History of Haiti

Haiti is located in the Caribbean Sea and occupies the western third of the Island of Hispaniola. It is bound by the Dominican Republic to the east, the Atlantic Ocean to the north and the Caribbean Sea to the south. The country is a continuous highland situated between five mountain ranges which cover 75% of the land area.

It is the poorest country in the Western Hemisphere, 80% of the population lives in abject poverty, and natural disasters frequently sweep the nation. Two-thirds of all Haitians depend on the agriculture sector, which consists mainly of small-scale subsistence farming. Following legislative elections in May of 2000, fraught with irregularities, international donors - including the US and EU - suspended almost all aid to Haiti. The economy shrank an estimated 1.2% in 2001, 0.9% in 2002, grew 0.4% in 2003, and shrank by 3.5% in 2004. Suspended aid and loan disbursements totaled more than $500 million at the start of 2003. Haiti also suffers from rampant inflation, a lack of investment, and a severe trade deficit. In early 2005 Haiti paid its arrears to the World Bank, paving the way to reengagement with the Bank. The resumption of aid flows from all donors is alleviating but not ending the nation's bitter economic problems. Civil strife in 2004 combined with extensive damage from flooding in southern Haiti in May 2004 and Tropical Storm Jeanne in