Economy of Chad: sectors, growth, foreign trade and investment

The economy of Chad at a glance

The economy of Chad relies on agriculture, livestock and oil, in a landlocked Sahelian country classified among low-income economies by the World Bank. The oil sector provides most exports and a large share of public revenue, while the majority of the population works in agriculture and the informal economy.

Growth and structure of activity

According to the World Bank, the non-oil sector drove growth in 2025, while hydrocarbon production declined. Inflation stood at 5.7% in 2024, according to the same institution, and was expected to slow thereafter to 4.1% in 2025.

Agriculture accounts for about 40% of GDP, according to the World Bank, and remains exposed to droughts, floods, conflict and population displacement. About 88% of jobs are in the informal sector. Poverty remains massive: 44.8% of inhabitants lived below the national poverty line in 2022, and extreme poverty affected 36.5% of the population in 2024.

Oil and other sectors of the economy of Chad

Oil accounts for about 15% of GDP, 41% of public revenue and 76% of exports, according to the World Bank. It comes mainly from the Doba basin in the south and leaves by pipeline for the Cameroonian terminal of Kribi. This dependence exposes public finances to fluctuations in prices and output.

Outside hydrocarbons, cotton remains the main export crop, together with gum arabic and sesame. Livestock is another pillar: herds of cattle, camels and small ruminants feed an active regional trade with Nigeria, Cameroon and Sudan. Processing industry remains limited, and services are concentrated in N'Djamena.

Foreign trade and investment

The country trades mainly through Cameroon, whose port of Douala remains the main entry route for imported goods, for lack of direct access to the sea. France remains a historical partner: its imports from Chad consist almost solely of crude oil, according to French customs.

Foreign investment remains modest. According to the country profile published in 2025 by the French Ministry of Foreign Affairs, the stock of French investment in Chad stood at 48 million euros in 2024, down 42% from 2020, with a negative flow of 16 million euros that year. The country also relies on World Bank financing, whose portfolio included 23 operations of the International Development Association worth 2.51 billion dollars.

Currency, regional integration and risks

Chad uses the Central African CFA franc (XAF), issued by the Bank of Central African States and pegged to the euro at a fixed parity. It belongs to the Central African Economic and Monetary Community (CEMAC), with which it shares monetary policy and the regional market for public securities.

The main risks identified by the World Bank are conflicts among neighbours, the effects of the climate, the fragility of the banking sector and rising military spending. The influx of Sudanese refugees in the east adds pressure on basic services and on public finances.