The Mineral Industry Of Other West African Countries - Benin

Benin's industrial sector experienced severe economic and financial problems in 1986, including disappointing performances of the Onigbolo cement plant and the Semé Oilfield, plus a shortage of technically trained personnel and experienced management. Oil production remained about 1,000 barrels per day. Import and export trade between Benin and the United States remained minimal. Because much of Benin's outstanding external debt was in U.S. dollars, the stronger dollar greatly increased the debt burden. The 1985 budget of $304 million' was composed of an investment budget of $194 million and a current budget of $110 million. Of the investment budget, 84% was expected to be externally financed. About $45 million was given to three priority projects: the joint Benin-Togo Nangbeto hydroelectric project scheduled for completion in 1986; drilling of new exploratory wells of the Semé petroleum project, and the Dassa-Parakou highway. The budget deficit was projected to exceed $43 million despite a decrease in projected revenue owing to an anticipated decline of 25% in import tax revenue, normally the largest source of Government revenue.