Sao Tome and Principe are two small Portuguese-speaking islands approximately 140 kilometers apart in the Gulf of Guinea. The Dobra is the official currency of the islands and is represented by the symbol Db. The Dobra was pegged to the Euro in 2010 at a stable rate of 1 Euro = 24,500 STD.
Economy
Economic development in Sao Tome and Principe has been adversely affected by factors such as government decisions and natural disasters, as well as lack of resources.
Cocoa has been the main contributor to economic development in Sao Tome and Principe for the past 34 years. However, this has been affected by disasters such as drought. Bananas, fish, cinnamon, beans, and poultry also contribute to agricultural production, but it does not meet the needs of the consumers.
Modern economic development has been geared towards developing the large amount of oil said to be present in the Gulf of Guinea.
The majority of manufactured goods are imported.
The authorities have tried to decrease price controls and grants, but monetary development has remained inactive.
History
The Escudo was replaced by the Dobra at a rate of 1:1.
In 1996, banknotes were issued in denominations of 5,000, 10,000, 20,000 and 50,000 dobras.
In 1997, coins were issued in denominations of 50 cêntimos, 1, 2, 5, 10 and 20 dobras.
In 1997, banknotes were issued in denominations of 50, 100, and 1,000 dobra.
In 2008, 10,000 dobra banknotes were issued.
In 2010, the Dobra was officially pegged to the Euro at a stable rate of 1 Euro = 24,500 STD.
