Djibouti’s economy is largely concentrated in the service sector. Commercial activities revolve around the country’s free trade policies and strategic location as a Red Sea transit point. Due to limited rainfall, vegetables and fruits are the principal production crops, and other food items require importation. The GDP (purchasing power parity) in 2013 was estimated at $2.505 billion, with a real growth rate of 5% annually. Per capita income is around $2,874 (PPP). The services sector constituted around 79.7% of the GDP, followed by industry at 17.3%, and agriculture at 3%.
As of 2013, the container terminal at the Port of Djibouti handles the bulk of the nation’s trade. About 70% of the seaport’s activity consists of imports to and exports from neighboring Ethiopia, which depends on the harbour as its main maritime outlet. The port also serves as an international refueling center and transshipment hub. In 2012, the Djiboutian government in collaboration with DP World started construction of the Doraleh Container Terminal, a third major seaport intended to further develop the national transit capacity. A $396 million project, it has the capacity to accommodate 1.5 million twenty foot container units annually.
Saudi investors are also reportedly exploring the possibility of linking the Horn of Africa with the Arabian Peninsula via a 28.5-kilometre-long (17.7 mi) oversea bridge through Djibouti, referred to as the Bridge of the Horns. The investor Tarek bin Laden has been linked to the project. However, it was announced in June 2010 that Phase I of the project had been delayed.