Economy of Cape Verde

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Economy of Cape Verde
Praia market potatoes manioc.jpg
A market place in Praia
Currency Cape Verdean escudo (CVE)
Calendar year
Trade organisations
 AU, WTO
Statistics
GDP
  • Increase2.svg $2.8 billion (nominal, 2024 est) [1]
  • Increase2.svg $6.11 billion (PPP, 2024 est) [1]
GDP growth
  • 4.7% (2016) 4.0% (2017)
  • 4.5% (2018e) 4.4% (2019f) [2]
GDP per capita
  • Increase2.svg $4,790 (nominal, 2024 est.) [1]
  • Increase2.svg $10,460 (PPP, 2024 est.) [1]
GDP by sector
 agriculture (7.9%), industry (17.9%), services (74.2%) (As of 2017)
1.275% (2018) [1]
Population below poverty line
15% (As of 2010)
Labour force
243,120 (2010)
Labour force by occupation
food and beverages, fish processing, shoes and garments, salt mining, ship repair
External
Exports$1 billion (2019 est.)
Export goods
processed and frozen fish, mollusks, clothing, scrap iron (2019)
Main export partners
Imports$1.29 billion (2019 est.)
Import goods
refined petroleum, delivery trucks, coal tar oil, cars, rice (2019)
Main import partners
$284 million (As of 2010)
Public finances
N/A (As of 2008)
Revenues$480 million (2009 est.)
Expenses$595.9 million (2009 est.)
Economic aid$136 million (recipient) (As of 2009)
All values, unless otherwise stated, are in US dollars.

The economy of Cape Verde is a service-oriented economy that is focused on commerce, trade, transport and public services. [6] Cape Verde is a small archipelagic nation that lacks resources and has experienced severe droughts. Agriculture is made difficult by lack of rain and is restricted to only four islands for most of the year. Cape Verde's economy has been steadily growing since the late 1990s, and it is now officially considered a country of average development, being only the second African country to have achieved such transition, after Botswana in 1994. Cape Verde has significant cooperation with Portugal at every level of the economy, which has led it to link its currency (the Cape Verdean escudo) first to the Portuguese escudo and, in 1999, to the euro.

Contents

Resources

About 75% of food is imported. Cape Verde annually runs a high trade deficit, financed by foreign aid and remittances from emigrants; remittances constitute a supplement to GDP of more than 20%. Economic reforms, launched by the new democratic government in 1991, are aimed at developing the private sector and attracting foreign investment to diversify the economy. Since 1991, the policies the government has pursued include an open welcome to foreign investors and a far-reaching privatization program.

Fish and shellfish are plentiful, and small quantities are exported. Cape Verde has cold storage and freezing facilities as well as fish processing plants in Mindelo, Praia, and on Sal. However, the fishing potential, mostly lobster and tuna, is not fully exploited.

The economy is service-oriented, with commerce, transport, and public services accounting for almost 70% of the GDP. Although nearly 35% of the population lives in rural areas, the share of agriculture in GDP in 2010 was only 9.2% (up from 8.9% in 1995); of the 1998 total, fishing accounts for 1.5%.

The Cape Verdean government established the top priorities for development as the promotion of a market economy and of the private sector; the development of tourism, light manufacturing industries, and fisheries; and the development of transport, communications, and energy facilities. In 1994-95 Cape Verde received a total of about U.S.$50 million in foreign investments, of which 50% was in industry, 19% in tourism, and 31% in fisheries and services. Prospects for 2000 depend heavily on the maintenance of aid flows, remittances, and the momentum of the government's development program.

Mineral industry

Mining is an insignificant contributor to the country's economy. [7] Most of the country's mineral requirements are imported. [7] As of 2007, production of mineral commodities was limited to clay on the islands of Boa Vista, Sal, and São Vicente; gypsum and iron ore on the island of Maio; limestone on the islands of Boa Vista, Sal, and Santo Antão; pozzolana on the island of Santo Antão; and salt on the islands of Maio and Sal. [7] Cape Verde was not a natural gas or petroleum producer as of 2007. [7]

Transportation

Shipyard at Mindelo Harbour in Mindelo.jpg
Shipyard at Mindelo

Cape Verde's strategic location at the crossroads of mid-Atlantic air and sea lanes has been enhanced by significant improvements at Mindelo's harbour (Porto Grande) and at Sal's international airport. Ship repair facilities at Mindelo were opened in 1983, and the harbours at Mindelo and Praia were recently renovated. The major ports are Mindelo and Praia, but all other islands have small port facilities, some of which are to be expanded in the near future. In addition to the international airport on Sal, airports are located on all of the inhabited islands except for the smallest island, Brava, which was built, but found to be too dangerous so it was shut down after a few failed attempted landings. The archipelago has 3,050 kilometers (1,830 mi.) of roads, of which 1,010 kilometers (606 mi.) are paved. The new Praia International Airport is currently operative.

International recognition

Cape Verde is considered a developing country, and is included on the list of the United Nations Small Island Developing States.

In 2007 the United Nations graduated Cape Verde from the category of Least Developed Countries, only the second time this has happened to a country. [8]

On December 18, 2007, the General Council of the World Trade Organization approved a package for the accession of Cape Verde to the WTO. Accession was effective on July 23, 2008, 30 days after ratification by Cape Verde, which took place on 23 June. [9] The package requires Cape Verde to adapt some of its economic regulation. In particular, it will need to introduce a new Customs Code, and to introduce copyright and patent laws complying with the Agreement on Trade-Related Aspects of Intellectual Property Rights. [10] [11] According to the World Intellectual Property Organization (WIPO), Cape Verde does not have legislation for industrial property, such as patents, trademarks, and industrial designs but does have a law on copyrights (Law No. 101/III/90, December 1990). [12] Pascal Lamy, director-general of the WTO said, "I am very pleased to welcome Cape Verde as a new member. This new membership will strengthen multilateral trading system. Being part of the WTO will enable Cape Verde to continue its integration into the world economy." [13]

Data

The following table shows the main economic indicators in 1980–2017. [14]

YearGDP

(in bil. US$ PPP)

GDP per capita

(in US$ PPP)

GDP

(in bil. US$ nominal)

GDP growth
(real)		Inflation
(in Percent)		Government debt
(Percentage of GDP)
19800.237980.165.3 %15.1 %...
19850.411,2870.158.6 %5.9 %...
19900.691,6330.340.7 %11.1 %...
19950.842,1060.547.5 %8.4 %...
20001.373,0890.617.3 %−2,4 %83 %
20052.054,2781.125.8 %0,4 %85 %
20062.304,7781.269.1 %4,8 %77 %
20072.585,3381.659.2 %4,4 %65 %
20082.815,7931.966.7 %6.8 %57 %
20092.795,7501.85−1.3 %1.0 %65 %
20102.875,8831.831.5 %2.1 %72 %
20113.046,2052.054.0 %4.5 %79 %
20123.136,1951.911.1 %2.5 %91 %
20133.216,2682.030.8 %1.5 %102 %
20143.296,3422.040.6 %−0.2 %116 %
20153.366,3961.751.0 %0.1 %126 %
20163.536,6431.863.8 %−1.4 %129 %
20173.966,9441.974.0 %0.8 %126 %

See also

Notes

  1. 1 2 3 4 5 "World Economic Outlook Database, October 2019". IMF.org. International Monetary Fund . Retrieved 6 December 2019.
  2. ↑ "Global Economic Prospects, June 2019: Heightened Tensions, Subdued Investment. p. 127" (PDF). openknowledge.worldbank.org. World Bank . Retrieved 6 December 2019.
  3. ↑ "Export Partners of Cape Verde". CIA World Factbook. 2017. Retrieved 2019-10-09.
  4. ↑ "Import Partners of Cape Verde". CIA World Factbook. 2016. Archived from the original on June 13, 2007. Retrieved 2018-02-11.
  5. ↑ "Sovereigns rating list". Standard & Poor's. Retrieved 26 May 2011.
  6. ↑ "Cape Verde" . Retrieved 28 October 2019.
  7. 1 2 3 4 Newman, Harold R. "The Mineral Industries of Cameroon and Cape Verde" (PDF). 2007 Minerals Yearbook . United States Geological Survey (December 2008) PD-icon.svg This article incorporates text from this source, which is in the public domain ..
  8. ↑ "UN advocate salutes Cape Verde’s graduation from category of poorest States", UN News Centre, 14 June 2007.
  9. ↑ "Cape Verde to join WTO on 23 July 2008". WTO News.
  10. ↑ WTO press release on Cape Verde's accession
  11. ↑ Cape Verde's other accession commitments: Besides Market access for goods and services, WTO, 18 December 2007. "Intellectual property: Cape Verde would apply the TRIPS agreement by January 2013. In light of the Doha Declaration on TRIPS and Public Health, the provisions related to the scope and use of patents and the protection of undisclosed information would be implemented by January 2016."
  12. ↑ WIPO, Legislative Profile of Cape Verde Intellectual Property Laws Archived 2008-08-13 at the Wayback Machine
  13. ↑ "Cape Verde joins WTO". afrol News. 2008-07-23. Retrieved 2008-07-24.
  14. ↑ "Report for Selected Countries and Subjects" . Retrieved 2018-09-10.

Related Research Articles

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The Cape Verdean Football Championship or the Campeonato Caboverdiano de Futebol is a football competition that was created in 1976 in Cape Verde. A local championship was founded in 1953 before independence, when the islands were still part of the Portuguese Empire.

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<span class="mw-page-title-main">Cinema of Cape Verde</span>

The history of the cinema of Cape Verde dates back to the arrival of filmmakers in the early twentieth century. The first picture house was established in Mindelo around 1922, called Eden Park.

The 2006 Cape Verdean Football Championship season was the 26th of the competition of the first-tier football in Cape Verde. Its started on 6 May and finished on 2 July, earlier than the last season. The tournament was organized by the Cape Verdean Football Federation. Sporting Praia won their 5th title and in the following year participated in the 2007 CAF Champions League. No second place club participated in the 2007 CAF Confederation Cup.

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The 2008 Cape Verdean Football Championships season was the 29th of the competition of the first-tier football in Cape Verde. Its started on 10 May and finished on 16 August, later than the last season. The tournament was organized by the Cape Verdean Football Federation. Sporting would win their 7th title and third straight after defeating Académica do Mindelo in penalty kicks. Sporting gained entry into the 2009 CAF Champions League, it is the last club to enter to date. No second place club would participate in the 2009 CAF Confederation Cup.

The 2011 Cape Verdean Football Championship season was the 32nd of the competition of the first-tier football in Cape Verde. Its started on 14 May and finished on 9 July, later than last year. The tournament was organized by the Cape Verdean Football Federation. CS Mindelense won the 2011 title. No teams would participate in the 2012 CAF Champions League or the 2012 CAF Confederation Cup.

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The 2016 Cape Verdean Football Championship season was the 37th beginner level competition of the first-tier football in Cape Verde. It started on 14 May and finished on 9 July, it started five days later than last season and finished two days earlier, the season was a week shorter than last. The championship was governed by the Cape Verdean Football Federation. The scheduling was completed on November 16 and the group system was kept instead of becoming a one portion season without playoffs and was the last time. CS Mindelense won the record breaking title and became the second club after Sporting Praia to win four in a row, the highest ever, also it was Mindelense's last. Mindelense chose to not participate in the CAF Champions League competition in 2017, Académica do Porto Novo did not participate in the 2017 CAF Confederation Cup, both of the clubs due to financial concerns, of any club, it is the eighth consecutive time and becomes the recent African nation not to bring a champion to the continentals for the most consecutive years, in the cup competition, Cape Verde is the longest for not bringing a club in Africa lasting for more than 15 years straight, not even the three national cup winners competed. Mindelense qualified and participated in the 2017 National Championships.

1910s – 1920s – 1930s – 1940s – 1950s – 1960s – 1970s – 1980s – 1990s – 2000s

In the 2006–07 season of competitive football (soccer) in Cape Verde It was the first season that the national cup competition took place, its first winner was Académica da Praia.

The 2009 Cape Verdean Cup season was the 3rd competition of the regional football cup in Cape Verde. The season started on 20 July and finished with the cup final on 2 August. The cup competition was organized by the Cape Verdean Football Federation. Group A matches took place at Estádio Adérito Sena in Mindelo, São Vicente and Group B matches took place at Estádio Marcelo Leitão in Espargos. The final stage containing two semifinal matches and a final were played at Estádio da Várzea. Boavista Praia won their first of two cup title.

References

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