Niger has a developing economy considered low-income. It was $22.97 billion US dollars in 2025, according to official data from the IMF. The economy is based largely on internal markets, subsistence agriculture, and the export of raw commodities: foodstuffs to neighboring countries and uranium and other raw materials to global markets. Niger, a landlocked West African nation that straddles the Sahel, has consistently ranked among the lowest on the Human Development Index (HDI), with a value of 0.394 in 2019. It has a very low per capita income, and ranks among the least developed and most heavily indebted countries in the world, despite having large raw commodities and a relatively stable government and society not currently affected by civil war or terrorism. Economic activity centers on subsistence agriculture, animal husbandry, re-export trade, and export of uranium.

The 50% devaluation of the West African CFA franc in January 1994 boosted exports of livestock, cowpeas, onions, and the products of Niger's small cotton industry. Exports of cattle to neighboring Nigeria, as well as groundnuts and oil remain the primary non-mineral exports. The government relies on bilateral and multilateral aid – which was suspended briefly following coups in 1996 and 1999 – for operating expenses and public investment. Short-term prospects depend on continued World Bank and IMF debt relief and extended aid. The post-1999 government has broadly adhered to privatization and market deregulation plans instituted by these funders. Niger is a least developed country according to the United Nations.

Overall

Niger's economy is based largely on subsistence crops, livestock, and some of the world's largest uranium deposits. Drought cycles, desertification, a 3.4% population growth rate and the drop in world demand for uranium have undercut an already marginal economy. Traditional subsistence farming, herding, small trading, and informal markets dominate an economy that generates few formal sector jobs. Between 1988 and 1995 28% to 30% of the total economy of Niger was in the unregulated informal sector, including small and even large scale rural and urban production, transport and services.C. Maldonado & J. Gasarian. SECTEUR INFORMEL: FONCTIONS MACRO-ECONOMIQUES ET POLITIQUES GOUVERNEMENTALES: LE CAS DU NIGER . Document de recherche S-INF-1-20. Département du développement des entreprises et des coopératives, Organisation internationale du Travail – OIT (1998).

History The GDP per capitaearthtrends.wri.org of Niger grew 10% in the 1960s. However, this proved unsustainable and it consequently shrank by 27% in the 1980s and a further 48% in the 1990s. Much of this GDP is explained through the exploitation of uranium at Arlit in the far north of the country. Ore is partially processed on site by foreign mining corporations and transported by truck to Benin. Fluctuation of GDP can be mapped to changes in international uranium prices, as well as price negotiations with the main mining company, France's Orano Cycle. Price rises in the mid-1970s were followed by a collapse in the market price through much of the 1980s and 1990s. Thus the country's GDP per capita has little direct impact on the average Nigerien, although uranium funds much government operation. The 2006 Human Development Index ranked Niger sixth from worst in the world, with a HDI of 0.370: 174 of 179 nations.Human Development Report 2007/2008 . United Nations Development Program.

The economic competitiveness created by the January 1994 devaluation of the Communauté Financière Africaine (CFA) franc contributed to an annual average economic growth of 3.5% throughout the mid-1990s. But the economy stagnated due to the sharp reduction in foreign aid in 1999 (which gradually resumed in 2000) and poor rains in 2000. Reflecting the importance of the agricultural sector, the return of good rains was the primary factor underlying economic growth of 5.1% in 2000, 3.1% in 2001, 6.0% in 2002, and 3.0% in 2003.

In recent years, the Government of Niger drafted revisions to the investment code (1997 and 2000), petroleum code (1992), and mining code (1993), all with attractive terms for investors. The present government actively seeks foreign private investment and considers it key to restoring economic growth and development. With the assistance of the United Nations Development Programme (UNDP), it has undertaken a concerted effort to revitalize the private sector.

Economic reforms In January 2000, Niger's newly elected government inherited serious financial and economic problems including a virtually empty treasury, past-due salaries (11 months of unpaid salaries) and scholarship payments, increased debt, reduced revenue performance, and lower public investment. In December 2000, Niger qualified for enhanced debt relief under the International Monetary Fund program for Highly Indebted Poor Countries and concluded an agreement with the Fund on a Poverty Reduction and Growth Facility (PRGF).

In addition to changes in the budgetary process and public finances, the new government has pursued economic restructuring towards the IMF promoted privatization model. This has included the privatization of water distribution and telecommunications and the removal of price protections for petroleum products, allowing prices to be set by world market prices. Further privatizations of public enterprises are in the works.

In its effort to comply with the IMF's Poverty Reduction and Growth Facility plan, the government is also taking action to reduce corruption and, as the result of a participatory process encompassing civil society, has devised a Poverty Reduction Strategy Plan that focuses on improving health, primary education, rural infrastructure, and judicial restructuring.

A long planned privatization of the Nigerien power company, NIGELEC, failed in 2001 and again in 2003 due to a lack of buyers. SONITEL, the nation's telephone operator which was separated from the post office and privatised in 2001, was renationalised in 2009. Critics have argued that the obligations to creditor institutions and governments have locked Niger into a process of trade liberalization that is harmful for small farmers and in particular, rural women.Niger: Agricultural trade liberalization and women’s rights. August 2006. Report by 3D – Trade – Human Rights – Equitable Economy.

Currency Niger shares a common currency, the CFA franc, and a common central bank, the Central Bank of West African States (BCEAO), with six other members of the West African Monetary Union. The Treasury of the Government of France supplements the BCEAO's international reserves in order to maintain a fixed rate of 100 CFA (Communauté Financière Africaine) to the French franc (to the euro as of January 1, 2002).

Foreign aid

The most important donors in Niger are France, the European Union, the World Bank, the IMF and other United Nations agencies (UNDP, UNICEF, FAO, WFP, NGOs, and UNFPA). Other principal donors include the United States, Belgium, Germany, Switzerland, Canada, and Saudi Arabia. USAID does not have an office in Niger, the United States contributes nearly $10 million each year to Niger's development. The US is also a major partner in policy coordination in such areas as food security and HIV/AIDS. The importance of external support for Niger's development is demonstrated by the fact that some 45% of the government's FY 2002 budget, including 80% of its capital budget, derives from donor resources.

In 2005 the UN drew attention to the increased need for foreign aid given severe problems with drought and locusts resulting in a famine endangering the lives of around a million people.

External trade and investment Exports

Of Niger's exports, foreign exchange earnings from livestock, although impossible to quantify, are second only to those from uranium. Actual exports far exceed official statistics, which often fail to detect large herds of animals informally crossing into Nigeria. Some hides and skins are exported and some are transformed into handicrafts.

Cargo imported into Niger must be covered by a bordereau électronique de suivi des cargaisons (BESC), an electronic cargo tracking note that is obtained before shipment and presented to customs during clearance.

Foreign investment In recent years, the Government of Niger promulgated revisions to the investment code (1997 and 2000), petroleum code (1992), and mining code (1993), all with attractive terms for investors. The present government actively seeks foreign private investment and considers it key to restoring economic growth and development. With the assistance of the United Nations Development Programme (UNDP), it has undertaken a concerted effort to revitalize the sector.

Macro-economic trend

The following table shows the main economic indicators in 1980–2020 (with IMF staff estimates in 2021–2026). Inflation below 5% is in green. The annual unemployment rate is extracted from the World Bank, although the International Monetary Fund finds these figures unreliable. 1980-2000 YearGDP (in bil. US$PPP)GDP per capita (in US$ PPP)GDP (in bil. US$nominal)GDP per capita (in US$ nominal)GDP growth (real)Inflation rate (in percent)Unemployment (in percent)Government debt (in % of GDP)19804.1704.03.5609.44.9%7.3%n/an/a19814.5743.83.1510.0-0.2%24.3%n/an/a19824.8779.92.8458.12.2%10.4%n/an/a19834.8753.02.5395.7-3.9%1.6%n/an/a19844.2627.52.1310.0-16.8%8.4%n/an/a19854.6674.92.0295.87.7%-1.1%n/an/a19865.0709.22.7378.76.4%-3.2%n/an/a19875.1704.83.1430.40.1%-6.6%n/an/a19885.7755.93.2426.06.9%0.6%n/an/a19896.0768.73.1394.71.0%-0.8%n/an/a19906.1762.93.5435.3-1.3%-2.0%n/an/a19916.3760.23.3394.9-0.4%1.5%1.4%n/a19926.6767.03.4393.72.0%-5.9%1.4%n/a19936.7761.33.0343.20.3%-0.3%1.4%n/a19947.0765.21.9211.01.9%35.5%1.4%n/a19957.3773.52.3242.02.5%10.9%1.4%69.4%19967.5761.52.4244.00.1%5.3%1.4%63.5%19977.7759.32.3224.51.5%2.9%1.4%69.1%19988.6815.02.6250.210.0%4.6%1.4%61.3%19998.7795.92.5231.7-0.2%-2.1%1.5%63.3%20008.8775.42.2197.3-1.2%2.7%1.5%82.1%

2001 onward YearGDP (in bil. US$PPP)GDP per capita (in US$ PPP)GDP (in bil. US$nominal)GDP per capita (in US$ nominal)GDP growth (real)Inflation rate (in percent)Unemployment (in percent)Government debt (in % of GDP)20019.6819.62.4207.87.3%3.9%1.5%74.0%200210.3842.12.8227.44.9%2.5%1.9%69.0%200310.7844.83.4267.42.2%-1.5%2.3%60.6%200411.0838.93.7285.40.4%0.2%2.7%55.1%200512.2894.54.4320.97.3%7.8%3.1%49.5%200613.3940.44.7335.35.9%0.0%2.6%18.3%200714.1959.35.7389.33.1%0.1%2.2%17.8%200815.51,014.57.3477.37.7%11.3%1.7%14.2%200915.91,003.47.3462.32.0%0.5%1.3%15.9%201017.51,060.67.8476.18.6%0.9%0.8%15.1%201118.21,066.18.8511.52.4%2.9%0.3%14.7%201220.61,156.19.4528.910.5%0.5%2.2%18.1%201320.81,125.310.2551.65.3%2.3%1.4%19.6%201421.91,138.810.8562.96.6%-0.9%0.5%22.1%201522.91,145.29.7484.24.4%1.0%0.5%29.9%201623.91,148.310.4497.95.7%0.2%0.5%32.8%201725.11,163.611.2517.85.0%0.2%0.5%36.5%201827.61,229.612.9572.67.2%2.8%0.5%36.9%201929.71,276.112.9553.95.9%-2.5%0.6%39.8%202030.51,258.713.7565.91.2%2.8%0.6%44.2%202133.21,319.615.9632.66.9%0.4%n/a44.5%202238.31,466.618.5710.312.8%2.0%n/a42.0%202343.51,605.921.0777.611.1%2.0%n/a39.9%202447.31,685.422.9816.66.6%2.0%n/a39.2%202551.31,760.824.9853.66.3%2.0%n/a38.8%202655.31,830.526.8888.55.8%2.0%n/a38.7%

Statistics GDP: purchasing power parity – $21.86 billion (2017 est.)

GDP – real growth rate: 4.9% (2017 est.)

GDP – per capita: purchasing power parity – $1,200 (2017 est.)

GDP – composition by sector: agriculture: 41.6% industry: 19.5% services: 38.7% (2017)

Population below poverty line: 45.4% (2014 est.)

Household income or consumption by percentage share: lowest 10%: 3% highest 10%: 29.3% (1992)

Inflation rate (consumer prices): 2.4% (2017 est.)

Labour force: 6.5 million (2017 est.)

Labour force – by occupation: agriculture 79.2%, industry: 3.3%, services: 17.5% (2012 est.)

Unemployment rate: 0.3% (2017 est.)

Budget: revenues: $1.757 billion (2017 est.)