deficit reached 10.1% of GDP. Key human development indicators regarding education, maternal and child health and access to drinking water were constantly on the decline. 23. To reverse this trend, the Government initiated in 1996, economic adjustment and restructuring programmes with the support of the IMF and the World Bank and implemented reforms in various key areas: public finance, social security, state companies, education, health… Moreover, the Government developed, in 2000, a poverty reduction strategy with the following objectives: i) restoring economic growth, ii) developing human resources, iii) enhancing social safety nets, and iv) modernizing the State and promoting good governance. 24. Given its strategic position as a trade hub between Asia and Europe, Djibouti’s economy is that of a rentier State relying on its port infrastructures and military bases but with a sizeable informal sector. The economy is dominated by the tertiary sector (transport, communication, trade, tourism…) accounting for 76% of GDP and employing 60% of the labour force. 25. Results of programmes implemented since 1996 have been mixed. Significant progress achieved in the macro-economic field with a reduction of the budget deficit did not succeed in reversing the downward trend in the country’s social situation. Economic growth was negative (-3.2%) during the 1991-2001 period). 26. The EDAM-IS2 survey shows that the incidence of relative poverty and extreme poverty increased between 1996 and 2002 from 45.1% to 74% and 9.6% to 42.1% respectively. It also reveals that poverty is generalized and affects all geographic areas and social categories. II. LEGAL FRAMEWORK 1. RATIFIED INTERNATIONAL INSTRUMENTS 27. The Republic of Djibouti has, over the past ten years, deployed significant efforts to accede to key international and regional human rights instruments and submit related reports. 2010 was a significant year in this regard with the preparation of several reports to treaty bodies including the core document common to all reports. 11

Select target paragraph3