Economy of Sao Tome and Principe grows 4.5 pct in 2014

11 February 2015

The growth of the economy of Sao Tome and Principe is expected to have totalled 4.5 percent in 2014, said the head of a recent mission from the International Monetary Fund (IMF) to the archipelago.

“Economic activity in Sao Tome and Principe remained robust last year, due to high foreign direct investment in the country,” said Maxwell Opoku-Afari in Washington, days after visiting the islands.

According to the official, cited by UN Radio, inflation in the country continues to fall and was 6.4 percent in December, the lowest value of the last two decades.

In terms of the Central Bank’s international reserves, levels are considered comfortable, but the general government deficit reached 3.6 percent of GDP, a figure that exceeds analysts’ forecasts.

Opoku-Afari also said the new government of Sao Tome and Principe planned to restore fiscal discipline to maintain the credibility of the fixed exchange rate regime and also to create the necessary room for public investment. (macauhub/ST)