History of the Comoros (1978–89)
The Comoros is an island nation in the Indian Ocean, located off the eastern coast of Africa. France first established colonial rule in the Comoros in 1841. Agreement was reached with France in 1973 for the Comoros to become independent in 1978. On July 6, 1975, but the Comorian parliament passed a unilateral resolution declaring independence. The deputies of Mayotte, which remained under French control, abstained. Referendums on all four of the islands excluding Mayotte showed strong support for independence. Ahmed Abdallah proclaimed the Comoros' independence on September 5, 1975 and became its first president.
Economy of the Comoros
Following the Abdallah regime's rapprochement with France in 1978, the Comoran economy became increasingly dependent on infusions of French aid, along with assistance from other governments and international organizations. By 1990, the year the Comoros concluded negotiations with the IMF for an economic restructuring program, the republic's total external public debt was US$162.4 million, an amount equal to about three-quarters of GNP. The government delayed implementing the structural adjustment plan and was directed by the World Bank and the IMF to do so by September 1992. The plan recommendations entailed discharging about 2,800 of 9,000 civil servants, among other unpopular measures. The IMF granted the Comoros a new credit for US$1.9 million in March 1994 under the Structural Adjustment Facility. For the period 1994-96, the Comoros sought an economic growth rate of 4 percent as well as an inflation rate of 4 percent for 1995-96. The growth rate for 1994, however, was estimated only at 0.7 percent and the inflation rate at 15 percent. Meanwhile, in a move designed to encourage private enterprise and reduce unemployment, in May 1993 the UN Development Programme had given the Comoros a credit of US$2 million for programs in these areas. In January 1994, the European Development Fund (EDF) granted 1.3 million European Currency Units (ECUs; for value, see Glossary) to the Comoros to develop small businesses. The Comoros also received 5.7 million French francs from the French Aid and Cooperation Fund for agriculture and rural development.