The 33 coral atolls that make up the state do not have any significant resources. Phosphate reserves of commercial importance were depleted by the time of independence. Now the basis of production and export are fish and copra. In recent years, the economy has been subject to significant fluctuations. Economic development is hampered by a lack of skilled labor, underdeveloped infrastructure and remoteness from world markets. Tourism provides one-fifth of GDP, the financial sector is in its infancy, as is private enterprise. Foreign financial assistance (mainly from Great Britain and Japan) is the most important support, amounting to 25 to 50% of GDP in recent years.

Despite the fact that in Kiribati there are significant restrictions on the development of agriculture (in particular, due to the small area of ​​​​the atolls), the technique of cultivating land in this Pacific republic has reached a fairly high level. The development of agriculture, however, had a negative impact on the vegetation cover of the islands, in particular, led to deforestation.

One of the most important crops in Kiribati is the giant swamp taro, which is used to make valuable starch. However, recently, due to the increase in the consumption of rice and flour, the role of taro has somewhat decreased. There has also been a decrease in the yield of this agricultural plant on Tarawa Atoll, which is associated with the spread of the parasitic beetle of the species Papuana huebneri.

Despite the country’s small area and poor soils, agriculture plays a key role in Kiribati’s economy. Significant progress has been made in increasing the production of copra, one of the country’s main export commodities. Other important agricultural plants include pandanus, breadfruit, papaya (lat. Carica papaya).

One of the priority directions of economic development is to reduce the share of imported agricultural products. Achieving this goal is possible only with the intensification of agriculture, which will also solve the problems of providing food for the growing population of the country (however, this is problematic to implement).

In coastal waters and lagoons The atolls are home to many valuable species of fish and shellfish. A significant place in the diet of local residents is occupied by the mollusks bred by them (lat. Tridacnidae).

The country’s labor force is estimated at 7,870; this number does not include peasants. The unemployment rate is 2%, but the vast majority of workers suffer from underemployment.