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by The Islands of Samudera. . 189 reads.

Economy of Samudera

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Economy of Samudera


Kotapura Downtown Business District

Currency

Kamasan (SMK) (Ka)

Fiscal year

20 January - 19 January

Statistics

Population

14,780,050

GDP nominal

$246,501,673,900.00

GDP growth

5.9% (2014), 5.1% (2015),
5.0% (2016e), 5.2% (2017f)

GDP per Capita

$16,678.00

GDP by sector

agriculture: 26.5%, industry:
41.1%, services: 18.9%

Inflation

2.8%

Population below
poverty line

6.1% (546,861)

Labour force

6,961,404

Labour force
by occupation

Agriculture: 40%, industry:
24%, services: 23%

Unemployment

4.8% (339,941)

Externals

Exports

$63.4 billion (2016)

Export goods

Car, food, rubber, cement,
fish and seafood, rubber,
textiles, motorcycle,
electrical appliance

Main export
partners

Ainslie 16%
Negarakita 13%
Athara Magarat 11%
Townside 8%
Torom 7%
Dormill and Stiura 7%
Orsandia 5%

Imports

$56.9 billion (2016)

Import goods

machinery and equipment,
chemicals, fuels, foodstuffs
mobile phone, electronics

Main import
partners

Ainslie 22%
Dormill and Stiura 13%
Townside 10%
Torom 8%
Negarakita 7%
Orsandia 9%

Externals

Public debts

26% of GDP (2016)

Revenues

$x

Expenses

$x

Foreign
reserves

$x

Overview



Samuderan economy is emerging and has a mixed market in The Western Isles, possessing a GDP of $246.5 billion. The major industries of Samudera include agriculture (26%), service (19%), manufacturing (41%) making up 82% of the national GDP and employing 87% of the workforce. Samudera mainly exports to the Cooperative Union members, especially Ainslie and Athara Magarat, with Negarakita and EUSR as its biggest non-CU trading partner, with imports coming from Ainslie, Negarakita, and Dormill and Stiura. Some of the most notable companies that are based in Samudera are GoTor, Mentari Solar Company, and ElangAir. The currency is Samuderan Kamasan.

Samudera is a member of the Cooperative Union, partial member of Gael Four (G4), and has entered an agreement with Ainslie, Negarakita and Orsandia.

Major Events



Moving Forward Program

In the years immediately following the allied takeover of Samudera, the World War II and Samudran involvement in the war had crippled the country's production, with exports of comodities such as rubber and oil being reduced to 12 and 5 percent their pre-WW2 levels, respectively. The newly established government were faced with falling economy, recover quickly by gaining aid from Ainslie and Dormill-Stiura for the effort of rebuilding the country's economy and infrastructure. The period of 1948-1951 saw the rise of the economy of Samudera, with average GDP growth of about 10% in that period. However, the development of the country's economy were heavily focused in the eastern Indradipa and Kotapura's periphery. This huge inequality and infrastructure gap would hampered the nation's economy in the next decades.

During the guided democracy era in the 1960s, the economy deteriorated drastically as a result of political instability. They had a young and inexperienced government, which resulted in severe poverty and hunger. By the time of Lotus Revolution in the mid-1960s, the economy was in chaos with 1,000% annual inflation, shrinking export revenues, crumbling infrastructure, factories operating at minimal capacity, and negligible investment. Nevertheless, Samudera's post-1960 economic improvement was quite remarkable when one considers how few indigenous Samuderans were educated or even literate.

Five-Year Plan

The socialist revolution introduced the state-planned economy that quickly seized most of the nation's companies into the state's hands. Huge Soviet and Combrekniza's aid helped ease the Samuderan economy situation, albeit in the cost of the deaths of thousands of workers and farmers over allegedly 'Forced Worker Program'. The socialist government brought a degree of discipline to economic policy that quickly brought inflation down, stabilised the currency, rescheduled foreign debt, and received foreign aid and investment from other socialist nations, notably New Aapelistan and Combrekniza.

This high GDP growth in the end of 1960s the end of 1970s was only possible by the implementation of 'Forced Worker Program', or officially, 'Work Placement Program'. This government's program aimed to give every person a job in the sectors across Samudera. But in truth, most of them were placed in agricultural sectors where they were forced to work 12 hours/day and were underpaid. This practice was stopped by the newly elected liberal socialist government in 1979, replaced with a better employment system.

The growth of GDP in the 1980s was slowed down due to some crop failures happening across the country, and finally falling down in the 1990 when Soviet's aid were cut down entirely.

Reformation

Following the agreement with Negarakita and Ainslie, the Socialist government was forced to liberalise and democratise the nations in accordance with the stipulation. The economy was in freefall, caused by mass hunger and labour strike all over the nation. The international aid and fund arrived soon after the socialist government gave their mandate to the interim government, aimed to stabilise the nation.

Since then Samuderan economy has been liberalised and privately-owned government are already widespread

Sectors



Primary

Secondary

Tertiary

Employment


Taxation



Samudera has a series of progressive sliding rate taxes for all categories. Furthermore, as a developing nation, much economic activity is done at the 'cottage' level where sales and services taxation are tax exempt.

Samudera's taxations system recognises the economic reality of the majority poorer citizens and the poor are exempt from almost any taxation. The underlying ethic of "gotong-royong"- "neighbourly help" is applied where the more fortunate wealthier are enforced to meet their moral obligation of a heavier burden of tax- regardless of arbitrary arguments to its fairness.

The tax-free poverty threshold for Samuderan income earners is also dependent on regions as there exists some disparity between the purchasing power of the Kamasan between regions and intra-regionally between larger urban cities and smaller ones. The largest city, Kotapura is considered the most expensive city in term of all goods, services and wages.

Income tax

Income taxation is subject to the state government regulations defined by the economic realities of that particular area. As mentioned above, the poorer denizens are exempt from almost all taxation.

Category

Annual Income

Rate

Cat I

Up to $10,000

0%

Cat II

$10,000 to $30,000

10%

Cat III

$30,000 to $100,000

15%

Cat IV

$100,000 to $500,000

20%

Cat V

Above $500,000

30%

Although rates are Regionally variable, for the sake of illustration income tax basically employs a progressive rate, commencing at 10% gross salary income per annum, sliding to 30% per annum. Regulations are being debated as of 2015 to include income from shares, dividends, trusts and such related.

For example, the most urbanised and industrialised region, Kotapura, income taxation commences with salaries greater than $1,000 per calendar month, at a rate of 10%, which slides progressively to 40%.

Corporation tax

Companies in Samudera are taxed at a rate of 30%, for both domestic and international sourced income.

Value Added Taxation/Goods and Services Taxation

A Goods and Services Tax (GST) is levied at the rate of approx 10% at the point of sales, by major vendors. Sales and services tax are exempt from cottage economies and industries.

A VAT rate of 0 (zero) percent is applied to the following taxable events: - export for taxable goods - export for intangible taxable goods - export for taxable services

VAT base on equivalent to the sale price/service fee or import/export value.

Infrastructure


Major Companies



Agriculture
  • SamudFood

  • Peraginer (National Agriculture Company)

Manufacturing

Service

Trade and Economic performance


Template credit to Ainslie

The Islands of Samudera

Edited:

RawReport