Background: The population of the Faroe Islands is largely descended from Viking settlers who arrived in the 9th century. The islands have been connected politically to Denmark since the 14th century. A high degree of self-government was attained in 1948.

Map reference: Europe

Area
Total area total: 1,400 km²
Land: 1,400 km²
Comparative: slightly less than eight times the size of Washington, DC

Land boundaries: 0 km

Coastline: 764 km

Maritime claims
Exclusive fishing zone: 200 nm
Territorial sea: 3 nm

Climate: mild winters, cool summers; usually overcast; foggy, windy

Terrain: rugged, rocky, some low peaks; cliffs along most of coast

Natural resources: fish

Land use
Arable land: 2%
Permanent crops: 0%
Meadows and pastures: 0%
Forest and woodland: 0%
Other: 98%

Irrigated land: NA km²

Geography
Note: defense is the responsibility of Denmark

Population: 48,871 (July 1995 est.)
Growth rate: 0.99% (1995 est.)

Nationality
Noun: Faroese (singular and plural)
Adjective: Faroese

Ethnic groups: Scandinavian

Languages: Faroese (derived from Old Norse), Danish

Religions: Evangelical Lutheran

Age structure
0-14 years: 24% (female 5,673; male 6,119)
15-64 years: 63% (female 14,164; male 16,835)
65 years and over: 13% (female 3,335; male 2,745) (July 1995 est.)

Population growth rate: 0.99% (1995 est.)

Birth rate: 17.54 births/1000 population (1995 est.)

Death rate: 7.59 deaths/1000 population (1995 est.)

Net migration rate: 0 migrant(s)/1000 population (1995 est.)

Environment
Current issues: NA
Current issues natural hazards: NA
Current issues international agreements: NA

Infant mortality rate: 7.9 deaths/1000 live births (1995 est.)

Life expectancy at birth
Total population: 78.29 years
Male: 74.91 years
Female: 81.8 years (1995 est.)

Total fertility rate: 2.42 children born/woman (1995 est.)

Literacy: NA%

Country name
Conventional long form: none
Conventional short form: Faroe Islands
Local long form: none
Local short form: Foroyar

Government type: part of the Danish realm; self-governing overseas administrative division of Denmark

Capital: Torshavn

Administrative divisions: none (self-governing overseas administrative division of Denmark)

Independence: none (part of the Danish realm; self-governing overseas administrative division of Denmark)

National holiday: Birthday of the Queen, 16 April (1940)

Constitution: 5 June 1953 (Danish constitution)

Legal system: Danish

Suffrage: 20 years of age; universal

Executive branch
Chief of state: Queen MARGRETHE II (since 14 January 1972), represented by High Commissioner Bent KLINTE (since NA)
Head of government: Prime Minister Edmund JOENSEN (since 15 September 1994)
Cabinet: Landsstyri; elected by the local legislature

Legislative branch: unicameral
Faroese Parliament Logting: elections last held 8 July 1994 (next to be held by July 1998); results - percent of vote by party NA; seats - (32 total) Liberal Party 8, People's Party 6, Social Democrats 5, Republicans 4, Workers' Party 3, Christian Democrats 2, Center Party 2, Home Rule Party 2
Danish Parliament: elections last held on 21 September 1994 (next to be held by September 1998); results - percent of vote by party NA; seats - (2 total) Liberals 2

Judicial branch: none

International organization participation: none

Diplomatic representation
In the us: none (self-governing overseas administrative division of Denmark)
From the us: none (self-governing overseas administrative division of Denmark)

Flag description: white with a red cross outlined in blue that extends to the edges of the flag; the vertical part of the cross is shifted to the hoist side in the style of the DANNEBROG (Danish flag)

Economy overview: The Faroese, who have long enjoyed the affluent living standards of the Danes and other Scandinavians, now must cope with the decline of the all-important fishing industry and one of the world's heaviest per capita external debts of about $25,000. When the nations of the world extended their fishing zones to 200 nautical miles in the early 1970s, the Faroese no longer could continue their traditional long-distance fishing and subsequently depleted their own nearby fishing areas. The government's tight controls on fish stocks and its austerity measures have caused a recession, and subsidy cuts will force nationalization in the fishing industry, which has already been plagued with bankruptcies. Copenhagen has threatened to withhold its annual subsidy of $130 million - roughly one-third of the islands' budget revenues - unless the Faroese make significant efforts to balance their budget. To this extent the Faroe government is expected to continue its tough policies, including introducing a 20% value-added tax (VAT) in 1993, and has agreed to an IMF economic-political stabilization plan. In addition to its annual subsidy, the Danish government has bailed out the second largest Faroe bank to the tune of $140 million since October 1992.

Real gdp growth rate: -10.8% (1993 est.)

Real gdp per capita: $14,000 (1989 est.)

Agriculture products: accounts for 27% of GDP; principal crops - potatoes and vegetables; livestock - sheep; annual fish catch about 360,000 metric tons

Industries: fishing, shipbuilding, handicrafts

Industrial production growth rate: NA%

Labor force: 17,585
Note: largely engaged in fishing, transportation and commerce

Unemployment rate: 23% (1993)

Budget
Revenues: $407.2 million
Expenditures: $482.7 million, including capital expenditures of $NA (1993 est.)

Fiscal year: 1 April - 31 March

Exports: $345.3 million (f.o.b., 1993 est.)
Commodoties: fish and fish products 88%, animal feedstuffs, transport equipment (ships) (1989)
Partners: Denmark 20%, Germany 18.3%, UK 14.2%, France 11.2%, Spain 7.9%, US 4.5%

Imports: $234.4 million (c.i.f., 1993 est.)
Commodoties: machinery and transport equipment 24.4%, manufactures 24%, food and livestock 19%, fuels 12%, chemicals 6.5%
Partners: Denmark 43.8%, Norway 19.8%, Sweden 4.9%, Germany 4.2%, US 1.3%

Debt external: $1.2 billion (1993 est.)

Exchange rates: Danish kroner (DKr) per US$1 - 6.034 (January 1995), 6.361 (1994), 6.484 (1993), 6.036 (1992), 6.396 (1991), 6.189 (1990)

Electricity
Capacity: 90,000 kW
Production: 200 million kWh
Production consumption per capita: 3,953 kWh (1992)

Telephone system: 27,900 telephones; good international communications; fair domestic facilities
Local: NA
Intercity: NA
International: 3 coaxial submarine cables

Military expenditures: $NA, NA% of GDP

Airports: 1
With paved runways 914 to 1523 m: 1

Merchant marine
Total: 7 ships (1,000 GRT or over) totaling 19,879 GRT/18,444 DWT
Ships by type: cargo 5, roll-on/roll-off cargo 1, short-sea passenger 1

Disputes international: none