By late 1993, there were 12 legal political parties in the country. A national elections law was approved in February 1993, and a month later a national elections commission was established. The principal economic activity is agriculture. Cashew crops have increased in recent years, and the country now ranks sixth in cashew production. Guinea-Bissau exports some fish and seafood, along with small amounts of peanuts, palm kernels, and timber.
Rice is the major crop and staple food.
In 1987, the government launched a program of economic reform and signed an agreement for a structural adjustment program with the World Bank. Trade reform and price liberalization are the most successful areas of the country's structural adjustment program. While institutional weaknesses in the public and private sectors persist, reforms and the development of the private sector have begun to invigorate the economy. There were major reforms in tax revenue and customs collections. A socialist-statist program for light industries during the late 1970s resulted in extensive foreign debt and failed enterprises.