Cape Verde has demonstrated how a country can progress and how poverty can be reduced. Between 2001 and 2015 poverty in Cape Verde fell from 30% to 10%. This is a better result than for any other country in Africa. This is very impressive for a small island country. This country’s success is a result of two main factors – a stable government and a large growth in tourism. Also, life expectancy is Cape Verde is now 73 and therefore the second highest in Africa, Mauritius beaten only by Mauritius.
This does not mean that everything is well with the Cape Verde economy. Although tourism has increased, unfortunately much of that increase has been in the ‘all-inclusive’ resort hotel market. This tourism results in a lower rate of injection into the country’s economy. Guests staying in this type of accommodation tend not to leave the resort and therefore don’t spend money in local shops, restaurants etc., and don’t use taxis. Youth unemployment is also high.
However, Cape Verde has to be proud that it has reduced poverty. In order to maintain this level of performance the country needs to take the right steps as it moves forward. Continuing progress could be achieved by aiming to diversify the tourism offer and increasing agricultural and fishing production. If the Cape Verde takes the right steps the future will be good for the country and its people.
If you would like to read more then the World Bank has more information.