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.

Geographic coordinates: 62 00 N, 7 00 W

Map reference: Europe

Area
Total: 1,399 km²
Land: 1,399 km²
Water: 0 km² (some lakes and streams)
Comparative: eight times the size of Washington, DC

Land boundaries: 0 km

Coastline: 1,117 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

Elevation
Extremes lowest point: Atlantic Ocean 0 m
Extremes highest point: Slaettaratindur 882 m

Natural resources: fish, whales

Land use
Arable land: 6%
Permanent crops: 0%
Permanent pastures: 0%
Forests and woodland: 0%
Other: 94% (1996)

Irrigated land: 0 km²

Natural hazards: NA

Geography
Note: archipelago of 17 inhabited islands and one uninhabited island, and a few uninhabited islets; strategically located along important sea lanes in northeastern Atlantic; precipitous terrain limits habitation to small coastal lowlands

Population: 39,873 (July 1997 est.)
Growth rate: -6.36% (1997 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: 25% (male 4,960; female 4,812)
15-64 years: 60% (male 12,913; female 11,117)
65 years and over: 15% (male 2,708; female 3,363) (July 1997 est.)

Population growth rate: -6.36% (1997 est.)

Birth rate: 11.46 births/1000 population (1997 est.)

Death rate: 9.05 deaths/1000 population (1997 est.)

Net migration rate: -38.75 migrant(s)/1000 population (1997 est.)

Environment
Current issues: NA

Sex ratio
At birth: 1.05 male(s)/female
Under 15 years: 1.03 male(s)/female
15-64 years: 1.16 male(s)/female
65 years and over: 0.8 male(s)/female
Total population: 1.07 male(s)/female (1997 est.)

Infant mortality rate: 10.7 deaths/1000 live births (1997 est.)

Life expectancy at birth
Total population: 78.37 years
Male: 75.41 years
Female: 81.32 years (1997 est.)

Total fertility rate: 2.37 children born/woman (1997 est.)

Literacy: NA
Note: similar to Denmark proper

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

Government type: NA

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: 18 years of age; universal

Executive branch
Chief of state: Queen MARGRETHE II of Denmark (since 14 January 1972), represented by High Commissioner Ms. Vibeke LARSEN, chief administrative officer (since mid-1995)
Head of government: Prime Minister Edmund JOENSEN (since 15 September 1994)
Cabinet: Landsstyri elected by the Faroese Parliament
Elections: the queen is a constitutional monarch; high commissioner appointed by the queen; following legislative elections, the leader of the party that wins the most seats is usually elected prime minister by the Faroese Parliament; election last held NA 1994 (next to be held NA 1998)
Election results: Edmund JOENSEN elected prime minister; percent of parliamentary vote - 23.4%

Legislative branch: unicameral Faroese Parliament or Logting (32 seats; members are elected on a proportional basis from the seven constituencies to serve four-year terms)
Elections: last held 7 July 1994 (next to be held by NA July 1998)
Election results: percent of vote by party - Unionist Party 23.4%, People's Party 16.0%, Social Democrats 15.4%, Republicans 13.7%, Workers' Party 9.5%, Christian People 6.3%, Center Party 5.8%, Home Rule Party 5.6%; seats by party - Unionist Party 8, People's Party 6, Social Democrats 5, Republicans 4, Workers' Party 3, Christian People 2, Center Party 2, Home Rule Party 2
Note: election of 2 seats to the Danish Parliament was last held on 21 September 1994 (next to be held by September 1998); results - percent of vote by party - Unionist Party 22.5%, People's Party 21.7%; seats by party - Unionist Party 1, People's Party 1

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 economy in 1995 and 1996 saw a noticeable upturn after several years of decline brought on by a drop in fish catches and declining prices and by over-spending by the Faroese Home Rule Government (FHRG). In the early 1990s, property values plummeted, and the FHRG had to bail out and merge the two largest Faroese banks. Fishing is now improving; wage costs are increasing; the FHRG's budget is almost in balance; and the large foreign debt has come down significantly. Nevertheless, the total dependence on fishing makes the Faroese economy extremely vulnerable, and the reduction in the foreign debt is at the cost of low investment. Oil finds close to the Faroese area give hope for deposits in the immediate Faroese area, which may lay the basis for an eventual economic rebound. Aided by a substantial annual subsidy from Denmark, the Faroese have a standard of living comparable to the Danes and other Scandinavians.

Real gdp growth rate: 6% (1996 est.)

Real gdp per capita: purchasing power parity - $16,300 (1996 est.)

Gdp composition by sector of origin
Agriculture: 20%
Industry: 16%
Services: 64% (1996 est.)

Agriculture products: milk, potatoes, vegetables; sheep; salmon farming; fish

Industries: fishing, shipbuilding, construction, handicrafts

Industrial production growth rate: NA%

Labor force
Total: 20,345 (1995 est.)
Note: largely engaged in fishing, transportation and commerce

Unemployment rate: 11% (1996 est.)

Budget
Revenues: $467 million
Expenditures: $468 million, including capital expenditures of $11 million (1996 est.)

Fiscal year: calendar year

Exports
Total value: $362 million (f.o.b., 1995)
Commodities: fish and fish products 92%, animal feedstuffs, transport equipment (ships)
Partners: Denmark 22.2%, UK 25.8%, Germany 9.7%, France 8.3%, Norway 6.2%, US 2.0%

Imports
Total value: $315.6 (c.i.f., 1995)
Commodities: machinery and transport equipment 17.0%, consumer goods 33%, raw materials and semi-manufactures 26.9%, fuels 11.4%, fish and salt 6.7%
Partners: Denmark 34.5%, Norway 15.9%, UK 8.4% Germany 7.8%, Sweden 5.8%, US 1.5%

Debt external: $767 million (1995 est.)

Exchange rates: Danish kroner (DKr) per US$1 - 6.117 (January 1997), 5.799 (1966), 5.602 (1995), 6.361 (1994), 6.484 (1993), 6.036 (1992)

Electricity
Capacity: 91,000 kW 000 kW
Production: 175.4 million kWh
Consumption per capita: 4,043 kWh (1995)

Telephones: 26,000 of which about 3,500 are mobile telephones (1996)

Telephone system: good international communications; good domestic facilities
Domestic: digitalization to be completed in 1998
International: satellite earth stations - 1 Orion; 1 optical fiber submarine cable linking the Faroe Islands with Denmark and Iceland

Military expenditures
Dollar figure: $NA
Percent of gdp: NA%

Airports: 1 (1996 est.)
With paved runways total: 1
With paved runways 914 to 1523 m: 1 (1996 est.)

Railways: 0 km

Merchant marine
Total: 6 ships (1,000 GRT or over) totaling 18,979 GRT/14,531 DWT
Ships by type: cargo 3, refrigerated cargo 1, roll-on/roll-off cargo 1, short-sea passenger 1 (1996 est.)

Disputes international: none