Sao Tome and Principe Economy
Is Sao Tome and Principe a wealthy country?
São Tomé and Príncipe is a small island nation with an economy that is heavily reliant on agriculture, fisheries, and international aid. Here's an overview of the economy of São Tomé and Príncipe:
Agriculture: Agriculture is the backbone of São Tomé and Príncipe's economy, employing a significant portion of the population and contributing to both domestic food supply and export revenue. The main agricultural products include cocoa, coffee, palm oil, coconuts, and bananas. Cocoa is the country's primary export crop, with São Tomé and Príncipe being known for producing high-quality cocoa beans.
Fisheries: The fisheries sector plays an essential role in São Tomé and Príncipe's economy, providing employment opportunities and a vital source of protein for the population. The country's waters are rich in fish and other marine resources, making fisheries a significant contributor to both domestic consumption and export earnings.
Tourism: Tourism has the potential to become a significant driver of economic growth in São Tomé and Príncipe due to the country's natural beauty, pristine beaches, and unique biodiversity. However, the tourism industry is still relatively underdeveloped compared to other tropical destinations. Efforts are underway to promote tourism and attract investment in infrastructure and hospitality services to capitalize on the sector's potential.
International Aid: São Tomé and Príncipe relies heavily on international aid and assistance to support its development efforts, address socio-economic challenges, and finance public projects. Development partners, including bilateral and multilateral organizations, provide financial aid, technical assistance, and capacity-building support to the government in various sectors such as healthcare, education, infrastructure, and governance.
Challenges: Despite its potential, São Tomé and Príncipe faces several economic challenges, including limited infrastructure, high unemployment rates, poverty, and vulnerability to external shocks. The country's small size, isolation, and susceptibility to natural disasters further exacerbate these challenges.
Efforts to Diversify the Economy: São Tomé and Príncipe's government has recognized the need to diversify the economy away from its heavy dependence on agriculture and fisheries. Efforts are underway to promote economic diversification, attract foreign investment, improve infrastructure, enhance human capital development, and create a more conducive business environment to stimulate private sector growth and reduce reliance on external aid.
Sao Tome and Principe Economy Data
What is the GDP of Sao Tome and Principe?
| Currency Name and Code | Dobra (STD) |
| GDP - Gross Domestic Product (PPP) | $890,000,000 (USD) |
| GDP - official exchange rate | $326,000,000 (USD) |
| GDP - real growth rate | 5% |
| GDP Per Capita | $3,400.00 (USD) |
| GDP by Sector- agriculture | 18.4% |
| GDP by Sector- Industry | 16% |
| GDP by Sector- services | 65.6% |
| GDP - composition, by end use |
household consumption: 85% government consumption: 13.2% investment in fixed capital: 48.4% investment in inventories: -0.1% exports of goods and services: 12.3% imports of goods and services: -58.8% |
| Population Below Poverty Line | 54% |
| Inflation Rate | 13% |
| Labor Force | 52,490 |
| Labor Force by Occupation - note | population mainly engaged in subsistence agriculture and fishing; shortages of skilled workers |
| Fiscal Year | calendar year |
| Annual Budget | $35,560,000 (USD) |
| Budget Surplus or Deficit - percent of GDP | -11.7% |
| Taxes and other revenues - percent of GDP | 27% |
| Major Industries | light construction, textiles, soap, beer; fish processing; timber |
| Industrial Growth Rate | 7% |
| Agriculture Products | cocoa, coconuts, palm kernels, copra, cinnamon, pepper, coffee, bananas, papayas, beans; poultry; fish |
| Exchange Rate per US Dollar | dobra (STD) |
| Child Labor - % of children ages 5-14 | 8% |
| Child Labor - # of children ages 5-14 | 3,235 |
| Commercial Bank Prime Lending Rate | 26% |