Sao Tome and Principe It's No Longer Underdeveloped
São Tomé and Príncipe has officially left the Least Developed Countries category. The announcement was made in New York by the Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States. For the UN, this milestone marks "an significant achievement in its development path".
The UN entity recognized the sustained efforts of the São Tomé authorities to achieve robust economic growth, enhance human development, and improve their capacity to address vulnerabilities.
In an exclusive conversation with UN News, the head of the São Tomé and Príncipe Mission at the United Nations headquarters, Djazalde Aguiar, highlighted what this new chapter means.
"If we have reached this level, it is due, first of all, to the achievements made over the years, particularly in human development indicators: health, education and per capita income," explained the official.
Along the way, São Tomé and Príncipe faced the pandemic, which further complicated initial plans. But despite the adversities and difficulties, the journey was made. That's why, a notable milestone, but which brings high expectations and added responsibilities.
2/3 Below the Poverty Line
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"If we want to enter global production chains and diversify our base, entering the international trade chain, there are constraints that we cannot overcome due to our own situation."
“There are basically four ways to trade: by sea, air, land and rail.”
"São Tomé and Príncipe will never have access to land and rail routes, so we are only talking about sea and air routes."
"This brings additional contextual costs. Furthermore, access to financing for countries like São Tomé and Príncipe is very expensive."
Djazalde Aguiar stated, also recalling that the current obstacles to the São Tomé economy include fiscal difficulties, marked by a inflation that reached 17% in 2023 and that the list of challenges also includes the increase in public debt.
Dependence on Limited Exports
The archipelago's economy remains extremely vulnerable to external shocks due to its dependence on exports limited to products such as cocoa, palm oil, and coconut. Furthermore, environmental issues such as climate change pose additional threats to socioeconomic stability.
The UN emphasizes that it will continue to support São Tomé and Príncipe in overcoming these difficulties and seizing opportunities, guided by global frameworks such as the Doha Agenda for Action.
Criteria Based on Per Capita Income
This performance is seen as the culmination of years of strategic planning, effective policymaking, and international partnerships. The UN Committee for Development Policy recommended that the Portuguese-speaking country graduate after meeting criteria based on per capita income, human assets, and economic and environmental vulnerability indices.
Notable achievements include the expansion of universal health coverage from 47% in 2010 to 59% in 2021. Among the parameters analyzed, the archipelago's ranking of 11th among 54 African nations in the 2021 Ibrahim Index of African Governance also weighed heavily.
For the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, this advancement demonstrates the perseverance, vision and determination of her government and its people.
Rabab Fatima, Under-Secretary-General and High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, highlighted the strong testimony of the impact of effective partnership and multilateral cooperation.
For her, the rise of the São Tomé economy offers a model and inspiration for other less advanced countries working to overcome structural challenges and achieve sustainable development.
Conclusion
São Tomé and Príncipe's exit from the Least Developed Country category represents a historic achievement that demonstrates the country's commitment to progress. However, this milestone also highlights the need to urgently address structural challenges that still limit its full development.
Issues such as high poverty rates, the costs of geographic isolation, and dependence on primary exports require concrete and sustainable solutions. This is undoubtedly a time for celebration, but also for reflection and strategy.
The future will depend on the country's ability to transform this recognition into real opportunities for its people, strengthening the economy, investing in diverse sectors, and prioritizing the well-being of its communities. With strong partnerships and visionary policies, São Tomé and Príncipe can establish itself as an example of resilience and inclusive development.
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Picture: © 2023 Vincent Tremeau / UNICEF
