Overview of economic activity and production
The main sector is agriculture.
For their own needs, Cape Verde inhabitants grow corn, potatoes, manioc, peas and export coconut, sugar cane, bananas and dates. Only 16% of the land is used for agriculture.
Fishing also plays a major role. But due to poor native technical equipment, most fish end up in networks of foreign fishermen. Fisheries are also linked to fish processing industries. Tuna are mainly caught and fish and lobsters are prepared in addition to the fish.
Textiles and semi-finished products for the footwear and leather industry are also to be exported. 90% of the food is imported, which is reflected in their price. Imports also include machines, ships and electronics. The main trading partners are: Portugal, the Netherlands, the United States and the United Kingdom.
Thanks to foreign aid and the contributions of the population living abroad, they have a large trade deficit. The islands are poor on natural resources. To a greater extent, only limestone, basalt, kaolin are mined, these raw materials are used in the construction industry to a lesser extent for export. Another export item is salt that is extracted from sea water. GDP is 70% of the service sector. GDP is still growing in tourism.
Cape Verde is considered as a developing country. The state occupies one of the first places in the foreign aid received per capita.
This support is due to its democratic organization and respect for human rights and freedoms. The main social, economic and political problem today is unemployment.
The exchange rate of the Cape Verde currency – escudo – is firmly anchored against the euro: 1 euro = 110 escudo.
Cash can be collected in already common ATMs.
We recommend using VISA payment cards – are accepted on the islands without any problem.