Editing Economy of the Falkland Islands

{{Short description|none}}
{{Use dmy dates|date=February 2021}}
{{Infobox economy
| country = the Falkland Islands
| image = 
| caption = 
| currency = [[Falkland pound]]
| fixed exchange = 1 Falkland pound = 100 pence<ref>the Falkland pound is at par with the Pound Sterling</ref>
| year = 1 April&ndash;31 March
| gdp rank = 221st (PPP, 2015)
| gdp = $206.4 million (2015 est.)
| growth = 25.5% (2015 est.)
| per capita = [[purchasing power parity|PPP]]: $77,692 (2013 est.)
| components = 
| sectors = agriculture: (41%), industry: (20.6%), services: (38.4%) (2015 est.)
| inflation = 1.4% (CPI, 2014)
| gini = 36 (2015)
| labor = 1,850 (2016 est.)
| occupations = agriculture: 41%, industry: 24.5%, services: 34.5% (2015 est.)
| unemployment = 1.0% (2020)
| industries = fish and wool processing; tourism
| exports = $257.3 million (2015 est.)
| export-goods = Molluscs, fish, wool, sheep meat (2021)
| export-partners = Spain 78%, United States 6% (2019)
| imports = $90 million (2004 est.)
| import-goods = fuel, food and drink, building materials, clothing
| gross external debt = $0 (2017 est.)
| import-partners = United Kingdom 79%, Netherlands 16% (2019)
| debt = 0% of GDP (2015 est.)
| revenue = $67.1 million (FY2009 / 2010)
| expenses = $75.3 million (FY2009 / 2010)
| aid = $0 (1997 est.)
| credit = 
| cianame = falkland-islands-islas-malvinas
}}
The '''economy of the Falkland Islands''', which first involved sealing, whaling and provisioning ships, became heavily dependent on sheep farming from the 1870s to 1980.<ref name=":0">{{Cite journal |last=Jones |first=Clarence F. |date=1924 |title=The Economic Activities of the Falkland Islands |url=https://www.jstor.org/stable/208420 |journal=Geographical Review |volume=14 |issue=3 |pages=394–403 |doi=10.2307/208420 |issn=0016-7428}}</ref> It then diversified and now has income from tourism, [[commercial fishing]], and servicing the fishing industry as well as agriculture. The [[Falkland Islands]] use the [[Falkland pound]], which is backed by the [[Pound sterling|British pound]].

==Historical development==
[[File:Port-William.JPG|left|thumb|A squid trawler, and a cruise ship in [[Port William, Falkland Islands|Port William]] representing two trends in recent economic development]]

The Falkland Islands have historically been extremely isolated.<ref name=":0" /> During the 19th century, the supply and maintenance depot for ships at [[Stanley, Falkland Islands|Stanley]] developed into a port serving ships rounding [[Cape Horn]] and for South Polar expeditions.<ref name=":0" /> There was also trade in cow hides from the wild descendants of cattle introduced by French settlers in the late 18th century. Sheep farming was then introduced, taking over from the cattle trade in the 1870s and becoming self-supporting by 1885. The islands also provided a base for [[whaling]] and [[Seal hunting|sealing]], with factories being built on [[East Falkland]] and [[South Georgia Island]], but these industries ended.

By the [[Falklands War]] of 1982 sheep farming was the islands' only industry{{r|browne20020317}} and their economic viability was in doubt, but after the war there was a new commitment from the [[Government of the United Kingdom]]. The [[Falkland Islands Development Corporation]] was formed in mid 1984 and in its annual report at the end of that year it set out to increase employment opportunities by encouraging diversification, to increase population levels through selective immigration, to aim for long-term self-sufficiency and to improve community facilities. To achieve this, the Corporation identified agricultural improvements, [[tourism]], self-sufficiency in energy, development of the industrial and service sector, fisheries, and land subdivision as areas to tackle.

The largest company in the islands used to be the [[Falkland Islands Company]] (FIC), a publicly quoted company on the [[London Stock Exchange]]. The company was responsible for the majority of the economic activity on the islands, though its farms were sold in 1991 to the [[Falkland Islands Government]]. The company now operates several retail outlets in Stanley and is involved in port services and shipping operations.

By 2002 the Falklands' economy was booming, with income from tourism and the sale of squid fishing licences as well as from indigenous fishing companies with locally registered boats. Fishing boats visit the islands from Spain, Korea, Taiwan and Japan, and obtain supplies and services from the islands.{{r|browne20020317}} An islander told the [[BBC]] that "we were the luckiest people that was ever mixed up in a war",<ref name="adams20020318">{{cite news | url=http://news.bbc.co.uk/2/hi/uk_news/politics/1879050.stm | title=The Falklands: 20 years on | work=[[BBC News]]| date=18 March 2002 | access-date=10 August 2012 | author=Adams, Paul}}</ref> and British diplomats joked that the Falklands should have a monument to [[Leopoldo Galtieri]], the Argentinean dictator who invaded the islands.<ref name="mount20090509">{{Cite web |last=Mount |first=Ian |date=2009-05-09 |title=Why do so many people move to the Falkland Islands? |url=https://slate.com/news-and-politics/2009/05/why-do-so-many-people-move-to-the-falkland-islands.html |access-date=2021-08-18 |website=[[Slate (magazine)|Slate]]|language=en}}</ref> In 2007, Argentina withdrew<ref>{{cite news|first=Sophie |last=Arie |title=Argentina snubs UK over oil deal as anniversary nears |url=https://www.telegraph.co.uk/news/worldnews/1547024/Argentina-snubs-UK-over-oil-deal-as-anniversary-nears.html|newspaper=[[The Daily Telegraph]]|date=3 April 2007 |access-date=20 October 2007 | location=London}}</ref> from a 1995 agreement<ref>{{cite news
|first=Calvin |last=Sims |title=Britain and Argentina Reach an Accord on Falkland Oil Rights
|url=https://www.nytimes.com/1995/09/20/world/britain-and-argentina-reach-an-accord-on-falkland-oil-rights.html?pagewanted=1
|newspaper=[[New York Times]]
|date=20 September 1995
|access-date=10 May 2010
|location=New York}}</ref> that set terms for exploitation of offshore resources.  It is thought that there might be up to {{convert|60|Goilbbl|km3}} of oil under the sea bed surrounding the islands.<ref>{{Cite news
|url = https://www.theguardian.com/uk/2010/feb/07/falkland-islands-oil-britain-argentina |title = Falklands oil prospects stir Anglo-Argentinian tensions
|newspaper = [[The Guardian]]
|date = 7 February 2010
| location=London
| first1=Rory
| last1=Carroll
| first2=Annie
| last2=Kelly}}</ref> Desire Petroleum and Rockhopper Exploration began drilling for oil in the vicinity of the Falklands in the first half of 2010, sparking strong protest from the Argentine government. Diplomatic disputes with Argentina disrupted tourism slightly in 2004. Buenos Aires refused permission for charter flights from Chile that served cruise ships to fly over Argentina to reach the islands.{{citation needed|date=December 2017}}

==Economic overview==
The Falkland Islands have a GDP of $164.5&nbsp;million, and a per capita GDP of $70,800 (2015 estimate) compared with the United Kingdom GDP per capita of $35,200 (2009 estimate).<ref name=cia>{{Cite web
|url = https://www.cia.gov/the-world-factbook/countries/falkland-islands-islas-malvinas/
|title = Falkland Islands (Islas Malvinas)
|work = World Fact Book
|publisher = [[Central Intelligence Agency]]
|date = 16 March 2015
|access-date =7 June 2015}}</ref> The contributors to the GDP by sector (2010 forecast) are:<ref name=overview>{{Cite web
 |url          = http://www.falklands.gov.fk/documents/25%20Feb%20-%20Economic%20Briefing%20and%20Forecast%20for%20the%20Falkland%20Islands-%20Feb%202010%20(2).pdf
 |title        = Preliminary GDP Estimates, 2008–2009 and 2010 Forecast (Constant Prices)
 |work         = Economic Briefing & Forecast for the Falkland Islands
 |publisher    = The Falkland Islands Government
 |access-date   = 27 May 2010
 |archive-url  = https://web.archive.org/web/20101216215439/http://www.falklands.gov.fk//documents/25%20Feb%20-%20Economic%20Briefing%20and%20Forecast%20for%20the%20Falkland%20Islands-%20Feb%202010%20(2).pdf
 |archive-date = 16 December 2010
 |url-status     = dead
}}</ref>

*Fisheries – 52.5%
*Government (including health and education) – 14.0%
*Communications, Finance and Business services – 11.4%
*Hospitality & Transport – 7.7%
*Construction – 6.6%
*Housing and other services – 3.2%
*Mining. Quarrying & Manufacturing – 2.1%
*Agriculture – 1.6%
*Utilities – 0.9%
In the 2009/10 financial year, the government revenue was £42.4&nbsp;million of which £14.5&nbsp;million came from fishery licences and services and £10.5&nbsp;million from taxes.   During the same period the government expenditure was £47.6&nbsp;million.<ref>{{Cite web |url = http://www.falklands.gov.fk/Economy.html |title = Economy – Background |publisher = The Falkland Islands Government |access-date = 27 May 2010 |archive-url = https://web.archive.org/web/20100312073757/http://www.falklands.gov.fk/Economy.html |archive-date = 12 March 2010 |url-status = dead }}</ref>

Other economic indicators include:

'''Electricity – production:'''
19 million kWh (2016 est.)<ref>{{cite web | url=https://www.cia.gov/the-world-factbook/countries/falkland-islands-islas-malvinas/ | title=Falkland Islands (Islas Malvinas) | date=19 May 2022 }}</ref>

'''Electricity – production by source:''' (2016 est.)
*Fossil fuels: 74%
*Non-hydro renewables: 26%

'''Electricity – consumption:'''
17.67 million kWh (2016 est.)

'''Installed [[nameplate capacity]] of electric generation'''

12,100 kW (2016 est.)

== Banking ==
The Falkland Islands do not have a [[central bank]] but the [[Standard Chartered Bank]] has a single branch in Stanley that offers retail, commercial and wholesale banking facilities.<ref>{{cite web
|url = http://www.standardchartered.com/fk/en/
|title = Falkland Islands
|work = Company website
|publisher = [[Standard Chartered]]
|access-date =18 November 2010}}</ref>

The constitution requires the governor of the islands to seek the approval of a [[Secretary of State (United Kingdom)|British Secretary of State]] before assenting to any bill that affects "''the currency of the Falkland Islands or relating to the issue of banknotes''" or any bill that establishes "''any banking association or altering the constitution, rights or duties of any such association''".<ref>{{cite web
|url = http://www.falklands.gov.fk/assembly/documents/The%20Falkland%20Islands%20Constitution%20Order%202008.pdf
|title = The Falkland Islands Constitution Order 2008
|publisher = The Queen's Most Excellent Majesty in Council
|date = 5 November 2008
|access-date = 18 November 2010
|url-status = dead
|archive-url = https://web.archive.org/web/20091123063145/http://www.falklands.gov.fk/assembly/documents/The%20Falkland%20Islands%20Constitution%20Order%202008.pdf
|archive-date = 23 November 2009
}}</ref> These restrictions effectively give the British Government the ability to prevent the island's government from declaring the islands to be a tax haven or from establishing a central bank.

==Agriculture==
Farmland accounts for a little over 80% of the Falklands land area<ref name=Farms>{{Cite web
|url=http://www.agriculture.gov.fk/publications/farming_statistics/2008-2009.pdf
|title=Biennial Report 2008/9
|publisher=Falklands Island Government Department of Agriculture
|date=31 May 2009
|access-date=18 April 2010
|url-status=dead
|archive-url=https://web.archive.org/web/20110720200043/http://www.agriculture.gov.fk/publications/farming_statistics/2008-2009.pdf
|archive-date=20 July 2011
}}</ref> and a sheep appears on the islands' [[coat of arms]], but agriculture is now less than 2% of the economy.{{r|overview}} {{asof|2007}}, 670,000 sheep resided on the islands;{{r|herbert20070118}} a 2011 report estimated the sheep population at over one million.<ref>[http://www.thecattlesite.com/articles/2948/farming-in-the-falklands Farming In The Falklands], 29 November 2011.</ref>
Roughly 40%  of the national flock are on West Falkland and 60% on East Falkland.<ref name=Farms/> The base flock are [[Corriedale (sheep)|Corriedale]] and [[Polwarth (sheep)|Polwarth]] breeds with [[Merino|Dohne Merino]], South African Meat Merinos, [[Afrino_sheep|Afrinos]] and other breeds having been introduced to improve the fineness of wool and meat characteristics.<ref>{{Cite web
 |url          = http://www.agriculture.gov.fk/pdf_files/agricultural_booklet.pdf
 |title        = Agriculture in the Falkland Islands [pamphlet]
 |publisher    = Falklands Island Government Department of Agriculture
 |access-date   = 2 June 2010
 |archive-url  = https://web.archive.org/web/20100714191741/http://www.agriculture.gov.fk/pdf_files/agricultural_booklet.pdf
 |archive-date = 14 July 2010
 |url-status     = dead
}}</ref> The wool price suffered a slump in 2005/6 and a peak in 2008. Since 2003 the relative premium commanded by higher quality wool has increased with coarser wool missing out on the high prices in 2008. A summary of the prices for the period 2002 to 2010, which are often dictated by Australian exchange rate and weather conditions<ref>{{cite magazine
|url= http://www.agriculture.gov.fk/publications/wool_press/2007/july_2007.pdf
|archive-url=https://web.archive.org/web/20110720195557/http://www.agriculture.gov.fk/publications/wool_press/2007/july_2007.pdf
|archive-date=2011-07-20
|magazine=The Wool Press
|title=Australian Wool Price Boost
|last= Hall
|first= Robert
|publisher=Falkland Islands Department of Agriculture
|date=July 2007
|volume=211
|page=15
|access-date=2 June 2010}}</ref> is shown below:<ref>{{cite magazine
|url= http://www.agriculture.gov.fk/publications/wool_press/2010/may_2010.pdf
|archive-url=https://web.archive.org/web/20110720200116/http://www.agriculture.gov.fk/publications/wool_press/2010/may_2010.pdf
|archive-date=2011-07-20
|magazine=The Wool Press
|title=Wool Price Trend Over Time Graph
|publisher=Falkland Islands Department of Agriculture
|date=July 2007
|volume=244
|page=12
|access-date=2 June 2010}}</ref>
{| class="wikitable" style="text-align: center;"
|- bgcolor="#efefef"
!Fibre diameter
!Minimum price ([[Penny (British decimal coin)|p]]/kg)
!Maximum price ([[Penny (British decimal coin)|p]]/kg)
|-
|32 [[Micrometre|microns]]
|130 (2007)
|210 (2003)
|-
|28 [[Micrometre|microns]]
|180 (2006)
|280 (2003)
|-
|24 [[Micrometre|microns]]
|255 (2006)
|530 (2010)
|-
|20 [[Micrometre|microns]]
|290 (2005)
|590 (2010)
|-
|}

Although the production of wool is spread across the islands, the breeding of animals for slaughter is concentrated on East Falkland where the EU accredited Send Bay abattoir is situated.<ref>{{Cite web
 |url          = http://www.falklands-meat.com/index.htm
 |title        = Home Page
 |publisher    = Falkland Islands Meat Company
 |access-date   = 2 June 2010
 |archive-url  = https://web.archive.org/web/20110203090309/http://www.falklands-meat.com/index.htm
 |archive-date = 3 February 2011
 |url-status     = dead
}}</ref> An additional cost borne by producers on West Falklands is the fare charged for crossing the [[Falklands Sound]].  As of 2010, the ferry company making the crossing charged commercial vehicles £30 per metre for a single trip plus £2 per head of sheep. Wool on the other hand is charged "£45 per tonne delivered to Stanley".<ref>{{Cite web|url=http://www.workboat.co.fk/downloads/2010CBFares.pdf |title=Concordia Bay -Tariffs 2010 |publisher=Workboat Services Ltd |access-date=18 July 2010 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}</ref>

An increasing number of farmers are supplying lamb to the Falkland Islands Meat Company. The abattoir received export accreditation in December 2002 and began exporting meat in May 2003.<ref>{{Cite web |url=http://www.falklands.gov.fk/Agriculture.html |title=The Falkland Islands Government - Agriculture |year=2009 |publisher=Falkland Islands Government |access-date=31 July 2010 |archive-url=https://web.archive.org/web/20101216190957/http://www.falklands.gov.fk/Agriculture.html |archive-date=16 December 2010 |url-status=dead }}</ref> The number of farms supplying lambs increased from 6 in 2003 to 27 in 2007 while the number of lambs sent to the abattoir rose from 2600 to 11,963 in the same period.<ref>{{Cite web
 |url          = http://www.agriculture.gov.fk/publications/wool_press/2007/july_2007.pdf
 |title        = Is there money in lamb?
 |last       = Judd
 |first       = Neil
 |date         = July 2007
 |work         = The Wool Press, Vol. 211
 |page         = 3
 |publisher    = Department of Agriculture, Falkland Islands Government
 |access-date   = 29 July 2010
 |archive-url  = https://web.archive.org/web/20110720195557/http://www.agriculture.gov.fk/publications/wool_press/2007/july_2007.pdf
 |archive-date = 20 July 2011
 |url-status     = dead
}}</ref>

Selected statistics for the year 2008/9 relating to sheep farming are given below:
{| class="wikitable" style="text-align: center;"
|- bgcolor="#efefef"
!Region
!Area used for sheep (hectares)
!Number of sheep
!Sheep slaughtered
!Wool clipped (kg)
!Average fleece (kg)
!Greasy wool yield (kg/hectare)
|-
|East&nbsp;Falkland
|612,935
|292,917
|22,023
|923,632
|3.69
|1.86
|-
|West&nbsp;Falkland
|425,592
|182,741
|7,839
|602,618
|3.60
|1.54
|-
|Islands
|85,458
|28,962
|4,197
|110,595
|4.55
|1.69
|-
|Total
|1,123,985
|504,620
|34,059
|1,636,845
|3.95
|1.70
|-
|}

There are also a small number of cows, pigs and horses on the islands that are reared for local use.<ref name=Farms/>

==Fishing==
{{main|Fishing in the Falkland Islands}}
[[File:Chapkanov-Saint-Nicholas.jpg|thumb|right|Metal icon depicting [[Saint Nicholas|St Nicholas]], the patron saint of [[fishermen]].  The [[icon]] is located at the premises of the Falklands Legislative Assembly at Gilbert House in Stanley, Falkland Islands]]
[[File:FalklandEconomicZone.png|thumb|right|Map of the Falkland Islands economic zone in relation to her neighbours]]
Fishing is the largest part of the economy.{{r|herbert20070118}} Although Lord Shackleton's Report (1982) recommended the setting up of a {{convert|200|nmi|adj=on}} fisheries limit which gave an impetus to the fishing industry, the report did not go into much detail regarding the expansion of the industry.<ref>{{Cite web
|url = https://api.parliament.uk/historic-hansard/commons/1982/dec/08/falkland-islands-shackleton-report
|title = Falkland Islands (Shackleton Report)
|publisher = Hansard - HC Deb 8 December 1982 vol 33 cc851-60
|access-date = 17 June 2010
|archive-date = 17 July 2009
|archive-url = https://web.archive.org/web/20090717095554/http://hansard.millbanksystems.com/commons/1982/dec/08/falkland-islands-shackleton-report
|work = [[Hansard|Parliamentary Debates (Hansard)]]
|date = 8 December 1982
|url-status = live
}}</ref> The Falkland Islands Development Corporation which formed as a result of the Shackleton Report provided the impetus for the Falkland Islands to exploit their marine environment.

===Fishing grounds===
The Falkland Islands' fishing waters form part of the 2.7 million square kilometre Patagonian Shelf large marine ecosystem and are located on a spur from the Patagonian Continental Shelf.<ref>{{cite web
 |url=http://www.eoearth.org/article/Patagonian_Shelf_large_marine_ecosystem 
 |title=Patagonian Shelf large marine ecosystem 
 |publisher=The encyclopedia of Earth 
 |access-date=21 December 2010 
 |url-status=dead 
 |archive-url=https://web.archive.org/web/20100612224612/https://eoearth.org/article/Patagonian_Shelf_large_marine_ecosystem 
 |archive-date=12 June 2010 
}}</ref>
Most of the fishing takes place in water up to {{convert|200|m}} deep on this spur or on the [[Burdwood Bank]] - another spur lying on an [[undersea ridge]] to the south of the Falkland Islands and separated from the islands by a deep channel known as the Falklands Trough. At its highest point, the Burdwood Bank is {{convert|46|m}} below sea level.

The principal ocean currents in the Falkland Island waters are the [[West Wind Drift]], a cold current from the Southern Pacific Ocean that flows westwards to the south of the Burdwood Bank<ref>{{cite web |author=Smith, Ryan |author2=Desflots, Melicie |author3=White, Sean |author4=Mariano, Arthur J. |author5=Ryan, Edward H. |title=The Antarctic CP Current |work=Ocean Surface Currents |url=http://oceancurrents.rsmas.miami.edu/southern/antarctic-cp.html |access-date=21 December 2010 |archive-date=14 June 2010 |archive-url=https://web.archive.org/web/20100614102611/http://oceancurrents.rsmas.miami.edu/southern/antarctic-cp.html |url-status=dead }}</ref> and the north flowing cold Falklands current, an offshoot of the West Wind Drift that curls around the east of Falklands Plateau and along the Falklands and Patagonian escarpments.<ref>{{cite web
 |url          = http://oceancurrents.rsmas.miami.edu/atlantic/malvinas.html
 |title        = The Malvinas Current
 |work         = Ocean Surface Currents
 |author       = Gyory, Joanna
 |author2      = Mariano, Arthur J.
 |author3      = Ryan, Edward H.
 |access-date  = 21 December 2010
 |archive-date = 8 October 2014
 |archive-url  = https://web.archive.org/web/20141008025352/http://oceancurrents.rsmas.miami.edu/atlantic/malvinas.html
 |url-status   = dead
}}</ref> It joins the saltier warm [[Brazil Current]] in the vicinity of the mouth of the [[Río de la Plata]] to form the [[South Atlantic Current]].<ref>{{cite web
 |url          = http://oceancurrents.rsmas.miami.edu/atlantic/brazil.html
 |title        = The Brazil Current
 |author       = Bischof, Barbie
 |author2      = Rowe, Elizabeth
 |author3      = Mariano, Arthur J.
 |author4      = Ryan, Edward H.
 |work         = Ocean Surface Currents
 |year         = 2004
 |access-date  = 21 December 2010
 |archive-date = 11 November 2020
 |archive-url  = https://web.archive.org/web/20201111213519/http://oceancurrents.rsmas.miami.edu/atlantic/brazil.html
 |url-status   = dead
}}</ref><ref>{{cite web
|url = https://www.bbc.co.uk/news/science-environment-11867162
|title = Goce gravity mission traces ocean circulation
|publisher = BBC News - Science and Environment
|date = 21 December 2010
|access-date =21 December 2010}}</ref><ref>{{cite web
|url = http://www.globmaritime.com/technical-articles/marine-navigation/oceanography/171-about-atlantic-ocean-currents.html
|title = About Atlantic Ocean Currents
|author = Lại Trường Thọ
|publisher = Social Network GlobMaritime
|access-date = 21 December 2010
|archive-url = https://web.archive.org/web/20110711113637/http://www.globmaritime.com/technical-articles/marine-navigation/oceanography/171-about-atlantic-ocean-currents.html
|archive-date = 11 July 2011
|url-status = dead
}}</ref>

In 1986 the Falklands opened up their fishing industry to outsiders with the declaration of a {{convert|160|nmi|adj=on}} radius Fisheries Conservation & Management Zone centered on the [[Falkland Sound]].  This zone was later to become the Falklands Inner Conservation Zone (FICZ). Apart from the Falkland Trough, this zone lies within the continental shelf. In 1990 the Falklands Outer Conservation Zone (FOCZ) was declared – a zone that lay between the perimeter of the FICZ and the Falklands 200-nautical-mile economic zone boundary.  The FOCZ includes part of the Burdwood Bank, borders on the confines of the continental shelf and includes part of the Falklands Escarpment - a {{convert|2000|m|adj=on}} undersea escarpment running east–west.

At the same time that the FOCZ was declared, the Argentine declared its 200-nautical-mile Exclusive Economic Zone (EEZ) and together with the British Government (acting on behalf of the Falkland Islands) set up the South Atlantic Fisheries Commission (SAFC) to coordinate the management of fishing stocks in the area.<ref>{{Cite web
|url = http://www.fis.com/falklandfish/html/management.html
|title = Management
|publisher = Falkland Islands Government Fisheries Department
|access-date = 14 June 2010
|archive-date = 12 May 2010
|archive-url = https://web.archive.org/web/20100512160018/http://www.fis.com/falklandfish/html/management.html
|url-status = dead
}}</ref>

===Fish stocks===
{| class="infobox" style="padding: 0; text-align: center; width: 0" 
! colspan="2" style="background:#ccf;" collapse="yes"|{{nowrap|Tonne / ton conversion}}
|-
|
{| style="border: 1px #aaa solid" 
|align="right"| 1&nbsp;tonne
|align="left"|= 1000&nbsp;kg
|-
|align="right"|1&nbsp;tonne
|align="left"|= 0.984&nbsp;long&nbsp;tons
|-
|align="right"|1&nbsp;tonne
|align="left"|=&nbsp;1.102&nbsp;short&nbsp;tons
|-
|align="right"| 1&nbsp;tonne
|align="left"|= 2204&nbsp;lbs
|}
|}
Most of the fish that are harvested in the Falkland Islands waters are either squid or finfish. Other types of fish form an insignificant part of the Falkland Islands' catch. A significant number of the fish that are taken are migratory with the spawning grounds and feeding grounds of some species being highly dependent on the water temperature.

====Squid====
The [[Argentine Shortfin Squid|Illex squid]] (''Illex argentinus'') which typically has a mantle length of {{convert|20|to|28|cm|in|0}} and a weight of {{convert|150|to|500|g|oz|0}} is the most important fish to the Falklands economy followed by its smaller cousin, the [[Doryteuthis gahi|Patagonian squid]] (''Doryteuthis gahi'') which typically has a mantle length of {{convert|10|to|15|cm|in|0}} and a weight of {{convert|75|to|150|g|oz|0}}.<ref name=FishReport/> Neither species was discovered in substantial numbers near the Falklands until the late 1980s.<ref name="herbert20070118">{{cite news | url=https://www.independent.co.uk/news/uk/this-britain/wanted-holiday-rep-to-sell-joys-of-falklands-tourism-432581.html | archive-url=https://web.archive.org/web/20150903223832/http://www.independent.co.uk/news/uk/this-britain/wanted-holiday-rep-to-sell-joys-of-falklands-tourism-432581.html | url-status=dead | archive-date=3 September 2015 | title=Wanted: holiday rep to sell joys of Falklands tourism | work=[[The Independent]]| date=18 January 2007 | access-date=10 August 2012 | author=Herbert, Ian}}</ref>

The lllex squid has its spawning grounds at the mouth of the [[Río de la Plata]] and a migratory pattern that takes it southwards along the Patagonian Shelf as far as the FICZ to its feeding grounds.  It then returns to its spawning grounds via a route that lies off the continental shelf.<ref>{{Cite web
 |url          = http://www.falklands.gov.fk/forum2007_new//documents/w280d320.ppt
 |title        = The Offshore Fishery; balancing commercial activities & conservation
 |publisher    = Falklands Fisheries
 |last       = Barton
 |first       = John
 |date         = 18 April 2007
 |access-date   = 17 June 2010
 |archive-url  = https://web.archive.org/web/20110419093332/http://www.falklands.gov.fk/forum2007_new/documents/w280d320.ppt
 |archive-date = 19 April 2011
 |url-status     = dead
}}</ref> In some years, such as 2007, it enters the FICZ with a resultant good harvest, it other years, such as 2009, it does not migrate as far south as the FICZ at all.<ref name=FishReport>{{Cite web
|url = http://fis.com/falklandfish/FisheriesBulletin14.pdf
|title = Fisheries Department Fisheries Statistics, Volume 14, 2009
|publisher = Falkland Islands Government
|year = 2010
|access-date = 14 June 2010
|archive-date = 23 December 2010
|archive-url = https://web.archive.org/web/20101223211237/http://www.fis.com/falklandfish/FisheriesBulletin14.pdf
|url-status = dead
}}</ref> The catch for the 2010 season in the Falklands recovered to 12105&nbsp;tonnes, but still the fourth lowest since the beginning of the licensing system.  This has been attributed to the lower than usual sea temperatures during the feeding season in February–May.<ref>{{Cite web
|url=http://fis.com/fis/people/index.asp?article_id=35&l=e
|title=Illex 2010: the case for improved conservation
|author=Dr. Alexander Arkhipkin
|publisher=Fisheries Information & Services
|access-date=5 July 2010
|archive-date=22 September 2010
|archive-url=https://web.archive.org/web/20100922142352/http://fis.com/fis/people/index.asp?l=e&article_id=35
|url-status=dead
}}</ref>

The Patagonian squid, unlike the Illex, remain in Falkland Island waters all year and are concentrated in the ''Loloigo box''—an area within the Falklands Plateau to the east and south-east of the islands and are harvested during both the austral spring and autumn.

====Finfish====
In the 1970s many fin fish, particularly the rock cod, a high volume low value fish<ref>{{Cite web
|url = http://www.sartma.com/art_7746.html
|title = B17. Southern Ocean
|last = Shotton
|first = Ross
|publisher = FAO
|access-date = 18 June 2010
|archive-date = 16 July 2011
|archive-url = https://web.archive.org/web/20110716065328/http://www.sartma.com/art_7746.html
|url-status = dead
}}</ref> were exploited to near-extinction.  The levels of rock cod taken in the whole of the South Atlantic dropped by 99.3% in the space of two years between the 1969–70 and 1971–72 seasons.<ref name=figures>399,700&nbsp;tonnes in 1969–70, 101,560&nbsp;tonnes in 1970–71, 2,740&nbsp;tonnes in 1971–72.</ref><ref name=lighthouse>{{Cite web
 |url        = ftp://ftp.fao.org/docrep/fao/007/y5852e/Y5852E17.pdf
 |title      = Regional Reviews: B17 - Southern Oceans
 |publisher  = FAO Fisheries Technical Paper 457
 |access-date = 18 June 2010
}}{{Dead link|date=November 2018 |bot=InternetArchiveBot |fix-attempted=yes }}</ref> while the patagonian rockcod was fished to near-extinction in the Shag Rock area.<ref>{{Cite web
 |url          = http://www.alternative-solution.org/index.php?id=90&L=1
 |title        = Large-scale commercial marine harvesting
 |publisher    = Lighthouse Foundation - Foundation for the seas and oceans
 |access-date   = 30 June 2010
 |archive-url  = https://web.archive.org/web/20110725000703/http://www.alternative-solution.org/index.php?id=90&L=1
 |archive-date = 25 July 2011
 |url-status     = dead
}}</ref> This resulted in a ban on fishing which was lifted in 2005.  Following the collapse of the Illex industry in 2008/9, the rock cod has become, by weight, the most heavily harvested species in the area.

In 2006, a Spanish vessel on an exploratory trawl found commercial quantities of grenadiers (''Macrourus spp., Coelorhynchus spp.'') to the south and east of the Falkland Islands at depths between {{convert|750|and|830|m}} depths in the eastern part of FICZ. It has been estimated that this species needs a stock biomass of 40000&nbsp;tonnes to produce a sustainable harvest of 3000&nbsp;tonnes per annum and is now reflected as a separate entry in the tables below.<ref>{{Cite web
|url = http://fis.com/falklandfish/FisheriesBulletin11.pdf
|title = Fisheries Department Fisheries Statistics, Volume 11, 2006
|publisher = Falkland Islands Government
|year = 2007
|access-date = 15 June 2010
|archive-date = 11 July 2011
|archive-url = https://web.archive.org/web/20110711005347/http://fis.com/falklandfish/FisheriesBulletin11.pdf
|url-status = dead
}}</ref>

===License quota policy and revenue===
With the establishment of the FICZ, the Falklands Fisheries Department issued licences that enable foreign vessels to fish in Falklands waters.  Initially there were seven classes of licence, but as of the 2009 season, this was increased to ten classes of licence.  Each class of licence has its own characteristics – species or combination of species that may be taken, net sizes that may be used and seasons when the licence is valid. The main fishing areas are in waters that are up to {{convert|200|m}} deep with principal concentrations close to the confluence of the FOCZ, FICZ and EEZ to the north west of the Islands and also on the Burwood Bank – a shallow water to the south of the Islands.<ref name=FishReport/> Initially licences were issued on a total allowable effort (TAE) but in 2007, the toothfish longline fishery became the first fishery in the Falkland Islands to be issued on a total allowable catch (TAC) basis.<ref name=FishReport/>
Apart from the Islander's own fleet, the principal fishing fleets come from [[Spain]], [[South Korea|Korea]] and [[Taiwan]].  When the Falkland Islands first opened up her waters, the [[Poland|Polish]] fishing fleet had a presence as did the [[Japan]]ese, but the Poles stopped fishing in the area in the mid-1990s and the Japanese in the middle of the first decade of the twenty-first century.<ref name=FishReport/> By 2002 the license revenue was so great that the island government had no debt and had built up more than £80 million in savings.{{r|browne20020317}}

Since 1993, the principal licence classes have been:
*A licence – Permits the taking of unrestricted fin fish during the first season
*B licence – Permits the taking of ''Illex'' squid.
*X licence – Permits the taking of Patagonian squid during the second season (''Loligo'').
*Y licence – Permits the taking of unrestricted fin fish during the second season (The Southern blue whitting and the Hoki in particular are classed as restricted finship).

'''Revenue from licence fees (£ millions)'''<ref name=FishReport/>
{| class="wikitable" style="text-align: center;"
|- bgcolor="#efefef"
!Licence type
!1989–1993<br>(Average)
!1994–1998<br>(Average)
!1999–2003<br>(Average)
!2004–2008<br>(Average)
!2009
!Average<br>1989–2009
|-
|B
|19.91
|12.45
|13.60
|4.09
|0.00
|11.92
|-
|X
|3.77
|3.58
|3.67
|1.70
|1.94
|3.12
|-
|Y
|0.80
|2.08
|1.80
|3.07
|4.24
|2.05
|-
|Others
|1.70
|3.67
|4.87
|4.65
|4.67
|3.76
|-
|Total
|26.18
|21.78
|23.93
|13.51
|10.85
|20.85
|}

===International cooperation===
The [[Antarctic Treaty System|Antarctic Treaty]] was signed by both the United Kingdom and Argentina in 1959.  In its wake, the [[Convention for the Conservation of Antarctic Marine Living Resources|Convention for the Conservation of Antarctic Marine Living Resources (CCAMLR)]], a treaty signed by 24 nations and covering the area that includes most of the Falkland Islands waters, came into force in 1982,<ref>{{Cite web
 |url=http://www.ccamlr.org/pu/e/gen-intro.htm 
 |title=General Introduction 
 |publisher=Conservation of Antarctic Marine Living Resources (CCAMLR) Secretariat 
 |access-date=5 July 2010 
 |url-status=dead 
 |archive-url=https://web.archive.org/web/20120222175430/http://www.ccamlr.org/pu/e/gen-intro.htm 
 |archive-date=22 February 2012 
}}</ref> having been signed by the United Kingdom on 31 August 1981 and Argentina on 28 May 1982.<ref>{{Cite web
|url = http://www.unep.org/regionalseas/programmes/independent/antarctic/instruments/r_profile_antic.pdf
|title = Antarctic Region
|publisher = United Nations Environment Protection
|access-date = 30 June 2010
|archive-date = 31 December 2010
|archive-url = https://web.archive.org/web/20101231180915/http://www.unep.org/regionalseas/programmes/independent/antarctic/instruments/r_profile_antic.pdf
|url-status = dead
}}</ref> The convention covers Southern Ocean ecosystem which is generally accepted as being south of approximately 50° to 55°S. The CCAMLR provides a forum for exchanging information regarding marine life in the Antarctic region and has the authority to ban the harvesting of certain type of fish and also to ban or put restrictions on the use of certain methods of harvesting. The convention requires that member states who are not parties to the Antarctic Treaty accept certain provisions of that treaty.<ref>{{Cite web
 |url=http://www.ccamlr.org/pu/e/e_pubs/bd/pt1.pdf 
 |title=Text of the convention on the conservation of Antarctic marine living resources 
 |date=20 May 1980 
 |access-date=5 July 2010 
 |url-status=dead 
 |archive-url=https://web.archive.org/web/20100505214806/http://www.ccamlr.org/pu/E/e_pubs/bd/pt1.pdf 
 |archive-date=5 May 2010 
}}</ref>

The South Atlantic Fisheries Commission (SAFC) was set up in 1990 between the Argentine and the United Kingdom (acting on behalf of the Falkland Islands) to exchange information and to coordinate fishing activities in the South Atlantic.  One of their prime activities was the monitoring of the Illex spawning stock biomass (SSB). If the SSB drops below a threshold of 40000&nbsp;tonnes the SAFC recommend will early closure of the fishing season.<ref name="Dr. Alexander Arkhipkin">{{Cite web
|url = http://fis.com/fis/people/index.asp?article_id=35&l=e
|title = Illex 2010: the case for improved conservation
|author = Dr. Alexander Arkhipkin
|publisher = Fish Information and Services
|date = 8 June 2010
|access-date = 16 June 2010
|archive-date = 22 September 2010
|archive-url = https://web.archive.org/web/20100922142352/http://fis.com/fis/people/index.asp?l=e&article_id=35
|url-status = dead
}}</ref> Since 2005 the SAFC has been largely moribund as the Argentine Government reduced co-operation, declining to continue the routine joint meeting process and suspending joint scientific activities.<ref name="Dr. Alexander Arkhipkin"/> She has since extended her claim to all of the Falkland Island waters.<ref>{{Cite web
|url=http://www.dur.ac.uk/resources/ibru/south_atlantic_maritime_claims.pdf
|title = Claims and potential claims to maritime jurisdiction in the South Atlantic and Southern Oceans by Argentina and the UK
|publisher = International Boundaries Research Unit, Durham University
|date = 10 June 2010
|access-date =26 June 2010}}</ref>

===Catch statistics===
The table below shows the average catch in tonnes of various species (as categorised by FIFD - Falkland Island Fisheries Department) for successive five-year periods.<ref name=FishReport/>

{| class="wikitable" style="text-align: center;"
|- bgcolor="#efefef"
!Common Name
!Scientific name
!Type
!Season
!1989–1993 <br> (Average)
!1994–1998 <br> (Average)
!1999–2003 <br> (Average)
!2004–2008 <br> (Average)
!2009
|-
|[[Pseudophycis|Red cod]]
|''Salilota australis''
|Fin
|Feb–Nov
|4350
|6564
|4932
|3598
|5079
|-
|[[Southern blue whiting]]
|''Micromesistius australis''
|Fin
|Sep–Mar
|45053
|31834
|24675
|20309
|10395
|-
|[[Illex argentinus|Argentine shortfin squid]]
|''Illex argentinus''
|Squid
|Mar–Jun
|161277
|89120
|144665
|72656
|44
|-
|[[Genypterus capensis|Kingklip]]
|''Genypterus blacodes''
|Fin
|Feb–Nov
|1274
|1635
|1720
|2483
|3395
|-
|[[Loligo|Patagonian squid]]
|''Loligo gahi''
|Squid
|Feb–Apr<br>Jul–Sep
|78238
|60646
|44811
|44595
|31475
|-
|[[Martialia hyadesii|Sevenstar flying squid]]
|''Martialia hyadesii''
|Squid
|
|36
|2003
|52
|5
|0
|-
|[[Argentine hake]]<br>[[Merluccius australis|Southern hake]] (or austral hake)<ref>Between 1990 and 2005, common hake and austral hake were categorised as ''Merluccius spp''.  From 2006 onwards they have been categorised as separate species -  ''Merluccius hubbsi'' and ''Merluccius Australis''</ref>
|''Merluccius hubbsi''<br>''Merluccius australis''
|Fin
|Mar–Oct
|8448
|2003
|2583
|7763<br>690
|13051<br>0
|-
|[[Skate (fish)|Skates and rays]]
|''Rajidae''
|Skate & ray
|Apr–Dec
|5361
|3769
|4060
|5009
|5865
|-
|[[Patagonian toothfish]]
|''Dissostichus eleginoides''
|Fin
|All year
|546
|1806
|2112
|1640
|1419
|-
|[[Macruronus|Patagonian grenadier]]
|''Macruronus magellanicus''
|Fin
|Feb–Nov
|9612
|14973
|21770
|18992
|23170
|-
|[[Macrouridae|Grenadier]]<ref name=others>Was categorised as "others" until the end of 2005.</ref>
|''Macrouridae''
|Fin
|
|
|
|
|787
|958
|-
|[[Patagonotothen|Patagonian rockcod]]<ref name=others/>
|''Patagonotothen brevicauda brevicauda''
|Fin
|
|
|
|
|46986
|58149
|-
|[[Scallop]]
|''Zygochlamys patagonica''
|Mollusc
|
|
|
|273
|764
|13
|-
|Other
|
|
|All year
|2285
|1662
|2749
|3706
|246
|-
|Total
|
|
|
|316479
|215632
|254284
|203182
|153258
|}

==Tourism==
Tourism is the second-largest part of the economy. In 1982, an average of only 500 tourists visited the Falklands per annum but by 2007, this figure had grown to 55,000<ref>{{cite web 
 |url=http://www.falklands.gov.fk/documents/Falklands%20Focus%20Issue%2081,%20July%2007.pdf 
 |title=Falkland Focus - News from the Falkland Island Government 
 |date=July–August 2007 
 |access-date=29 December 2010 
 |url-status=dead 
 |archive-url=https://web.archive.org/web/20120308122026/http://www.falklands.gov.fk/documents/Falklands%20Focus%20Issue%2081%2C%20July%2007.pdf 
 |archive-date=8 March 2012 
 }}</ref> and the Falkland Islands Tourist Board<ref name=FIG/> hired its first tourism director that year.{{r|herbert20070118}} In 2010, the transport and hospitality sector was expected to contribute £7.8 million or 7.7% of the island's GDP.<ref name=overview/> Tourism forms a significant part of this figure with land-based visitors expected to contribute £2.7 million to the Islands' economy in 2010.<ref name=merco>{{Cite news
 |url        = http://en.mercopress.com/2010/04/08/falklands-tourism-ready-for-brighter-future-after-challenging-year
 |title      = Falklands tourism ready for brighter future after challenging year
 |newspaper  = Merco Press
 |date       = 8 April 2010
 |access-date = 27 July 2010
}}{{Dead link|date=July 2018 |bot=InternetArchiveBot |fix-attempted=yes }}</ref> The islands have become a regular port of call for the growing market of [[cruise ship]]s to [[Tourism in Antarctica|Antarctica]] and elsewhere in the South Atlantic.<ref name="browne20020317">{{cite news | url=https://www.theguardian.com/world/2002/mar/17/uk.falklands?INTCMP=ILCNETTXT3487 | title=Falkland Islands millionaires reap the war dividend | work=[[The Observer]]| date=17 March 2002 | access-date=15 July 2012 | author=Browne, Anthony}}</ref> Attractions include the scenery and wildlife conservation including 1,000,000 [[penguin]]s,{{r|herbert20070118}} seabirds, [[pinniped|seals]], and [[sea lion]]s, as well as visits to battlefields, [[golf]], fishing and [[wreck diving]]. In addition to accommodation in [[Stanley, Falkland Islands|Stanley]], there are tourist lodges at [[Port Howard]], [[Darwin, Falkland Islands|Darwin]], [[Pebble Island]], [[Carcass Island]], and [[Sea Lion Island]]. Self-catering accommodation at holiday cottages on island farms.  The total contribution of tourism to the Islands' is expected to reach £5.4 million in 2010.<ref name=merco/>

During the 2008–2009 season almost 69,000 tourists visited the Falklands, with 62,600 of these arriving onboard cruise or expedition vessels.<ref name=FIG>{{Cite web
 |url          = http://www.falklands.gov.fk/Tourism.html
 |title        = Tourism is an important source of revenue to the Falkland Islands.
 |publisher    = Falkland Islands Government
 |access-date   = 27 July 2010
 |archive-url  = https://web.archive.org/web/20100716185855/http://www.falklands.gov.fk/Tourism.html
 |archive-date = 16 July 2010
 |url-status     = dead
}}</ref> Since cruise liners have their own accommodation, substantial numbers of tourists can be accommodated at once, such as an occasion in 2005 when 3000 tourists visited the islands in one day.<ref>{{Cite news
 |url=http://www.falklands.info/background/lifearticle31.html 
 |title=Four Seasons and more than 3,000 Tourists in One Day 
 |last=Jaffray 
 |first=Sharon 
 |newspaper=[[Penguin News]] 
 |date=22 April 2005 
 |url-status=dead 
 |archive-url=https://web.archive.org/web/20121104083101/http://www.falklands.info/background/lifearticle31.html 
 |archive-date=4 November 2012 
}}</ref> In 2013 passengers from cruise ships faced protests in Latin American ports over the British military presence.<ref>{{cite web| url = https://www.telegraph.co.uk/news/worldnews/southamerica/falklandislands/9780947/Falklands-Britain-condemns-luxury-cruise-intimidation-amid-fresh-protests.html| title = "Falklands: Britain condemns luxury cruise 'intimidation' amid fresh protests."}}</ref> The cruise industry is expecting passenger numbers to decline from 39,500 in 2013–2014 to 34,000 for 2014–2015. However land tourism is increasing which is offsetting the effect of a decrease in cruise tourism.<ref>{{cite news|title=Tourists flock to Falklands|access-date=18 April 2015|work=Daily Post|date=16 August 2014|url=http://www.thefreelibrary.com/Tourists%20flock%20to%20Falklands;%20Heading%20off%20to%20...%20Sorrento%20Big%20increase...-a0378652981}}</ref>

Other sources of "tourist" revenue include spending by the British military personnel based on the islands, by business travellers and by pilgrims to the graves of both British and Argentine soldiers who fell in the 1982 Falklands War. Although there is still a resentment in the Islands to the Argentine occupation, the Falkland Islands Government continues "''to respect the need for Argentine veterans of the 1982 conflict and their next of kin to visit the battlefield sites and the cemetery at Darwin''".  Such visits are arranged in conjunction with [[LAN Airlines]] (Chile) who, on such occasions, use larger aircraft than normal for the weekly flights.<ref>{{Cite web
|url=http://www.falklands.gov.fk/assembly/documents/Legislative%20Assembly%20Record%2026-28.05.09.pdf
|archive-url=https://web.archive.org/web/20100525051046/http://www.falklands.gov.fk/assembly/documents/Legislative%20Assembly%20Record%2026-28.05.09.pdf
|archive-date=2010-05-25
|title=Record of The Budget Meeting of the Legislative Assembly held in Stanley on 26th and 28th May 2009
|date=May 2009
|access-date=27 July 2010}}</ref>

==Energy and minerals==

===Petroleum exploration===
{{Main|Falkland Islands oil}}

Four sedimentary basins that could potentially contain hydrocarbons have been identified in the Falkland Island waters.<ref>{{Cite web
|url = http://www.bgs.ac.uk/falklands-oil/regional_geology.html
|title = Regional geology
|publisher = Falkland Islands Government Department of Mineral Resources
|year = 2010
|access-date =3 September 2010}}</ref> They are:
*'''North Falkland Basin''' which is located to the north of the islands.
*'''Falklands Plateau Basin''' which is located to the east of the [[East Falkland]].
*'''South Falklands Basin''' which lies to the south-east of the islands and extends up to the Falklands Trough.
*'''Malvinas Basin''' which lies to the south-west of [[West Falkland]], between that island and [[Tierra del Fuego]] at the head of the Falklands Trough.  Part of this basin lies in Argentine waters.
The latter three basins are part of a larger contiguous formation.

In May 2015 oil was discovered in [[Isobel deep]] by a consortium of oil companies including [[Falkland Oil & Gas]], [[Premier Oil]], and [[Rockhopper Exploration|Rockhopper Oil & Gas]].<ref>http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/12367637.html {{Webarchive|url=https://web.archive.org/web/20150706102723/http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/12367637.html |date=6 July 2015 }} [[London Stock Exchange]]</ref><ref>http://www.rigzone.com/news/oil_gas/a/138815/Oil_Discovered_at_Isobel_Deep Rig Zone</ref><ref>http://subseaworldnews.com/2015/05/12/fogl-isobel-deep-bop-fixed/ {{Webarchive|url=https://web.archive.org/web/20150531122733/http://subseaworldnews.com/2015/05/12/fogl-isobel-deep-bop-fixed/ |date=31 May 2015 }} Subsea World News</ref> In 2023, Rockhopper (working with Tel Aviv-listed Navitas Petroleum) indicated that it had been presented with a new development plan for its Sea Lion project that aimed to cut costs and proceed in phases. It was stated that: "If realized, the new plan — with a total price tag of $2.2 billion — could lead to 80,000 barrels per day of production (up to 100,000 b/d at peak) via a leased floating production, storage and offloading unit". A final investment decision was targeted for early 2024, though it experienced delays.<ref>{{cite web | url=https://www.energyintel.com/00000187-245b-dd7d-a597-377b8e9d0000 | title=Rockhopper, Navitas Look to Reboot Falklands Project |website=Energy Intelligence |last=Schmidt |first=Katherine  |date=27 March 2023 |accessdate=9 July 2023 }}</ref> 

A public consultation on the project took place in the summer of 2024 and was reported to have garnered widespread support from Falkland Islanders. Since Britain's newly elected [[Labour Party (UK)|Labour Government]] banned similar oil projects in the United Kingdom, this created the prospect for a potential conflict between the Falkland Island's government and the British government.  Nevertheless, the authority to approve oil development around the islands was said to rest solely with the Falkland Island's government.<ref>{{cite web | url=https://www.offshore-technology.com/news/uk-cant-stop-falklands-islands-extracting-oil-from-sea-lion-field/?cf-view | title=UK can’t stop Falkland Islands extracting million of barrels of oil |website=Offshore Technology |last=Pearcy |first=Ed  |date=30 September 2024 |accessdate=30 September 2024 }}</ref> In November 2024, the Falkland's government Executive Council indicated that, while the public consultation process had been successfully concluded, "some matters" related to the Environmental Impact Statement required "further discussion" and that any development and production program would need to be considered separately by the Executive Council.<ref>{{cite web | url=https://en.mercopress.com/2024/11/14/falklands-sea-lion-oil-development-area-eis-public-consultation-considered | title=Falklands, Sea Lion oil development area EIS public consultation considered |website=Merco Press  |date=14 November 2024 |accessdate=18 November 2024 }}</ref> 

Navitas Petroleum subsequently indicated that a final investment decision was delayed to mid-2025 with first oil not anticipated until late 2027, at the earliest. Although certified gross 2C recoverable oil resources had increased from 791 million bbls to 917 million bbls, phase 1 costs had increased to $1.4 billion.<ref>{{cite web | url=https://www.offshore-energy.biz/sea-lions-first-roar-pushed-back-as-costs-rise-to-1-4-billion-for-falkland-islands-oil-project/ | title=Sea lion’s first roar pushed back as costs rise to $1.4 billion for Falkland Islands’ oil project |website=Offshore Energy  |date=26 November 2024 |accessdate=1 December 2024 |last=Cavcic |first=Melisa }}</ref>

===Renewable energy sources ===

The islands have been investing in windpower – in 2010, three 330&nbsp;kW wind turbines were installed at Sand Bay, about {{convert|10|km|sigfig=1}} from Stanley on the opposite side of the valley from three turbines that were installed in 2007.  The island's government has plans to install a 2&nbsp;MWh [[battery storage]] system which will allow surplus wind energy to be stored.<ref>{{cite news
 |url        = http://www.windpowermonthly.com/search/articles/magazine/WPM,WPO/phrase/Falkland%20Islands/
 |title      = Falkland Islands – Three new Enercon turbines operating Staff
 |newspaper  = [[Windpower Monthly]]
 |date       = 1 June 2010
 |location   = London
 |access-date = 13 June 2010
}}{{Dead link|date=November 2018 |bot=InternetArchiveBot |fix-attempted=yes }}</ref>{{Update needed|date=May 2022}} The first three turbines resulted in a 20% reduction in the Stanley power station's fuel consumption and it was hoped that the second set of three turbines would double this figure. In parallel, there are on-going investigations into other forms of renewable energy for remote locations on the islands.<ref>{{cite web
 |url          = http://www.falklands.gov.fk/Renewable_Energy.html
 |title        = Renewable Energy
 |publisher    = Falkland Islands Government
 |access-date   = 13 June 2012
 |year         = 2009
 |archive-url  = https://web.archive.org/web/20120619034553/http://www.falklands.gov.fk/Renewable_Energy.html
 |archive-date = 19 June 2012
 |url-status     = dead
}}</ref>

==Transport in the Falkland Islands==
{{main|Transport in the Falkland Islands}}
The Falkland Islands currently has three primary means of transport - road, sea and air. There is now an international airport, a domestic airport, a number of airstrips, a growing road network and a much-improved ferry service between the two main islands.

==Philately and numismatics==
[[File:Falkland Islands 1 shilling 1952 stamp Gentoo Penguins.jpg|thumb|upright|1952 Falkland Islands stamp with Gentoo Penguins]]
In October 1877, the Secretary of State of the [[Colonial Office]], the [[Earl of Carnarvon]] began the process of application for the Falkland Islands to join the [[General Postal Union]] (renamed [[Universal Postal Union]] in 1879).  The first stamps, 1[[Old pence sterling|d]], 6d, and 1 [[shilling]] values featuring the usual profile of [[Queen Victoria]], were issued 19 June 1878. Since then the islands have [[Postage stamps and postal history of the Falkland Islands|issued their own stamps]], which are a source of revenue from overseas collectors. Between 2000 and 2008, the islands issued between six and eight sets of commemorative stamps.<ref>{{cite book
|title = Simplified Catalogue - Stamps of the World
|publisher = Stanley Gibbons
|year = 2010
|isbn = 978-0-85259-722-4}}</ref> The workload placed on the Falkland Islands Post Office by overseas collectors led to the establishments in 1978 of the Falkland Islands Philatelic Bureau.<ref>{{cite web
 |url          = http://www.falklandstamps.com/index.php?option=com_content&view=article&id=100
 |title        = Falkland Islands
 |publisher    = Falkland Islands Philatelic Bureau
 |access-date   = 29 December 2010
 |archive-url  = https://web.archive.org/web/20101223115208/http://www.falklandstamps.com/index.php?option=com_content&view=article&id=100
 |archive-date = 23 December 2010
 |url-status     = dead
}}</ref> The Bureau also handles philately-related sales on behalf of the governments of Government of [[South Georgia and the South Sandwich Islands]] and of the [[British Antarctic Territory]].

Coins and banknotes may only be issued by the Falkland Islands Government with the authorisation of the British Government.  Coins for local use were first struck in 1974 and are the same size as the corresponding British coins.  There is a flourishing business in the issue of commemorative coins struck on behalf of the Falkland Island Government for collectors – in particular the 2007 series of coins that commemorated the 25th anniversary of the liberation of islands attracted much attention.<ref>{{cite news  
|url = http://news.bbc.co.uk/1/hi/england/surrey/6706851.stm
|title = Thatcher strikes Falklands coin 
|work = BBC News
|date = 31 May 2007
|access-date =29 December 2010}}</ref> The Falkland Islands Government (FIG) is required to deposit 110% of the face value of any coins struck on its behalf into its currency fund,<ref name=NewCoin>{{cite web
 |url          = http://www.falklands.gov.fk/assembly/documents/197-10.pdf
 |title        = Commemorative Coin – Lifetime of Service
 |date         = 17 August 2010
 |publisher    = Executive Council of the Falkland Islands Government
 |access-date   = 31 December 2010
 |archive-url  = https://web.archive.org/web/20120118140540/http://www.falklands.gov.fk/assembly/documents/197-10.pdf
 |archive-date = 18 January 2012
 |url-status     = dead
}}</ref> thereby effectively backing the Falkland pound with the [[pound sterling]]. In the case of commemorative coins that are unlikely to be redeemed, this money represents a long-term investment.  In many cases the set-up and production costs are carried by the mint concerned, who pay the FIG a royalty on coins that it sells to collectors.<ref name = NewCoin/>

==See also==
{{Portal|Money}}
*[[Falkland Islands Company]]

==References==
{{Reflist}}

==External links==
*[https://web.archive.org/web/20120510052125/http://falklands.info/history/histarticle6.html Falkland Islands Development Corporation - Annual Report 1984]
*[https://web.archive.org/web/20120503205927/http://falklands.info/background/visitorsguide.html A Visitor's View of the Falkland Islands]
*[https://www.theguardian.com/falklands/story/0,,681229,00.html Share the Falklands] ''[[The Guardian]]''
*[https://web.archive.org/web/20121104083101/http://www.falklands.info/background/lifearticle31.html Four Seasons and more than 3,000 Tourists in One Day]
*[https://web.archive.org/web/20120510044827/http://falklands.info/background/lifearticle22.html "Falklands Experience" tours]
*[https://web.archive.org/web/20120517140441/http://falklands.info/factfile/tourism1.html Falklandsinfo: Welcome to our Spectacular Islands!]
*[https://www.theguardian.com/argentina/story/0,,1147979,00.html Britain sends minister to resolve Falklands air row with Argentina]
*[https://www.theguardian.com/fish/story/0,,1185207,00.html Guardian Unlimited - Special Reports - The Falklands' rise to riches]
*[https://gallery.mailchimp.com/2abe0425e0c8db5d48bd90c90/files/Statistic_Yearbook_2014_No_infographics_.pdf]

{{Falkland Islands topics}}
{{South America in topic|Economy of}}
{{EU Dependent economies|state=collapsed}}
{{British dependencies}}
{{British overseas territories}}

[[Category:Economy of the Falkland Islands| ]]