THE DELAYED PROMISE: CONTRADICTION ABOUT ECONOMIC DEVELOPMENT IN SÃO TOMÉ AND PRÍNCIPE IN THE POST-INDEPENDENCE PERIOD

Abstract

The decolonization process in São Tomé and Príncipe did not imply a structural rupture in the economic policies of the country. Despite the achievement of formal independence, the primary-export model remained a legacy of the colonial period that persists till this day. The lack of substantial transformations in the productive structure resulted in an increased fragile economy, marked by successive trade deficits throughout the post-independence period. Through this exploratory study, this work aims to identify the main obstacles to underdevelopment in São Tomé and Príncipe. The constant dependence on foreign manufactured products, both consumer goods and capital goods, constitutes one of the main obstacles to national development. Moreover the high level of external debt and the structural dependence on international aid to finance the State Budget, factors that place the country in a debt trap, limiting autonomy and compromising the ability to formulate autonomous and sustainable development policies. Low domestic production capacity, as well as limited investment in education, science, technology, innovation, and the absence of the industrialization policies propagate São Tomé and Príncipe's position among countries classified as "developing." This situation highlights the persistence of a pattern of economic dependence, the roots of which dates back to the country's historical insertion in the international division of labor.