Glossary -- Chad

Aozou Strip: A disputed section of northern Chad, running the length of the border with Libya and extending south to a depth of about 100 kilometers into Borkou-Ennedi-Tibesti Prefecture. Libya based its claim to the area on an unratified 1935 treaty between France and Italy, the colonial powers of Chad and Libya, respectively. Libya occupied some areas of the strip beginning in 1972 and remained there as of 1988.
barrels per day (bpd): Production of crude oil and petroleum products is frequently measured in barrels per day. A barrel is a volume measure of forty- two United States gallons.
CFA franc: The African Financial Community (Communauté Financière Africaine) franc, the currency of the organization of former French colonies, often referred to as the Franc Zone. The CFA franc was guaranteed by the French treasury and pegged to the French franc, into which it was freely convertible. In December 1988 the exchange rate was CFA F298 to US$1.
French Equatorial Africa (Afrique Equatoriale Française--AEF): The former colonial federation of areas that later became the independent states of Chad, Gabon, Central African Republic, and Congo. A history of French rule and missionary involvement forged organizational ties connecting these areas. The AEF was dissolved in 1958, but upon gaining independence in 1960, Chad joined former AEF members in a multilateral military assistance agreement with France.
gross domestic product (GDP): A value measure of the flow of domestic goods and services produced by an economy over a period of time, such as a year. Only output values of goods for final consumption and intermediate production are assumed to be included in the final prices. GDP is sometimes aggregated and shown at market prices, meaning that indirect taxes and subsidies are included; when these indirect taxes and subsidies have been eliminated, the result is GDP at factor cost. The word gross indicates that deductions for depreciation of physical assets have not been made. See also gross national product.
gross national product (GNP): Gross domestic product (q.v.) plus the net income or loss stemming from transactions with foreign countries. GNP is the broadest measurement of the output of goods and services by an economy. It can be calculated at market prices, which include indirect taxes and subsidies. Because indirect taxes and subsidies are only transfer payments, GNP is often calculated at factor cost, removing indirect taxes and subsidies.
International Monetary Fund (IMF): Established along with the World Bank (q.v.) in 1945, the IMF is a specialized agency affiliated with the United Nations and is responsible for stabilizing international exchange rates and payments. The main business of the IMF is the provision of loans to its members (including industrialized and developing countries) when they experience balance of payments difficulties. These loans frequently carry conditions that require substantial internal economic adjustments by the recipients, most of which are developing countries.
Lomé Convention: The first Lomé Convention (Lomé I) came into force in 1976, Lomé II came into effect in 1981, and Lomé III came into force in 1986. The convention covers economic relation between the members of the European Economic Community (EEC) and their former colonies in Africa, the Caribbean, and the Pacific (ACP). The convention allows most ACP exports to enter the EEC duty-free or at special rates and, among other things, provides funds through the Stabex System (q.v.) to offset adverse fluctuations in the prices of ACP exports.
polders: Areas of low-lying land reclaimed from a sea, lake, or river by the protection of dikes. In Chad polders have been created along the southeastern shores of Lake Chad and are used for the production of wheat and corn.
Sahel: The subarid climatological zone located south of the Sahara Desert that stretches from east to west across Africa. In Chad the Sahel, also called the sahelian zone, forms roughly the central third of the country and supports subsistence farming and livestock raising.
Stabex system: A system of export earnings stabilization set up by the European Community (EC) in accordance with the African, Caribbean, and Pacific (ACP) states. Under the system, the EC helps developing countries withstand fluctuations in the price of their agricultural products by paying compensation for lost export earnings.
World Bank: Informal name used to designate a group of three affiliated international institutions: the International Bank for Reconstruction and Development (IBRD), the International Development Association (IDA), and the International Finance Corporation (IFC). The IBRD, established in 1945, has as its primary purpose providing loans to developing countries for productive projects. The IDA, a legally separate loan fund but administered by the staff of the IBRD, was set up in 1960 to furnish credits to the poorest developing countries on much easier terms than those of conventional IBRD loans. The IFC, founded in 1956, supplements the activities of the IBRD through loans and assistance specifically designed to encourage the growth of productive private enterprises in the less-developed countries. The president and certain senior officers of the IBRD hold the same positions in the IFC. The three institutions are owned by the governments of the countries that subscribe their capital. To participate in the World Bank group, member states must first belong to the International Monetary Fund (IMF--q.v.).