Rivermate | Chad flag

Chad

Comprehensive Country Overview

Explore the geography, history, and socio-economic factors shaping Chad

Country description

Chad is a landlocked nation located in north-central Africa, covering an area of 1.284 million square kilometers. It is bordered by Libya to the north, Sudan to the east, the Central African Republic to the south, Cameroon to the southwest, Nigeria to the west, and Niger to the west. The country's geography is characterized by three primary climatic zones: the Saharan Zone in the north, the Sahelian Zone in the center, and the Sudanian Zone in the south. Lake Chad, a critical water source for the region, has experienced significant shrinkage in recent decades due to climate change and water diversions for irrigation.

Historical Overview

The region that is now Chad has been inhabited for millennia, as evidenced by archaeological findings. The Sao Civilization, known for their intricate bronze artifacts, flourished near Lake Chad from approximately the 6th century BCE to the 16th Century CE. Over the centuries, Chad's territory was part of various powerful empires and kingdoms, including the Kanem-Bornu Empire, the Baguirmi Kingdom, and the Wadai Empire. In the early 20th century, Chad fell under French colonial rule, becoming part of French Equatorial Africa. Chad gained independence from France in 1960, but the years following independence were marked by protracted conflict and instability, including a decades-long civil war and clashes with neighboring Libya. Since the early 2000s, Chad has experienced a period of relative stability, despite ongoing challenges such as conflicts in neighboring countries and persistent internal tensions.

Socio-Economic Aspects

Chad has a young and rapidly growing population, estimated at around 17 million people. The population is diverse, with over 200 ethnic groups and more than 100 languages spoken throughout the country. The economy relies heavily on agriculture and oil production, with agriculture constituting a major source of employment and livelihood for most Chadians, and oil exports being a crucial source of revenue for the government. However, Chad consistently ranks amongst the poorest countries in the world, with significant development challenges including poverty, lack of infrastructure, limited access to healthcare and education, and food insecurity. Politically, Chad is a presidential republic, operating under a semi-presidential system. President Idriss Déby Itno governed the country from 1990 until his death in 2021. His son, Mahamat Idriss Déby Itno, currently leads a transitional government.

Workforce description

Chad's workforce is exceptionally young, with around 58% of the population being below 25 years old. This presents opportunities for a large labor pool but also challenges regarding employment and adequate training. There's a significant gender gap in labor force participation, with female participation being substantially lower than males. Approximately 80% of Chad's population resides in rural areas, indicating a strong dependence on agriculture as a primary economic activity.

Skill Levels

Chad faces challenges with low literacy rates and a lack of skilled workers. This stems from limited access to educational opportunities and inadequate vocational training programs. While formal education levels are low, the workforce in Chad does possess substantial traditional skills, predominantly in the agricultural and artisanal sectors.

Sectoral Distribution

Agriculture is the cornerstone of the Chadian economy, with over 80% of the workforce engaged in this sector. Primary activities include subsistence agriculture, livestock rearing, and fishing. Oil production has grown in recent years, generating employment in extraction, refining, and associated industries. However, this sector offers limited employment opportunities compared to the vast agricultural sector. A large portion of Chad's economy functions in the informal sector, which includes street vendors, small-scale traders, and domestic workers. Lack of regulation and social protection are characteristic of this sector.

Cultural norms impacting employment

In Chad, the cultural norms significantly impact the employment landscape. The country's family-centric culture often requires businesses to be flexible to accommodate employees' family obligations. The significant Muslim population also influences work schedules, with businesses often accommodating prayer times and religious holidays such as Ramadan.

A large portion of work in Chad takes place in the informal economy, which may blur the lines between work hours and personal time. Communication in the workplace is often indirect, with an emphasis on preserving harmony and avoiding open conflict. Non-verbal cues and reading between the lines are crucial in this context.

Respect for elders and those in positions of authority is a key aspect of Chadian society, and this extends to the workplace. French and Arabic are the official languages, and fluency or proficiency in one or both can provide a distinct advantage in the professional sphere.

Organizational Hierarchies

Chadian workplaces tend to be hierarchical, with clear distinctions in status and authority. Decision-making processes are often top-down, and building trust and cultivating personal relationships are essential for navigating workplace dynamics and conducting business.

Chadian society leans towards collectivism, with an emphasis on group harmony and consensus-driven decision-making over individual initiative.

Important Considerations

Cultural norms can vary between individuals and across different regions and ethnic groups within Chad. Building strong relationships with Chadians and engaging in open discussions are the best ways to gain insight into specific workplace dynamics and expectations.

Key industries and employment sectors

The oil sector is a significant contributor to Chad's economy, accounting for a substantial portion of export earnings and government revenue. The country started oil production in 2003 and is now a member of the Organization of the Petroleum Exporting Countries (OPEC). Major oil projects include the Doba Oil Project and the Chad-Cameroon Petroleum Development and Pipeline Project. Despite fluctuations in global oil prices, the sector remains a key economic driver.

Agriculture and Livestock

Over 75% of Chad's population relies on agriculture and livestock rearing for their livelihoods. Subsistence farming and livestock production are widespread activities. Main crops include cotton, sorghum, millet, peanuts, and sugarcane. Livestock, particularly cattle, plays a crucial role in the Chadian economy.

Traditional Non-Oil Exports

Cotton is a major cash crop and a primary non-oil export, supporting a large segment of the population. Chad is also a significant producer and exporter of gum arabic, a natural resin used in various industries. Sesame production serves as a supplementary source of income for many farmers.

Services Sector

The services sector is gradually growing but contributes less to the GDP compared to other sectors. Telecommunications and banking are areas with increasing foreign investment.

Emerging Economic Sectors

Mining (Gold)

Gold mining presents a potential area for economic growth and diversification with exploration activities ongoing in various parts of the country.

Infrastructure Development

Investment in infrastructure, including roads, railways, and energy projects, is crucial for unlocking Chad's economic potential. The government prioritizes infrastructure development to combat the high cost of transportation and lack of access to electricity.

Tourism

Chad possesses remarkable natural and cultural attractions with the potential to develop its tourism industry. Zakouma National Park, an important wildlife sanctuary, and the Ennedi Massif, a UNESCO World Heritage Site, are potential drawcards for tourists.

Sectors with Significant Employment

Agriculture and Livestock provide employment to the vast majority of Chadians. A large portion of the population also engages in the informal economy, with activities ranging from small-scale trade to street vending.

Rivermate | A 3d rendering of earth

Hire your employees globally with confidence

We're here to help you on your global hiring journey.