This country profile was published in November 2008 in our annual 'Africa in 2009' issue. The next edition, 'Africa in 2010' will be on sale 23 November 2009.

Click on the drop-down menu above to see Burkina Faso's Top Companies and Top Banks.

President Blaise Compaoré's regional diplomacy has come full circle. Leaving behind rumours of support for Côte d'Ivoire's Forces Nouvelles rebels, 2008 brought a pact with his former arch-nemesis Ivorian President Laurent Gbagbo's political party. He has also mediated in political squabbles in Togo. Compaoré's previous diplomacy will also soon be put on show in The Hague as the Sierra Leone Special Court hears expert testimony on Ouagadougou's support for brutal Liberian dictator Charles Taylor and the Revolutionary United Front rebels of Sierra Leone.

On the home front, the country has been under the firm control of Compaoré's Congrès pour la Démocratie et le Progrès (CDP) since it won 73 of 113 parliamentary seats in 2007 legislative elections. Following protests and strikes in May 2008, parliament, led by technocrat Terius Zongo, has enacted several measures including the suspension of customs fees on staple goods, but the government has been warned that it cannot maintain the exemptions in the medium term without greater external support.

The CDP has had to cope with a spate of dissension. In June, rebel deputies and members of the executive, feeling sidelined in policy decisions and complaining of an 'authoritarian drift', wrote to Compaoré requesting the 're-foundation' of the party, but the executive committee quickly banned those seeking reform. As Compaoré finished his 21st year in power, the question of succession has been raised, with speculation that his younger brother François may be jockeying for position. The next presidential elections are set for 2010 and Compaoré is only allowed to serve two terms, following a constitutional amendment adopted in 2000.

The budget has been squeezed by food and fuel prices, and the endemic effects of poor infrastructure and a weak tax base. Debt relief has freed up funds, but trying to snuff out protests against the cost of living, in addition to other uncontrolled spending, has driven the general budget deficit to 12% of GDP in 2008. Donor support is key and discussions are underway for the first disbursement of a $540m Millennium Challenge Account award from the US.

The IMF predicts GDP growth of 4% in 2008 and 6.3% in 2009 on the back of an eventual recovery in cotton after a drop in production from 660,000 tonnes in 2006/07 to 360,000 tonnes in 2007/08. The government has been unable to find a strategic partner for the largest cotton ginning company Sofitex, and cotton financing remains inefficient. Weak cotton prices and poor production have even threatened the health of the national banking system, as many banks are overly exposed to the cotton sector. The use of genetically modified cotton may be a solution and is getting widespread backing by Sofitex in the 2008/09 season.

In an attempt at diversification, gold is best placed to rival cotton. A revamped mining code in 2003 and the award of 443 prospecting licences have boosted gold production, with a government target of 15-20 tonnes produced annually by 2010. Production has grown exponentially, reaching 8.7 tonnes in 2007. Production closer to 50 tonnes a year is expected when the Taparko and Youga mines reach full production and other mines come onstream.

The country's hopes of becoming a major zinc exporter were dashed in July when financing dried up for Australian miner AIM Resources to exploit reserves at the Perkoa mine.