FX.co ★ Cape Verde GDP Growth Remains Solid

Cape Verde’s economy grew by 7.1% year-on-year in the final quarter of 2025, moderating from an upwardly revised 8.3% expansion in the previous quarter. On the production side, the main positive contributions came from manufacturing (up 13.1% vs 15.1% in Q3), transport and storage (10% vs 12.5%), financial and insurance services (15.6% vs 4.3%), public administration (9.9% vs 8.6%), and education, which saw a particularly sharp increase (78.5% vs 9.1%). Net taxes on production and imports also rose by 7.4%.

These gains were partially offset by contractions in several sectors: agriculture, livestock and forestry (-24% vs -7.2%), fishing and aquaculture (-6.9% vs 1.5%), mining (-7.4% vs 17.6%), information and communication (-10.4% vs 13.9%), and construction (-7.2% vs 17.1%).

From the expenditure perspective, growth was driven primarily by a strong increase in public consumption (18.8% vs 10.1%), as well as by net external demand. Exports of goods and services accelerated (5.7% vs 3.9%), while import growth slowed (3.8% vs 11.9%), improving the overall trade balance. For the full year 2025, GDP expanded by 6.3%, following a 7% increase in 2024.