São Tomé And Príncipe

This country of fewer than 250,000 people is a two-island lower-middle-income nation situated off the western coast of Central Africa. Cocoa, coffee and palm oil exports, and small-scale manufacturing, are the cornerstone of the economy, while its pristine rainforests and unique biodiversity support a burgeoning tourism sector. São Tomé and Príncipe also boasts a young and increasingly educated population.

A multi-party democracy with a mixed economic system combining free private initiative and centralized economic planning and government regulation, in recent years São Tomé and Príncipe has managed to improve its investment climate and curbing corruption. Still, it relies heavily on foreign donors, who fund about 90% of the country’s public investment, and it faces the typical structural challenges of micro-states. Its small size limits the development of large-scale economic activities, resulting in an under-diversified productive base. Furthermore, foreign investors continue to struggle with challenges related to its inadequate infrastructure, limited electricity access, weak legal and regulatory environment, and high export and import costs.