Economy - overview Cape Verde's low per capita GDP reflects a poor natural resource base,serious water shortages exacerbated by cycles of long-term drought, and ahigh birthrate. The economy is service oriented, with commerce, transport, and public services accounting for almost 70% of GDP. Although nearly 70%of the population lives in rural areas, the share of agriculture in GNP isonly 14%, of which fishing accounts for 4%. About 90% of food must be imported.The fishing potential, mostly lobster and tuna, is not fully exploited. CapeVerde annually runs a high trade deficit, financed by remittances from emigrantsand foreign aid, which form important supplements to GDP. Economic reforms,launched by the new democratic government in 1991, are aimed at developingthe private sector and attracting foreign investment to diversify the economy.Prospects for 1997 depend heavily on the maintenance of aid flows, remittances,and the momentum of the government's development program.

GDP purchasing power parity - $472 million (1995 est.)

GDP - real growth rate 4.7% (1995 est.)

GDP - per capita purchasing power parity - $1,000 (1995 est.)

GDP - composition by sector
agriculture : 14%
industry: 17%
services: 69% (1992 est.)

Inflation rate - consumer price index 7.8% (1995)

Labor force NA

Unemployment rate NA %

Budget
revenues: $253.7 million
expenditures: $276 million (FY96/97 est.)

Industries fish processing, salt mining, garments, ship repair, food and beverages

Industrial production growth rate NA%

Electricity - capacity 17,000 kW

Electricity - production 15 million kWh (1991)

Electricity - consumption per capita 39 kWh (1991 est.)

Agriculture - products bananas, corn, beans, sweet potatoes, sugarcane, coffee, peanuts; fish

Exports
total value: $10 million (f.o.b., 1995 est.)
commodities: fish, bananas, fuels, basic manufactures
partners: Netherlands, Portugal 50%, Angola, Spain, Singapore, UK

Imports
total value : $211.8 million (f.o.b., 1995 est.)
commodities: foodstuffs, consumer goods, industrial products, transport equipment,fuels
partners : Portugal 45%, Netherlands, Germany, Spain, Brazil, France, Cote d'Ivoire

Debt - external $170 million (1994)

Economic aid
recipient: ODA, $NA

Currency 1 Cape Verdean escudo (CVEsc) = 100 centavos

Exchange rates Cape Verdean escudos (CVEsc) per US$1 - 84.770 (December 1996), 82.591(1996), 76.853 (1995), 81.891 (1994), 80.427 (1993), 68.018 (1992)

Fiscal year calendar year

NOTE: The information regarding Cape Verde on this page is re-published from the 1997 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Cape Verde Economy 1997 information contained here. All suggestions for corrections of any errors about Cape Verde Economy 1997 should be addressed to the CIA.