56

Overview: The stable economy features moderate growth, low inflation, and negligible unemployment. Agriculture is based on small but highly productive family-owned farms. The industrial sector, until recently dominated by steel, has become increasingly more diversified, particularly toward high-technology firms. During the past decade, growth in the financial sector has more than compensated for the decline in steel. Services, especially banking, account for a growing proportion of the economy. Luxembourg participates in an economic union with Belgium on trade and most financial matters and is also closely connected economically to the Netherlands. National product: GDP - purchasing power equivalent - $8.5 billion (1992) National product real growth rate: 2.5% (1992) National product per capita: $21,700 (1992) Inflation rate (consumer prices): 3.6% (1992) Unemployment rate: 1.4% (1991) Budget: revenues $3.5 billion; expenditures $3.5 billion, including capital expenditures of $NA (1992) Exports: $6.4 billion (f.o.b., 1991 est.) commodities: finished steel products, chemicals, rubber products, glass, aluminum, other industrial products partners: EC 76%, US 5% Imports: $8.3 billion (c.i.f., 1991 est.) commodities: minerals, metals, foodstuffs, quality consumer goods partners: Belgium 37%, FRG 31%, France 12%, US 2% External debt: $131.6 million (1989 est.) Industrial production: growth rate -0.5% (1990); accounts for 25% of GDP Electricity: 1,238,750 kW capacity; 1,375 million kWh produced, 3,450 kWh per capita (1990) Industries: banking, iron and steel, food processing, chemicals, metal products, engineering, tires, glass, aluminum Agriculture: accounts for less than 3% of GDP (including forestry); principal products - barley, oats, potatoes, wheat, fruits, wine grapes; cattle raising widespread Illicit drugs: money-laundering hub Economic aid: none Currency: 1 Luxembourg franc (LuxF) = 100 centimes

*Luxembourg, Economy

Exchange rates: Luxembourg francs (LuxF) per US$1 - 33.256 (January 1993), 32.150 (1992), 34.148 (1991), 33.418 (1990), 39.404 (1989), 36.768 (1988); note - the Luxembourg franc is at par with the Belgian franc, which circulates freely in Luxembourg Fiscal year: calendar year

*Luxembourg, Communications

Railroads: Luxembourg National Railways (CFL) operates 272 km 1.435-meter standard gauge; 178 km double track; 178 km electrified Highways: 5,108 km total; 4,995 km paved, 57 km gravel, 56 km earth; about 80 km limited access divided highway Inland waterways: 37 km; Moselle River Pipelines: petroleum products 48 km Ports: Mertert (river port) Merchant marine: 53 ships (1,000 GRT or over) totaling 1,570,466 GRT/2,614,154 DWT; includes 2 cargo, 5 container, 5 roll-on/roll-off, 6 oil tanker, 4 chemical tanker, 3 combination ore/oil, 8 liquefied gas, 2 passenger, 8 bulk, 6 combination bulk, 4 refrigerated cargo Airports: total: 2 usable: 2 with permanent-surface runways: 1 with runways over 3,659 m: 1 with runways 2,440-3,659 m: 0 with runways 1,220-2,439 m: 1 Telecommunications: highly developed, completely automated and efficient system, mainly buried cables; 230,000 telephones; broadcast stations - 2 AM, 3 FM, 3 TV; 3 channels leased on TAT-6 coaxial submarine cable; 1 direct-broadcast satellite earth station; nationwide mobile phone system

*Luxembourg, Defense Forces

Branches: Army, National Gendarmerie Manpower availability: males age 15-49 103,607; fit for military service 86,003; reach military age (19) annually 2,227 (1993 est.) Defense expenditures: exchange rate conversion - $100 million, 1.2% of GDP (1992)

*Macau, Header

Affiliation: (overseas territory of Portugal)

*Macau, Geography

Location: East Asia, 27 km west-southwest of Hong Kong on the southeast coast of China bordering the South China Sea Map references: Asia, Oceania, Southeast Asia, Standard Time Zones of the World Area: total area: 16 km2 land area: 16 km2 comparative area: about 0.1 times the size of Washington, DC Land boundaries: total 0.34 km, China 0.34 km Coastline: 40 km Maritime claims: not specified International disputes: none Climate: subtropical; marine with cool winters, warm summers Terrain: generally flat Natural resources: negligible Land use: arable land: 0% permanent crops: 0% meadows and pastures: 0% forest and woodland: 0% other: 100% Irrigated land: NA km2 Environment: essentially urban; one causeway and one bridge connect the two islands to the peninsula on mainland

*Macau, People

Population: 477,850 (July 1993 est.) Population growth rate: 1.44% (1993 est.) Birth rate: 14.99 births/1,000 population (1993 est.) Death rate: 4.05 deaths/1,000 population (1993 est.) Net migration rate: 3.45 migrant(s)/1,000 population (1993 est.) Infant mortality rate: 5.5 deaths/1,000 live births (1993 est.) Life expectancy at birth: total population: 79.64 years male: 77.24 years female: 82.17 years (1993 est.) Total fertility rate: 1.44 children born/woman (1993 est.) Nationality: noun: Macanese (singular and plural) adjective: Macau Ethnic divisions: Chinese 95%, Portuguese 3%, other 2% Religions: Buddhist 45%, Roman Catholic 7%, Protestant 1%, none 45.8%, other 1.2% (1981) Languages: Portuguese (official), Cantonese is the language of commerce Literacy: age 15 and over can read and write (1981) total population: 90% male: 93% female: 86% Labor force: 180,000 (1986) by occupation: NA

*Macau, Government

Names: conventional long form: none conventional short form: Macau local long form: none local short form: Ilha de Macau Digraph: MC Type: overseas territory of Portugal scheduled to revert to China in 1999 Capital: Macau Administrative divisions: 2 districts (concelhos, singular - concelho); Ilhas, Macau Independence: none (territory of Portugal; Portugal signed an agreement with China on 13 April 1987 to return Macau to China on 20 December 1999; in the joint declaration, China promises to respect Macau's existing social and economic systems and lifestyle for 50 year after transition) Constitution: 17 February 1976, Organic Law of Macau; basic law drafted primarily by Beijing awaiting final approval Legal system: Portuguese civil law system National holiday: Day of Portugal, 10 June Political parties and leaders: Association to Defend the Interests of Macau; Macau Democratic Center; Group to Study the Development of Macau; Macau Independent Group Other political or pressure groups: wealthy Macanese and Chinese representing local interests, wealthy pro-Communist merchants representing China's interests; in January 1967 the Macau Government acceded to Chinese demands that gave China veto power over administration Suffrage: 18 years of age; universal Elections: Legislative Assembly: last held on 10 March 1991; results - percent of vote by party NA; seats - (23 total; 8 elected by universal suffrage, 8 by indirect suffrage, and 7 appointed by the governor) number of seats by party NA Executive branch: president of Portugal, governor, Consultative Council (cabinet) Legislative branch: unicameral Legislative Assembly Judicial branch: Supreme Court Leaders: Chief of State: President (of Portugal) Mario Alberto SOARES (since 9 March 1986) Head of Government: Governor Gen. Vasco Joachim Rocha VIEIRA (since 20 March 1991) Member of: ESCAP (associate), GATT, IMO (associate), WTO (associate)

*Macau, Government

Diplomatic representation in US: as Chinese territory under Portuguese administration, Macanese interests in the US are represented by Portugal US diplomatic representation: the US has no offices in Macau, and US interests are monitored by the US Consulate General in Hong Kong Flag: the flag of Portugal is used

*Macau, Economy

Overview: The economy is based largely on tourism (including gambling) and textile and fireworks manufacturing. Efforts to diversify have spawned other small industries - toys, artificial flowers, and electronics. The tourist sector has accounted for roughly 25% of GDP, and the clothing industry has provided about two-thirds of export earnings; the gambling industry represented well over 40% of GDP in 1992. Macau depends on China for most of its food, fresh water, and energy imports. Japan and Hong Kong are the main suppliers of raw materials and capital goods. National product: GDP - exchange rate conversion - $3.1 billion (1991) National product real growth rate: 3.1% (1991) National product per capita: $6,700 (1991) Inflation rate (consumer prices): 8.2% (1991 est.) Unemployment rate: 2% (1991 est.) Budget: revenues $305 million; expenditures $298 million, including capital expenditures of $NA (1989) Exports: $1.8 billion (1992 est.) commodities: textiles, clothing, toys partners: US 36%, Hong Kong 13%, Germany 12%, France 8% (1991) Imports: $2.0 billion (1992 est.) commodities: raw materials, foodstuffs, capital goods partners: Hong Kong 35%, China 22%, Japan 17% (1991) External debt: $91 million (1985) Industrial production: NA Electricity: 258,000 kW capacity; 855 million kWh produced, 1,806 kWh per capita (1992) Industries: clothing, textiles, toys, plastic products, furniture, tourism Agriculture: rice, vegetables; food shortages - rice, vegetables, meat; depends mostly on imports for food requirements Economic aid: none Currency: 1 pataca (P) = 100 avos Exchange rates: patacas (P) per US$1 - 8.034 (1991), 8.024 (1990), 8.030 (1989), 8.044 (1988), 7.993 (1987); note - linked to the Hong Kong dollar at the rate of 1.03 patacas per Hong Kong dollar Fiscal year: calendar year

*Macau, Communications

Highways: 42 km paved Ports: Macau Airports: none useable, 1 under construction; 1 seaplane station Telecommunications: fairly modern communication facilities maintained for domestic and international services; 52,000 telephones; broadcast stations - 4 AM, 3 FM, no TV (TV programs received from Hong Kong); 115,000 radio receivers (est.); international high-frequency radio communication facility; access to international communications carriers provided via Hong Kong and China; 1 Indian Ocean INTELSAT earth station

*Macau, Defense Forces

Manpower availability: males age 15-49 137,738; fit for military service 77,159 (1993 est.) Note: defense is responsibility of Portugal

*Macedonia, Header

Macedonia has proclaimed independent statehood but has not been formally recognized as a state by the United States.

*Macedonia, Geography

Location: Southern Europe, between Serbia and Montenegro and Greece Map references: Ethnic Groups in Eastern Europe, Europe, Standard Time Zones of the World Area: total area: 25,333 km2 land area: 24,856 km2 comparative area: slightly larger than Vermont Land boundaries: total 748 km, Albania 151 km, Bulgaria 148 km, Greece 228 km, Serbia and Montenegro 221 km (all with Serbia) Coastline: 0 km (landlocked) Maritime claims: none; landlocked International disputes: Greece claims republic's name implies territorial claims against Aegean Macedonia Climate: hot, dry summers and autumns and relatively cold winters with heavy snowfall Terrain: mountainous territory covered with deep basins and valleys; there are three large lakes, each divided by a frontier line Natural resources: chromium, lead, zinc, manganese, tungsten, nickel, low-grade iron ore, asbestos, sulphur, timber Land use: arable land: 5% permanent crops: 5% meadows and pastures: 20% forest and woodland: 30% other: 40% Irrigated land: NA km2 Environment: Macedonia suffers from high seismic hazard; air pollution from metallurgical plants Note: landlocked; major transportation corridor from Western and Central Europe to Aegean Sea and Southern Europe to Western Europe

*Macedonia, People

Population: 2,193,951 (July 1993 est.) Population growth rate: 0.91% (1993 est.) Birth rate: 15.91 births/1,000 population (1993 est.) Death rate: 6.79 deaths/1,000 population (1993 est.) Net migration rate: 0 migrant(s)/1,000 population (1993 est.) Infant mortality rate: 29.7 deaths/1,000 live births (1993 est.) Life expectancy at birth: total population: 73.19 years male: 71.15 years female: 75.41 years (1993 est.) Total fertility rate: 2 children born/woman (1993 est.) Nationality: noun: Macedonian(s) adjective: Macedonian Ethnic divisions: Macedonian 67%, Albanian 21%, Turkish 4%, Serb 2%, other 6% Religions: Eastern Orthodox 59%, Muslim 26%, Catholic 4%, Protestant 1%, other 10% Languages: Macedonian 70%, Albanian 21%, Turkish 3%, Serbo-Croatian 3%, other 3% Literacy: total population: NA% male: NA% female: NA% Labor force: 507,324 by occupation: agriculture 8%, manufacturing and mining 40% (1990)

*Macedonia, Government

Names: conventional long form: Republic of Macedonia conventional short form: Macedonia local long form: Republika Makedonija local short form: Makedonija Digraph: MK Type: emerging democracy Capital: Skopje Administrative divisions: 34 districts (opcine, singular - opcina) Berovo, Bitola, Brod, Debar, Delcevo, Demir Hisar, Gevgelija, Gostivar, Kavadarci, Kicevo, Kocani, Kratovo, Kriva Palanka, Krusevo, Kumanovo, Negotino, Ohrid, Prilep, Probistip, Radovis, Resen, Skopje-Centar, Skopje-Cair, Skopje-Karpos, Skopje-Kisela Voda, Skopje-Gazi Baba, Stip, Struga, Strumica, Sveti Nikole, Tetovo, Titov Veles, Valandovo, Vinica Independence: 20 November 1991 (from Yugoslavia) Constitution: adopted 17 November 1991, effective 20 November 1991 Legal system: based on civil law system; judicial review of legislative acts National holiday: NA Political parties and leaders: Social-Democratic League of Macedonia (SDSM; former Communist Party), Branko CRVENKOVSKI, president; Party for Democratic Prosperity in Macedonia (PDPM), Nevzat HALILI, president; National Democratic Party (PDP), Ilijas HALINI, president; Alliance of Reform Forces of Macedonia (SRSM), Stojan ANDOV, president; Socialist Party of Macedonia (SPM), Kiro POPOVSKI, president; Internal Macedonian Revolutionary Organization - Democratic Party for Macedonian National Unity (VMRO-DPMNE), Ljupco GEORGIEVSKI, president; Party of Yugoslavs in Macedonia (SJM), Milan DURCINOV, president Other political or pressure groups: Movement for All Macedonian Action (MAAK); League for Democracy; Albanian Democratic Union-Liberal Party Suffrage: 18 years of age; universal Elections: President: last held 27 January 1991 (next to be held NA); results - Kiro GLIGOROV was elected by the Assembly Assembly: last held 11 and 25 November and 9 December 1990 (next to be held NA); results - percent of vote by party NA; seats - (120 total) VMRO-DPMNE 37, SDSM 31, PDPM 25, SRSM 17, SJM 1, SPM 5, others 4 Executive branch: president, Council of Ministers, prime minister Legislative branch: unicameral Assembly (Sobranje) Judicial branch: Constitutional Court, Judicial Court of the Republic

*Macedonia, Government

Leaders: Chief of State: President Kiro GLIGOROV (since 27 January 1991) Head of Government: Prime Minister Branko CRVENKOVSKI (since NA September 1992), Deputy Prime Ministers Jovan ANDONOV (since NA March 1991), Stevo CRVENKOVSKI (since NA September 1992), and Becir ZUTA (since NA March 1991) Member of: EBRD, ICAO, IMF, UN, UNCTAD, WMO Diplomatic representation in US: none; US does not recognize Macedonia US diplomatic representation: none; US does not recognize Macedonia Flag: 16-point gold sun (Vergino, Sun) centered on a red field

*Macedonia, Economy

Overview: Macedonia, although the poorest among the six republics of a dissolved Yugoslav federation, can meet basic food and energy needs through its own agricultural and coal resources. It will, however, move down toward a bare subsistence level of life unless economic ties are reforged or enlarged with its neighbors Serbia and Montenegro, Albania, Greece, and Bulgaria. The economy depends on outside sources for all of its oil and gas and its modern machinery and parts. Continued political turmoil, both internally and in the region as a whole, prevents any swift readjustments of trade patterns and economic programs. Inflation in early 1992 was out of control, the result of fracturing trade links, the decline in economic activity, and general uncertainties about the future status of the country; prices rose 38% in March 1992 alone. In August 1992, Greece, angry at the use of "Macedonia" as the republic's name, imposed a partial blockade for several months. This blockade, combined with the effects of the UN sanctions on Serbia and Montenegro, cost the economy approximately $1 billion in 1992 according to official figures. Macedonia's geographical isolation, technological backwardness, and potential political instability place it far down the list of countries of interest to Western investors. Resolution of the dispute with Greece and an internal commitment to economic reform would help to encourage foreign investment over the long run. In the immediate future, the worst scenario for the economy would be the spread of fighting across its borders. National product: GDP - purchasing power equivalent - $7.1 billion (1991 est.) National product real growth rate: -18% (1991 est.) National product per capita: $3,110 (1991 est.) Inflation rate (consumer prices): 114.9% (1991 est.) Unemployment rate: 20% (1991 est.) Budget: revenues $NA; expenditures $NA, including capital expenditures of $NA Exports: $578 million (1990) commodities: manufactured goods 40%, machinery and transport equipment 14%, miscellaneous manufactured articles 23%, raw materials 7.6%, food (rice) and live animals 5.7%, beverages and tobacco 4.5%, chemicals 4.7% partners: principally Serbia and Montenegro and the other former Yugoslav republics, Germany, Greece, Albania Imports: $1,112 million (1990) commodities: fuels and lubricants 19%, manufactured goods 18%, machinery and transport equipment 15%, food and live animals 14%, chemicals 11.4%, raw materials 10%, miscellaneous manufactured articles 8.0%, beverages and tobacco 3.5% partners: other former Yugoslav republics, Greece, Albania, Germany, Bulgaria External debt: $845.8 million Industrial production: growth rate -18% (1991 est.) Electricity: 1,600,000 kw capacity; 6,300 million kWh produced, 2,900 kWh per capita (1992)

*Macedonia, Economy

Industries: low levels of technology predominate, such as, oil refining by distillation only; produces basic liquid fuels, coal, metallic chromium, lead, zinc, and ferronickel; light industry produces basic textiles, wood products, and tobacco Agriculture: provides 12% of GDP and meets the basic need for food; principal crops are rice, tobacco, wheat, corn, and millet; also grown are cotton, sesame, mulberry leaves, citrus fruit, and vegetables; Macedonia is one of the seven legal cultivators of the opium poppy for the world pharmaceutical industry, including some exports to the US; agricultural production is highly labor intensive Illicit drugs: NA Economic aid: $10 million from the US for humanitarian and technical assistance; EC promised a 100 ECU million economic aid package Currency: 1 denar (abbreviation NA) = 100 NA Exchange rates: denar per US$1 - 240 (January 1991) Fiscal year: calendar year

*Macedonia, Communications

Railroads: NA Highways: 10,591 km total (1991); 5,091 km paved, 1,404 km gravel, 4,096 km earth Inland waterways: NA km Pipelines: none Ports: none; landlocked Airports: total: 17 useable: 17 with permanent-surface runways: 9 with runways over 3,659 m: 0 with runways 2,440-3,659 m: 2 with runways 1,220-2,439 m: 2 Telecommunications: 125,000 telephones; broadcast stations - 6 AM, 2 FM, 5 (2 relays) TV; 370,000 radios, 325,000 TV; satellite communications ground stations - none

*Macedonia, Defense Forces

Branches: Army, Navy, Air and Air Defense Force, Police Force Manpower availability: males age 15-49 597,024; fit for military service 484,701; reach military age (19) annually 18,979 (1993 est.) Defense expenditures: 7 billion denars, NA% of GNP (1993 est.); note - conversion of the military budget into US dollars using the current exchange rate could produce misleading results

*Madagascar, Geography

Location: in the western Indian Ocean, 430 km east of Mozambique in Southern Africa Map references: Africa, Standard Time Zones of the World Area: total area: 587,040 km2 land area: 581,540 km2 comparative area: slightly less than twice the size of Arizona Land boundaries: 0 km Coastline: 4,828 km Maritime claims: exclusive economic zone: 200 nm territorial sea: 12 nm International disputes: claims Bassas da India, Europa Island, Glorioso Islands, Juan de Nova Island, and Tromelin Island (all administered by France) Climate: tropical along coast, temperate inland, arid in south Terrain: narrow coastal plain, high plateau and mountains in center Natural resources: graphite, chromite, coal, bauxite, salt, quartz, tar sands, semiprecious stones, mica, fish Land use: arable land: 4% permanent crops: 1% meadows and pastures: 58% forest and woodland: 26% other: 11% Irrigated land: 9,000 km2 (1989 est.) Environment: subject to periodic cyclones; deforestation; overgrazing; soil erosion; desertification Note: world's fourth-largest island; strategic location along Mozambique Channel

*Madagascar, People

Population: 13,005,989 (July 1993 est.) Population growth rate: 3.2% (1993 est.) Birth rate: 45.66 births/1,000 population (1993 est.) Death rate: 13.71 deaths/1,000 population (1993 est.) Net migration rate: 0 migrant(s)/1,000 population (1993 est.) Infant mortality rate: 91 deaths/1,000 live births (1993 est.) Life expectancy at birth: total population: 53.52 years male: 51.65 years female: 55.45 years (1993 est.) Total fertility rate: 6.75 children born/woman (1993 est.) Nationality: noun: Malagasy (singular and plural) adjective: Malagasy Ethnic divisions: Malayo-Indonesian (Merina and related Betsileo), Cotiers (mixed African, Malayo-Indonesian, and Arab ancestry - Betsimisaraka, Tsimihety, Antaisaka, Sakalava), French, Indian, Creole, Comoran Religions: indigenous beliefs 52%, Christian 41%, Muslim 7% Languages: French (official), Malagasy (official) Literacy: age 15 and over can read and write (1990) total population: 80% male: 88% female: 73% Labor force: 4.9 million 90% nonsalaried family workers engaged in subsistence agriculture; 175,000 wage earners by occupation: agriculture 26%, domestic service 17%, industry 15%, commerce 14%, construction 11%, services 9%, transportation 6%, other 2% note: 51% of population of working age (1985)

*Madagascar, Government