21/04/2024 - 17:26:44

Cape Verde

National flag

Map

Basic Information

Cape Verde is located in the middle of the Northern Atlantic and it is at the crossroads connecting the three major continents – America, Africa and Europe and as a transit hub between South America and Central Europe. The land area is 4,033 square kilometres, accommodating a population of about 563 thousands in 2021. The capital Praia is the political, economic, cultural and financial centre of the country. Other economic centres include S. Vincente, Sal and Boavista islands cities.

Investment Situation

Cape Verde has stable political situation and high transparency on policies. The per capita income and quality of life are among the highest in the Africa. Moreover, the tourism, renewable energy and textile industries have also good opportunities for co-operation in some of the country’s islands.

 The Cape Verdean economy is dominated by service sector, which accounts for about 75% of GDP, mainly including tourism, transportation, business and public services. Among them, the tourism is the main source of economic growth and employment which attracted foreign direct investment accounting for 85% in the whole country’s foreign direct investment. In addition, agriculture and fishing industry play an important role in economy position. The country has an exclusive marine economic zone of 734,000 square kilometres. The fishery resources are relatively rich, which has not yet been fully developed and utilised.

 According to the “2022 World Investment Report” published by the United Nations Conference on Trade and Development (UNCTAD), at the end of 2021, Cape Verde has attracted US$2.5 billion on stock of inward direct investment. According to the “2021 Statistical Bulletin of China’s Outward Foreign Direct Investment”, by the end of 2021, the stock in direct investment of China in Cape Verde was US$1.3 million. The main projects in investment co-operation are construction, aluminum alloys, and communication and TV media.

Trade in Goods

In 2021, the main export destinations of Cape Verde include Spain, Portugal, Italy and the United States. The main export goods are fish and crustaceans, clothing and shoes. Main import origins include Portugal, the Netherlands, Argentina and Spain. The main imported goods include mineral goods, vehicles and machines, etc.

In 2022, China’s exports to Cape Verde amounted to US$93.0 million, main exports to Cape Verde include mackerel, face brick, etc; imports from Cape Verde amounted to US$20 thousands, mainly include men’s knitted or crocheted trousers, personal cross-border e-commerce products, etc.


Economic Indicators

2020(a)

2021(a)

2022(b)

2023(b)

Population (thousand)

551.0

563.0

570.0

584.0

GDP (US$ million)

1,871

2,112

2,053

2,140

Real GDP Growth Rate (%)

-14.8

7.0

4.0

4.8

Total Export of Goods

 (US$ million)

55.7

67.3

60.9

118.6

Total Import of Goods

 (US$ million)

1,331.4

1,163.5

1,090.7

1,122.7

Total Export of Services (US$ million)

286.6

282.5

511.0(c)

603.6(c)

Total Import of Services (US$ million)

218.6

228.6

267.9(c)

311.1(c)

Consumer Price Index (%)

0.6

1.9

6.5

3.5

Current Account Balance (US$ million)

-281

-237

-287

-132

Exchange Rate (Escudo CVE: USD, Period Average)

96.8

93.2

106.1(c)

111.4(c)

Remarks: (a) actual value; (b) estimated value of International Monetary Fund (IMF); (c) estimated value of Oxford Economics

Source: International Monetary Fund (IMF), Oxford Economics “Country Economic Forecast – Cape Verde (Nov 2022)”

 

 Main Export and Import Place of Goods

Main Export Destinations (2021)

Proportion of Total Value of Exports of Goods (%)

Spain

62.8

Portugal

12.1

Italy

9.3

United States

5.1

Others

10.7

 

Main Import Origins (2021)

Proportion of Total Value of Imports of Goods (%)

Portugal

41.4

The Netherlands

10.4

Argentina

9.4

Spain

7.3

Others

31.5

Source: International Monetary Fund (IMF)

 

Major Imports and Exports of Goods

Major Exports of Goods (2021)

Proportion of Total Value of Exports of Goods (%)

Preparation of meat, of fish or of crustaceans, molluscs or other aquatic invertebrates

78.0

Articles of apparel and clothing accessories knitted or crocheted

7.1

Footwear, gaiters and the like; parts of such articles

6.1

Food industry residues & waste; prepared animal feed

3.5

Others

5.3

 

Major Imports of Goods (2021)

Proportion of Total Value of Imports of Goods (%)

Mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes

12.5

Vehicles other than railway or tramway rolling-stock, and parts and accessories thereof

7.6

Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof

7.1

 Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles

6.9

Others

65.9

Source: International Trade Center (ITC)

 

Major Imports and Exports of Services

Main Exports of Services (2021)

Proportion of Total Value Exports of Services (%)

Tourism

51.1

Transport

17.0

Other business services

12.1

Other

19.8

Main Imports of Services (2021)

Proportion of Total Value Imports of Services (%)

Transport

34.1

Tourism

24.5

Other business service

15.7

Other

25.7

RemarksThe above content is based on estimated value of UNCTAD, WTO and ITC.

SourceInternational Trade Centre (ITC)

 

Statistics on the Trade of Goods between Mainland China and Cape Verde (US$ ten thousands)

Year

Total Trade

Total Exports Value*

Total Imports Value**

2022

9,298.5

9,296.5

0.2

2021

8,568.5

8,453.8

114.7

2020

7,899.9

7,778.9

0.1

2019

6,420.9

6,418.1

2.9

2018

7,856.0

7,827.0

29.0

Remarks: *Value of goods exported to Cape Verde from Mainland China; **Value of goods imported from Cape Verde to Mainland China

Source: General Administration of Customs of the People’s Republic of China

Sources:

  • “Country (region) guide for foreign investment co-operation (Cape Verde)” by the Ministry of Commerce of the People’s Republic of China
  • “2021 Statistical Bulletin of China’s Outward Foreign Direct Investment” by the Ministry of Commerce of the People’s Republic of China, National Bureau of Statistics and State Administration of Foreign Exchange
  • General Administration of Customs of the People’s Republic of China
  • SinoMaps Press
  • International Monetary Fund (IMF)
  • International Trade Center (ITC)
  • 2022 World Investment Report” by the United Nations Conference on Trade and Development (UNCTAD)
  •  “Country Economic Forecast – Cape Verde (Nov 2022)” by Oxford Economics

 Updated in March 2023.