Population: 476,703 (July 2005 est.)

Capital: Djibouti

Languages: French (official), Arabic (official), Somali, Afar

Religions: Muslim 94%, Christian 6%

Government: republic

Climate: desert; torrid, dry

Terrain: coastal plain and plateau separated by central mountains

Geography: strategic location near world's busiest shipping lanes and close to Arabian oilfields; terminus of rail traffic into Ethiopia; mostly wasteland; Lac Assal (Lake Assal) is the lowest point in Africa

Ethnic groups: Somali 60%, Afar 35%, French, Arab, Ethiopian, and Italian 5%

Economy: The economy is based on service activities connected with the country's strategic location and status as a free trade zone in northeast Africa. Two-thirds of the inhabitants live in the capital city, the remainder are mostly nomadic herders. Scanty rainfall limits crop production to fruits and vegetables, and most food must be imported. Djibouti provides services as both a transit port for the region and an international transshipment and refueling center. Djibouti has few natural resources and little industry. The nation is, therefore, heavily dependent on foreign assistance to help support its balance of payments and to finance development projects. An unemployment rate of at least 50% continues to be a major problem. While inflation is not a concern, due to the fixed tie of the Djiboutian franc to the US dollar, the artificially high value of the Djiboutian franc adversely affects Djibouti's balance of payments. Per capita consumption dropped an estimated 35% over the last seven years because of recession, civil war, and a high population growth rate (including immigrants and refugees). Faced with a multitude of economic difficulties, the government has fallen in arrears on long-term external debt and has been struggling to meet the stipulations of foreign aid donors.

GDP per capita: purchasing power parity - $1,300 (2002 est.)

GDP real growth: 3.5% (2002 est.)

Unemployment rate: 50% (2004 est.)

Internet country code: .dj

Dial code: +253