Economy of Cape Verde Economy of Cape Verde Cape Verde is a small archipelagic nation that lacks resources and has experienced severe droughts. Agriculture is made difficult by lack of rain and is restricted to only four islands for most of the year. Most of the nation's GDP comes from the service industry. Cape Verde's economy has been steadily growing since the late 1990s, and it is now officially considered a country of average development, being only the second African country to have achieved such transition, after Botswana in 1994. Cape Verde has significant cooperation with Portugal at every level of the economy, which
Cape Verde Santiago. The Cape Verde archipelago was uninhabited when the Portuguese discovered it in 1456. The modern population of Cape Verde descends from the mixture of European settlers and African slaves who were brought to the islands to work on Portuguese plantations. Most Cape Verdeans are therefore mulattos, also called mestiços in Portuguese. Another term is creole, meaning those of mixed native-born African and native-born European descent. European input included Spaniards and Italian seamen who were granted land by the Portuguese Empire, followed by Portuguese settlers and exiles, as well as Portuguese Muslims (ethnic Moors) and Portuguese Jews (ethnic Sephardim), both