Cabo Verde has one of Africa's most open economies, with trade representing 98% of its GDP (World Bank, latest data available). It became a member of the WTO in 2008 and enjoys preferential access to American and European markets, thanks to American legislation - the African Growth and Opportunity Act (AGOA) - and the Treaties of Lome and Cotonou. The country has also signed a free trade agreement with China. Cabo Verde mainly exports fish and caviar (74.2% of total exports), clothes (8.1%), and parts of footwear (5.9%); while it imports food products (21.4%), fuels (19.2%), construction materials (8.7%), and machinery (6.1% - data INE, 2022).
Cabo Verde's main customers are Spain (54.7% of total exports), Portugal (19.2%), Italy (18.8%), and the United States (5.2%). Its major suppliers are Portugal (42.7% of total imports), Spain (8.6%), China (5.1%), the Netherlands (5%), and the U.S. (2.4% - data INE 2022). However, global trade tensions among China, the United States, and Europe - key trading partners to the island economy - could have a negative impact on their economy. Additionally, the archipelago's strategic location means that Cabo Verde is increasingly at the crossroads of the transatlantic narcotics trade. Consequently, the United States and Cabo Verde are currently working together to fight drug trafficking along its coast. The construction of a special economic zone (involving Chinese investments) is expected to increase trade in the future. Overall, the export base of the country is limited in terms of products and partner countries. The trade balance is in a structural deficit, a trend that should continue for the next years.
In 2022, Cabo Verde shipped USD 46 million worth of goods and imported goods for USD 882 million. With regard to services, the country exported USD 574 million (thanks to its tourism industry) and imported USD 246 million (WTO). According to World Bank data, in the same year the country's trade balance was negative by 15.8% of GDP. According to preliminary data by the National Institute of Statistics (INE), in 2023, Cabo Verde witnessed a decrease in exports, totaling PTE 5,590 billion, representing a decline of PTE 574 billion (11.5%) compared to the previous year. Europe retained its position as the primary destination for Cabo Verdean exports, absorbing approximately 94.1% of the total. Spain emerged as the leading client within the European economic zone, accounting for 59.7% of Cabo Verde's exports in 2023, marking a 5 percentage point increase from 2022. The top exported products in 2023 were prepared and preserved foods (73.7%), followed by clothing (9.5%) and footwear (5.7%). Cabo Verde's imports in 2023 saw a 4.8% increase compared to the previous year. Europe remained the leading supplier, contributing 68.6% of the total imports, followed by Asia/Oceania (14.9%), America (12.8%), Africa (1.7%), and the Rest of the World (1.9%). Portugal stood out as the primary supplier, accounting for 41.4% of the total imports, followed by Spain, the United States of America, and China, with shares of 11.6%, 6.7%, and 4.7%, respectively. The top ten imported products comprised 54.2% of total imports, with fuels (14.8%) and reactors and boilers (6.1%) being the most imported items.
Foreign Trade Indicators | 2019 | 2020 | 2021 | 2022 | 2023 |
---|---|---|---|---|---|
Imports of Goods (million USD) | 796 | 720 | 821 | 910 | 980 |
Exports of Goods (million USD) | 62 | 53 | 55 | 48 | 54 |
Imports of Services (million USD) | 355 | 219 | 229 | 246 | 276 |
Exports of Services (million USD) | 740 | 295 | 287 | 574 | 700 |
Imports of Goods and Services (Annual % Change) | -0 | -17 | 9 | 13 | n/a |
Exports of Goods and Services (Annual % Change) | 9 | -59 | 3 | 101 | n/a |
Trade Balance (million USD) | -666 | -660 | -711 | -774 | n/a |
Foreign Trade (in % of GDP) | 103 | 78 | 77 | 95 | n/a |
Imports of Goods and Services (in % of GDP) | 57 | 54 | 54 | 57 | n/a |
Exports of Goods and Services (in % of GDP) | 47 | 24 | 23 | 38 | n/a |
Source: WTO – World Trade Organisation ; World Bank - Latest available data.
Main Customers (% of Exports) |
2023 |
---|---|
Spain | 19.2% |
Portugal | 14.7% |
Togo | 4.1% |
Netherlands | 3.9% |
Italy | 3.4% |
See More Countries | 54.6% |
Main Suppliers (% of Imports) |
2023 |
---|---|
Portugal | 30.4% |
Saudi Arabia | 11.5% |
Spain | 8.3% |
Netherlands | 8.3% |
France | 6.3% |
See More Countries | 35.3% |
Source: Comtrade, Latest Available Data
Source: Comtrade, Latest Available Data
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0.7 bn USD of services exported in 2023 | |
---|---|
75.80% | |
Personal travelPersonal travel | 72.52% |
OtherOther | 72.49% |
Education-related expenditureEducation-related expenditure | 0.03% |
Business travelBusiness travel | 3.28% |
11.68% | |
Air transportAir transport | 10.05% |
OtherOther | 9.98% |
PassengerPassenger | 0.07% |
Sea transportSea transport | 1.62% |
OtherOther | 1.62% |
5.85% | |
3.57% | |
1.00% | |
0.76% | |
Telecommunications servicesTelecommunications services | 0.76% |
0.74% | |
Computer servicesComputer services | 0.64% |
Information servicesInformation services | 0.11% |
0.27% | |
ReinsuranceReinsurance | 0.27% |
0.17% | |
0.15% | |
0.01% |
0.3 bn USD of services imported in 2023 | |
---|---|
32.00% | |
Sea transportSea transport | 23.47% |
FreightFreight | 21.86% |
OtherOther | 1.61% |
Air transportAir transport | 8.48% |
PassengerPassenger | 3.63% |
OtherOther | 2.97% |
FreightFreight | 1.88% |
26.17% | |
Personal travelPersonal travel | 23.43% |
OtherOther | 14.34% |
Education-related expenditureEducation-related expenditure | 5.74% |
Health-related expenditureHealth-related expenditure | 3.35% |
Business travelBusiness travel | 2.74% |
18.71% | |
9.18% | |
6.25% | |
Computer servicesComputer services | 6.17% |
Information servicesInformation services | 0.08% |
1.99% | |
1.94% | |
1.48% | |
Telecommunications servicesTelecommunications services | 1.48% |
1.28% | |
ReinsuranceReinsurance | 1.20% |
Other direct insuranceOther direct insurance | 0.08% |
0.71% | |
0.28% |
Source: United Nations Statistics Division, Latest Available Data
Member of African Union (AU)
Member of African Union (AU)
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Latest Update: May 2024