The major agricultural products are Coffee, sugar, and bananas. In 1996 Guatemala signed peace treaties which marked the end of a 36 year long civil war. This opened up the way for foreign investments in the country. Guatemala economy which had been severely affected by the war improved. Reforms and economic stabilization followed, leading to a development of the economy of Guatemala.
The Central American Free Trade Agreement (CAFTA) was followed by Guatemala in the year 2006. One of the features of Guatemala's economy is unequal distribution of income. Thus poverty is rampant in the country with 56% of the people being poor.
Guatemalan Economy is faced with a number of challenges. Government revenue is on the rise. The country is trying to get assistance from international financial organizations. Guatemala government has to improve governmental and private financial functions. Trade deficits and drug trafficking are harming Guatemalan economy and should be taken care of.
Payments from the large number of people who moved off to USA during the war and tourism lead to a large amount of foreign income. The GDP of the country is $61.38 billion. Rate of unemployment and inflation are 3.2% and 5.8% respectively. Agricultural products of the country are sugarcane, corn, bananas, coffee, beans, cardamom, cattle, sheep, pigs and chickens. major industries include sugar, textiles and clothing, furniture, chemicals, petroleum, metals, rubber and tourism.
Export commodities of Guatemala are coffee, sugar, petroleum, apparel, bananas etc. The export partners are US, El Salvador, South Korea and Panama. Products like fuels, machinery and transport equipment, construction materials etc are imported from US, Mexico, El Salvador, South Korea and Panama. For more information log on to
