If Cape Verde strengthens its ties with China and Angola it could help the Cape Verdean economy reduce its reliance on European markets, said the Economist Intelligence Unit (EIU).

Online media portal Macauhub quoted the EIU saying in a report that the African archipelago was dependent on Europe; with the latter providing almost 75 percent of its tourists and its foreign aid and investment.

But the recent economic crisis in European markets had “weakened” the momentum of the Cape Verdean economy, the report added.

The EIU suggested Cape Verde could “benefit from the appetite” of fellow Portuguese-speaking Country Angola for overseas investment; adding that Cape Verde could also “take advantage of its privileged strategic position for transatlantic trade… especially with Brazil and China”.

In June, Cape Verde and Angola signed a memorandum of understanding to expand the scope of their co-operation and bilateral investment, according to media reports at the time.