By the late 1950s, when other emerging nations across the African Continent were demanding independence, a small group of São Toméans had formed the Movement for the Liberation of São Tomé and Príncipe (MLSTP), which eventually established its base in nearby Gabon. Picking up momentum in the 1960s, events moved quickly after the overthrow of the Caetano dictatorship in Portugal in April 1974. The new Portuguese regime was committed to the dissolution of its overseas colonies; in November 1974, their representatives met with the MLSTP in Algiers and worked out an agreement for the transfer of sovereignty. After a period of transitional government, São Tomé and Príncipe achieved independence on July 12, 1975, choosing as the first president the MLSTP Secretary General Manuel Pinto da Costa.
In 1990, São Tomé became one of the first African countries to embrace democratic reform, and changes to the constitution — the legalization of opposition political parties — led to elections in 1991 that were nonviolent, free, and transparent. Miguel Trovoada, a former prime minister who had been in exile since 1986, returned as an independent candidate and was elected president. Trovoada was re-elected in São Tomé's second multi-party presidential election in 1996. The Party of Democratic Convergence (PCD) overtook the MLSTP to take a majority of seats in the National Assembly, with the MLSTP becoming an important and vocal minority party. Municipal elections followed in late 1992, in which the MLSTP came back to win a majority of seats on five of seven regional councils. In early legislative elections in October 1994, the MLSTP won a plurality of seats in the Assembly. It regained an outright majority of seats in the November 1998 elections. The Government of São Tomé fully functions under a multi-party system. Presidential elections were held in July 2001. The candidate backed by the Independent Democratic Action party, Fradique de Menezes, was elected in the first round and inaugurated on September 3. Parliamentary elections were held in March 2002. For the next four years, a series of short-lived opposition-led governments were formed.
The army seized power for one week in July 2003, complaining of corruption and that forthcoming oil revenues would not be divided fairly. An accord was negotiated under which President de Menezes was returned to office.
The cohabitation period ended in March 2006, when a pro-presidential coalition won enough seats in National Assembly elections to form and head a new government.
In the 30 July 2006 presidential election, Fradique de Menezes easily won a second five-year term in office, defeating two other candidates Patrice Trovoada (son of former President Miguel Trovoada) and independent Nilo Guimarães. Local elections, the first since 1992, took place on 27 August 2006 and were dominated by members of the ruling coalition.
On February 12, 2009, there was an attempted coup d'état to overthrow President Fradique de Menezes. The coup plotters were imprisoned, but later received a pardon from President de Menezes.
São Tomé has functioned under a multiparty system since 1990. The president of the republic is elected to a five-year term by direct universal suffrage and a secret ballot, and must gain an outright majority to be elected. The president may hold up to two consecutive terms. The prime minister is named by the president, and the fourteen members of cabinet are chosen by the prime minister.
The National Assembly, the supreme organ of the state and the highest legislative body, is made up of 55 members, who are elected for a four-year term and meet semiannually. Justice is administered at the highest level by the Supreme Court. The judiciary is independent under the current constitution.
With regards to human rights, there exists the freedom of speech and the freedom to form opposition political parties.
São Tomé and Príncipe finished 11th out of the African countries measured by the Ibrahim Index of African Governance in 2010, a comprehensive reflection of the levels of governance in Africa.
The islands of São Tomé and Príncipe, situated in the equatorial Atlantic and Gulf of Guinea about 300 and 250 kilometres (190 and 160 mi), respectively, off the northwest coast of Gabon, constitute Africa's second smallest country. Both are part of the Cameroon volcanic mountain line, which also includes the islands of Annobón to the southwest, Bioko to the northeast (both part of Equatorial Guinea), and Mount Cameroon on the coast of Gulf of Guinea. Pico de São Tomé
The Pico Cão Grande (Great Dog Peak) is a landmark volcanic plug peak, located at 0°7′0″N 6°34′00″E / 0.116667°N 6.5666667°E / 0.116667; 6.5666667 in southern São Tomé. It rises dramatically over 300 m (1,000 ft) above the surrounding terrain and the summit is 663 m (2,175 ft) above sea level.
São Tomé and Príncipe does not have a large number of native mammals (although the São Tomé Shrew and several bat species are endemic). The islands are home to a larger number of endemic birds and plants, including the world's smallest ibis (the São Tomé Ibis), the world's largest sunbird (the Giant Sunbird), and the rare São Tomé Fiscal, as well as several giant species of Begonia. São Tomé and Principe is an important marine turtle nesting site, notably for hawksbill turtles (Eretmochelys imbricata)
Since the 19th century, the economy of São Tomé and Príncipe has been based on plantation agriculture. At the time of independence, Portuguese-owned plantations occupied 90% of the cultivated area. After independence, control of these plantations passed to various state-owned agricultural enterprises. The main crop on São Tomé is cocoa, representing about 95% of exports. Other export crops include copra, palm kernels, and coffee.
Domestic food-crop production is inadequate to meet local consumption, so the country imports some of its food. Efforts have been made by the government in recent years to expand food production, and several projects have been undertaken, largely financed by foreign donors.
Other than agriculture, the main economic activities are fishing and a small industrial sector engaged in processing local agricultural products and producing a few basic consumer goods. The scenic islands have potential for tourism, and the government is attempting to improve its rudimentary tourist industry infrastructure. The government sector accounts for about 11% of employment.
Following independence, the country had a centrally directed economy with most means of production owned and controlled by the state. The original constitution guaranteed a "mixed economy," with privately owned cooperatives combined with publicly owned property and means of production. In the 1980s and 1990s, the economy of São Tomé encountered major difficulties. Economic growth stagnated, and cocoa exports dropped in both value and volume, creating large balance-of-payments deficits. Efforts to redistribute plantation land resulted in decreased cocoa production. At the same time, the international price of cocoa slumped.
In response to its economic downturn, the government undertook a series of far-reaching economic reforms. In 1987, the government implemented an International Monetary Fund (IMF) structural adjustment program, and invited greater private participation in management of the parastatals, as well as in the agricultural, commercial, banking, and tourism sectors. The focus of economic reform since the early 1990s has been widespread privatization, especially of the state-run agricultural and industrial sectors.
The São Toméan Government has traditionally obtained foreign assistance from various donors, including the UN Development Programme, the World Bank, the European Union (EU), Portugal, Taiwan, and the African Development Bank. In April 2000, in association with the Banco Central de São Tomé e Príncipe, the IMF approved a poverty reduction and growth facility for São Tomé aimed at reducing inflation to 3% for 2001, raising ideal growth to 4%, and reducing the fiscal deficit.
In late 2000, São Tomé qualified for significant debt reduction under the IMF-World Bank's Heavily Indebted Poor Countries (HIPC) initiative. The reduction is currently being reevaluated by the IMF, due to the attempted coup d'état in July 2003 and subsequent emergency spending. Following the truce, the IMF decided to send a mission to São Tomé to evaluate the macroeconomic state of the country. This evaluation is ongoing, reportedly pending oil legislation to determine how the government will manage incoming oil revenues which are still poorly defined, but in any case expected to change the economic situation dramatically for the better.
In parallel, some efforts have been made to incentive private tourism initiatives, but their scope remains limited.
Portugal remains one of São Tomé's major trading partners, particularly as a source of imports. Food, manufactured articles, machinery, and transportation equipment are imported primarily from the EU.
The first ever census will be carried out in 2011 with the help of the National Statistic Institute (INE) of Cape Verde.
Of São Tomé and Príncipe's total population estimated at 163,784 by the government agency about 157,500 live on São Tomé and 6,000 on Príncipe. All are descended from various ethnic groups that have migrated to the islands since 1485. Seven groups are identifiable:
In the 1970s, there were two significant population movements—the exodus of most of the 4,000 Portuguese residents and the influx of several hundred São Toméan refugees from Angola. The islanders have been absorbed largely into a common Luso-African culture. Almost all belong to the Roman Catholic, Evangelical Protestant, or Seventh-day Adventist Churches, with a small but growing Muslim population.
Although a small country, São Tomé and Príncipe has four national languages: Portuguese (the official language, spoken by 95% of the population), and the Portuguese-based creoles Forro (85%), Angolar (3%) and Principense (0.1%). French is also taught in schools, as the country is a member of Francophonie.